Investors LB LA OC Counties / Flipping homes

Investors LB LA OC Counties / Flipping homes

los angeles california · Member since 2018 · 11 posts · 2 votes

Please kindly shed some light my way for those who are Actively Investing Today. I appreciate your feedback. 

I am in the Long Beach, Orange County, Los Angeles areas, and a newbie to RE investing. 

My question for those investors in my areas who are buying homes and flipping, what are the timeline to flip back to market? 

I would like to flip every 2 to 3 months, with my goal of 6 homes / per year?? is this realistic?? 

I am focusing on SFH's.

I plan with Hard Lending or Gap Lending loans to furnish my deals. 

Thank you, appreciate any feedbacks.

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  • Investor · Orange County, CA · Member since 2010 · 17 posts · 8 votes
    7y

    It really depnds on how much work you do. Typically 6 - 12 months. 

  • Developer · Los Angeles, CA · Member since 2015 · 48 posts · 12 votes
    7y

    @Faye Vio First of all, welcome. Feel free to reach out to me 1:1 whenever you want. 

    It is not realistic for you to find, purchase, renovate, list and sell in 2-3 months. Just the escrow period these days is 40-45 days for anyone with a loan. 

    You may have a scenario where your contractor is lined up, cash is ready, the home requires no additional work and after a fast upgrade, you receive an all-cash offer without any contingencies. But... that is highly unlikely. 

    Plan on:

    - 2 weeks to acquire keys to the property

    - 4-6 weeks on a standard full remodel (under 2500 square feet)

    - add in 2 weeks for buffer, staging & other fixes

    - Time on market: 45 days

    - Escrow: 45 days

    If you are fortunate to get the right buyer and offer to speed things up, that's wonderful, but never plan on it.

    Also: I would highly suggest not using HML anymore. The rates and points-up-front make the profitability nearly impossible. The margins are thin again. Use all cash, or partner with someone else on an all-cash flip. You can gain experience while making some money.

  • los angeles california · Member since 2018 · 11 posts · 2 votes
    7y

    @Lin He Thank you sir, appreciate your feedback.

  • los angeles california · Member since 2018 · 11 posts · 2 votes
    7y

    @ Heath Clendenning, thank you sir for breakdown, I appreciate you. Well noted, on all your points. 

    Question for you. Are you actively flipping now? and if so, are you also flipping out of state? 

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