Investment strategy

2 Replies

So, after some extensive research and listening to various podcasts here on BP, I have found a couple of strategies that pique my interest.

I would like to initially fix and flip properties and then use the capital/leverage to buy and hold properties, possibly renting these properties out for passive income. My end goal is to have as diverse of a portfolio as possible and possibly supplement the income of my current job.

I have been reading about how fixing and flipping is a JOB. I understand that and would like to use that a a base or platform to move into more passive type strategies.

Has anyone out there had any success with this type of gameplan? Are there some things I should be aware of? I am curious to know any and all opinions on this? Thanks!

Tyrone

I started out buying short sells and lease optioning them back to previous owners.  It was only by accident that I got into that.  When I had one where the owner walked I was faced with a property that needed rehab.  I fixed it up and sold it so I was in the flipping business.  I now flip and also hold some as rentals.  I decide before I buy what the strategy for the property will be.

The strategy of flipping for the purpose of ultimately buying and holding is working so far for me.  I also loan money out.

Since I don't want to be directly involved in the rehab I have always had a partner who did the hands on or I have used contractors.  To me it is essential to have contractors in the area you want to buy(I am in 4-5 states).  I like to have a real estate agent also.  I have had experiences without them and it is a disaster.

Good luck in your endeavor.

Bill 

Hey thanks for the insight Bill-

When you say that you lease optioned short sales back to the previous owners, what exactly does that entail?