Flipping as Investor Only

11 Replies

Hi all,

I own three buy-and-holds in the Bay Area and an now considering getting into flipping as an investor. Does anyone know of any particularly reputable, high-ROI companies looking for investors? My research has led me to Simply Do It (led by Dani Beit-Or), which looks quite strong, and I'm now looking to speak with anyone who 1) has worked with them as an investor, 2) has worked with another similar company, 3) has general advise on investing in flips.

Thanks for reading (and thanks to BP for providing this forum),

Dominic

@Dominic L.

First welcome to BP, I look forward to seeing you on here. 

Secondly, Congrats on your rental success thus far. 

As far as your questions:

1. I have not worked with the mentioned company of above.

2. As far as other companies, I think I am a little confused are you looking for other REI Education Companies or other REI Companies that do flips?

3. As far as flipping goes, I have done several hundred of them and have about a dozen going on right now in 3 different states. I think the first thing you have to figure out is:

1. What type of flipping you want to do? Active or Passive

2. Once you know that decide if you are wanting to leverage or use all cash

3. Figure out where you want to invest. In state or out of state.

4. Set up your flipping team. It is easier to set up in town then out of town. 

    (If you want to do out of state flips I would recommend lending or JVing on other deals with flippers that live in that area)

Hope that helps a little feel free to let me know if you have any other questions I can assist with. 

Happy Friday!!

Andrew

Thanks for this, Andrew. I'm looking to invest as a passive investor only. No strong preference in terms of location or types of property -- really just looking at the numbers. Your response is helpful, though -- thanks for posting, and happy Friday to you as well!

I have done flips as the investor only on a few in Texas. I like not getting my hands dirty and just enjoying the cash to buy more properties. It's all about finding the deals! I have a guy here who has sent a few good inexpensive deals my way that I made a hair under $20,000 on. In TX 5-10k on a flip with minimal rehab is real money!!!

Hey Dominic,

As someone who does some partnering and lending as a passive investor, my recommendation is to find someone local to you.  This will make the due diligence a lot easier (if they're known to have a bad reputation, you'll find out) and it will also give you the opportunity to see some other projects they've done, see some projects they're currently working on and be able to see first-hand how your money is being used.

This has been my experience, at least...

some crowdfunding sites are paying 12% for short term flips, patch of land.com,

www.realtyshares.com . I haven done any yet  but there are a couple investors who have done more then a half dozen

The numbers are what matter, not the area so much far as I see. 

Guy sent me a flip deal I'm looking over 57k, 16k or so in rehab, sell in 60 days for a profit of $7000. They handle the rehab in 14 days or so.

Jim P., J Scott, and Steven Picker: Thanks very much for all this helpful advice. Really appreciate it. 

Dominic

@Steven Picker , I have looked into crowdfunding but haven't been able to figure it out yet.  I'm still digging though.  If you figure it out, let me know.  

Originally posted by @Michael Hicks :

@Steven Picker , I have looked into crowdfunding but haven't been able to figure it out yet.  I'm still digging though.  If you figure it out, let me know.  

 Start a new thread with your questions -- there are lots of people here who have been involved in crowdfunded deals (myself included)...happy to answer any questions you have...

@J Scott, Will do.  I've just started posting on the forums.  Been so busy reading as many of them as I could.  Loving BP

I am actually developing investor funded JV, I do not have experience in real estate investing, but very much connected with commercial and government construction, ground-ups included. Love @J Scott 's book, as it gives me insight in residential prices, not much difference in commercial. Having my engineering degree helps the transition to residential sector.