Advice for First-Time Investors on Their First Flip

[Carlos Gonzalez]

If you’re a first-time investor gearing up for your first fix-and-flip, congratulations! Flipping houses can be a great way to build wealth, but success comes down to preparation, execution, and learning from others’ experiences.

Key Tips for Your First Flip:

1. Buy Right – Profit is made when you buy, not when you sell. Stick to the 70% rule (purchase + rehab costs should not exceed 70% of ARV).
2. Know Your Numbers – Accurately estimate repair costs, holding costs, and potential ARV. Always include a buffer for unexpected expenses.
3. Build a Reliable Team – Work with experienced contractors, real estate agents, and lenders to streamline the process.
4. Start Small & Simple – Avoid major structural rehabs or high-end flips on your first deal. Stick to cosmetic updates with high ROI.
5. Leverage Financing Wisely – Hard money, private money, or partnerships can help fund your flip while preserving your cash.
6. Have Multiple Exit Strategies – If selling doesn’t go as planned, consider renting, refinancing, or wholesaling.
7. Stay Organized & Stick to a Timeline – Time is money in flipping. The longer you hold, the more carrying costs eat into profits.

Your first flip is a learning experience, and mistakes will happen. The key is to minimize risk, stay disciplined, and keep learning.

For those who’ve already done their first flip—what’s one thing you wish you had known before starting? Let’s share insights!