Updated 3 days ago on . Most recent reply
I don't know what it is about
Hello I need someone who can help me start in fix and flip properties, where would I start
Most Popular Reply
1. They are very difficult to pull off. You likely either need access to low cost labor (your own crew) or access to deal flow through direct to seller outreach.
2. The best deals will not qualify for a conventional loan, so you will either need cash or higher interest debt. That high interest debt (usually 10-15%) is typically on a term of 6-18 months. You better be confident that you can get in and out of a deal in that time frame to avoid fees, hassles, and interest snowballing against you.
3. Consider a live-in flip. That's how I got started. As you may know, if you live in it for 2 years, you can sell and not pay taxes on the gain. It is also much lower risk given that you can use owner occupied loans and work on a longer timeline.
4. Understand what you are getting into. You'll buy an absolute mess of a property and will not fully know the issues until you already own it. It is stressful, difficult, and expensive.