Can you share the best strategies for what kind of properties to flip? Are foreclosures the best strategy - if so, can you share where to find a list of the foreclosures?
Any other advice would be greatly appreciated!
Adam, I think what you are really asking is where is the best place to find great deals. I recommend to my Clients that they create a marketing campaign to targeted lists. The best ones are: probates and evictions - and to a lesser degree out-of-state owners. As you grow your marketing budget, then you can start a geographic area blitz and really find great deals.
Thank you Lou!
Good afternoon I would have to agree with Lou, as for us in So California we have found that probate leads are the best motivated seller, as most of the PR( PERSONAL REPRESENTATIVE) for the most part are usually out of town, and they have full authority( meaning no court confirmation) it's like a standard sale, and they want to sell that property as quickly as possible, and go back to their home state. Best of success to you in your real estate journey.
Start with the end in mind. How much profit do you hope to make per deal. How much rehab. Reliable contractors, marketing the property after rehab, ect.
Bernie is spot on about the SoCal market. I'm working on an old Pre HUD mobilehome in a resident owned park. The lot's worth about 30 to 40k but the comps are coming in at about 130-150k.
The heirs are from out of state and just want to get the property off their shoulders and be done with it. The home is a toilet and needs to be removed. Plus since it's a pre HUD MH it could never be financed.
So I've offerred 30k (the value of the land only). If accepted I'll remove the heap and install a new Manufactured Home for about 80-90k including demo, site prep, ancillary items i.e. decks, steps, shed, carport and patio cover.
This will bring me in at about 110-120k and leave me a 40-50k ROI. The entire turnaround should be less than 90 days and the HOA fees are only 170/mth (front loaded in the rehab budget along with the property taxes reassessed at 1.2% of adjusted).
I'll take deals like this all day long be they stick/site built or MH as long up to 500k ARV as their in the path of progress.
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