Flipping houses can be a great way to make a relatively quick profit, but these projects aren’t for everyone. Wondering if you’re equipped to take on a flip? First, check out these reasons why you might be horribly unprepared for a full-on rehab project.
You Should Not Flip Houses if…
- You’re operating by yourself. You absolutely need a solid team when taking on a project of this size, including a top-notch contractor. You can get away with a mediocre handyman for everyday repairs, but not flipping an entire home.
- You don’t have enough reserves. Fix and flips are full of surprises; be sure you have enough money to weather the storm (because you will encounter difficulty).
- You don’t know your market well enough. Without in-depth market knowledge, you won’t be able to gauge what finishes to use and how quickly the end product will sell.
Don’t get me wrong—there are a million reasons you should be flipping houses. Just be sure you know what you’re getting into and have a solid support system to ensure you’re able to overcome the unexpected.
What are some other reasons you shouldn’t flip houses?
Weigh in with a comment!