Flipping a house for a Friend

3 Replies

Is there any problem or has anyone had any problem flipping a house for a pre determined buyer? Such as a friend. I'm experienced in the area but have always sold them to normal everyday buyers. I view it as a win for me as i can make some money off the deal while still saving him money by not going the normal MLS route. Does anyone have any advice in this area?

Not an expert, here. Are you talking about taking money from your friend during the process, or just giving him first chance at the results? I can't see a problem with the second version, the first could be an issue if you are working as a general contractor without a license.

@Grant Moffett I have found end buyers before the flip was complete and that's great. But - friend or not - you need a contract in place with deadlines for loan application, inspection and appraisal, etc. and some earnest money. That gives them incentive to follow through and if they miss deadlines then you know they aren't serious about buying the end product. 

Amanda, 

I hire most of my work out beyond a few things here and there I can handle myself. Basically would just have the work done with them in mind. 

Thank you Teri. Ill keep that in mind and have something written up prior to.