As I prepare for my first flip purchase, I'd like to hear everyone's opinion on the top 3 (or 4 or 5) most important systems/resources to have in place BEFORE your first flip purchase (and why).
Get an attorney. They'll review your contract before you sign it and they'll make sure you don't get taken advantage of. Mine was $450 and worth every penny. I signed an addendum and then sent it to her and I didn't realize that the addendum also snuck in some language that would make me pay the sellers closing costs too. She was able to take care of the problem relatively quickly and it ended up saving me a couple thousand bucks.
Get a home inspection during your inspection period. Don't try and save the $300.
TRY and get the village/building zoning dept out there to see if there are any issues that you'll need to correct. You might not be able to because they're super slow. This is all IF you're going to get permits, which I strongly recommend. Or at least call the village and see if you can get a list of homes with violations on them. Obviously make sure your property is not on that list, or they'll be all over you. I had a horrible experience with my 1st deal despite my best efforts (5+ phone calls and messages). We had to replace all the plumbing ($2500) and the service panel ($2500) which the village knew about, but I didn't.
@Scot Howat - Thanks for the tips. Would you be willing to share your attorney contact with me or recommend others you have used/considered?
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!