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buy a house at the lowest cost possible. Make some changes that would make it attractive to buy in under two months then flip it for 50,000 or more profit...
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Re: Flipping. Ever tried it?
never tried it
tryin to put sumtin together wid some frieds to get into dat.....more dan jus di investment we need to have a crew ibn place to make the improvements quicklyWhen its hot in the jungle of peace I go swimming in the ocean of love..... -
Re: Flipping. Ever tried it?
first you have to inspect the place thoroughly first. Why do it with friends? You could grab something really cheap...Comment
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Re: Flipping. Ever tried it?
Many real estate investors enjoy "flipping houses," or buying and selling houses quickly for profit. Not all flips are fixers. However, rehabbers make millions turning ugly houses into dollhouses. On the other hand, some inexperienced investors lose money buying houses that just don't turn a profit.
If you're looking to get started investing in real estate by fixing and flipping houses, you'll want to know what type of property to buy.
<span style='font-size: 11pt'>THREE TIPS TO HELP YOU FIND THE PERFECT FIXER</span>
1. Know Your Market
Your first task, exploring your market, helps you know a bargain house when you spot one. Look at many houses for sale in your area. Keep track of sales and how long the houses take to sell. Ask selling real estate agents about the terms of these sales because this helps you understand how sellers market their property (some of this information is public record). For instance, if a seller paid closing costs for the buyer, did the price rise from the listed price accordingly? Or, did the seller come down on the price and also pay the buyer's costs?
Examine the sales that sell quickly. What home features and financing options prompted the fast sale?
Also, look at model homes. Buyers often buy resale homes because they can't wait for a new home to be finished. However, these buyers like the distinctive features new homes offer. Visit model homes and take notes on how details like a water fountain or a new state-of-the-art appliance makes a house sell itself. When you remodel your fixer, you'll know what attracts buyers and you'll make smart redesign choices.
2. Know When "Ugly" Means "Gold"
When you first start out in your real estate "flipping fixers" business, you'll want to look for houses needing only cosmetic work. Look for houses that just need cleaning up, painting, and new flooring. Use your imagination when viewing these homes. Try to visualize the finished dollhouse as you look at structural features and the surrounding homes. Make offers on the ugliest houses in decent neighborhoods.
Don't be afraid of stinky houses that show horribly. Search for fixers with peeling paint, holes in the wall, stained carpeting, and trash in the yard. Remember, these houses won't look good to most buyers, but other real estate investors see them as gold mines.
3. Know When "Ugly" Means "No thanks"
When you're new to real estate investing, always remember your limitations. Use caution when considering houses that need structural repairs. Some rehabbers replace walls, plumbing, structural beams, sub-flooring, and electrical systems. These experienced real estate investors acquired those skills after years of experience or they have the money to pay for professional help.
If you find a house with structural problems, get estimates from reliable contractors to do the work. If the walls have too many cracks and bumps, you may need to hang new sheet rock or hire a professional plaster refinisher. Check for signs of plumbing problems such as water stains under sinks and loose flooring, and get estimates for professional repair. Take professional estimates into account before deciding whether or not to purchase an investment property. Any big expense decreases your eventual profit.
Turn Yucks into Bucks
Why would anyone want to do this hard work? How much does the average rehabbers make? In Ohio, real estate investors buy houses expecting a profit of about $30,000. In Southern California, many investors make $50,000 to $100,000 on each house.
When you find a garbage-filled, flea-infested house in a family neighborhood, take your bug spray, hold your nose, and get ready to make a difference, in the neighborhood and in your bank account.
You can make a fortune fixing nasty houses. Know your market. Know when "ugly" means profit in your pocket, and when to keep looking for the house with the hidden gold mine.
http://ezinearticles.com/?Flipping-House...er&id=61256Comment
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Re: Flipping. Ever tried it?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Donnika</div><div class="ubbcode-body">first you have to inspect the place thoroughly first. Why do it with friends? You could grab something really cheap... </div></div> share di risk and go biggaWhen its hot in the jungle of peace I go swimming in the ocean of love.....Comment
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Re: Flipping. Ever tried it?
so you see something already? Good area?
hey them kinda big-risk businesses make friends into ex-friends quickly enoh?Comment
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Re: Flipping. Ever tried it?
no nuttin yetWhen its hot in the jungle of peace I go swimming in the ocean of love.....Comment
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Re: Flipping. Ever tried it?
maybe you should start small. london is a cheap area with a ton of restoration possibilities...Comment
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Re: Flipping. Ever tried it?
and depnding on what part of the US you live in you may not want to try it right now, many investors are losing out. My house whcih was purchased by an investor is still sitting there almost a year to date after pruchase, he rented it for less that what he's paying the bank, but had he done his homework and treated me better I'd have shown him that it wouldn't owrk.
This is one homeowner that came out [img]/forums/images/%%GRAEMLIN_URL%%/laugh.gif[/img] [img]/forums/images/%%GRAEMLIN_URL%%/laugh.gif[/img] [img]/forums/images/%%GRAEMLIN_URL%%/laugh.gif[/img] instead of [img]/forums/images/%%GRAEMLIN_URL%%/frown.gif[/img] that I let my house go for nothing.
In GA, the southern part of the state is prime for flipping but not so in ATL, everyone realises it is easy to get a commercial zoning esp.if you live on a main road so they charge 375 per acre for a shack which is worth million swhen developed as a shopping center.
Right now the money is in rental units - foreclosures are up so renters are in higher numbers.
Just some things to think about.Comment
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Re: Flipping. Ever tried it?
yep..flippin is not a good ting right now..the experts advise that you only buy if you plan to live there for a whileComment
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Re: Flipping. Ever tried it?
or u can rent it out. Great tax incentives thereComment
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Re: Flipping. Ever tried it?
yep..de idea is yu should be in it for the long haulComment
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Re: Flipping. Ever tried it?
Flipping was all the rage where I use to live, that is until people started being prosecuted for "flipping" dumps, that were structurally unsound, etc. The city really cracked down. Now the only people that still flip are the ones that can afford the major crew and really do the work to make the home livable.Comment
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Re: Flipping. Ever tried it?
If you do some research and get a good idea of what properties may be changed from residential zoning to commercial zoning (for office buildings, plazas etc...) five to ten years down the road you can purchase such a property and rent it out until the zoning is changed and the developer comes knocking with an offer.
The only person I know who is truly successful in real estate investing has always used this strategy and so far it has never failed him. Be prepared to be patient however. No quick money in the short term but mid to long term returns can make you some serious money.Comment
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Re: Flipping. Ever tried it?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Donnika</div><div class="ubbcode-body">buy a house at the lowest cost possible. Make some changes that would make it attractive to buy in under two months then flip it for 50,000 or more profit... </div></div>
Here in the Uk that`s called "property developing"the property is bought through an auction or bought cheaply on the open market then refurbished and sold off,usually at a substantial profit.
If you have some capital upfront this can prove very lucrative,as it is very rare for this kind of venture to fail,especially if you buy in the right area and at the right price,in some cases you can simply rent instead of sell.
Here in the Uk properties are at a premium right now,a profit of £100,000 or more is regular now for a property bought just 3 or 4 years ago.Comment
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