If you want to flip a house, look out for legal problems, stinky properties, and poor weather. All can sink your profits. In Phase 2 of your real estate investment business, time your buy and renovations right and work hard to get your property on the market fast for best results.
While flipping houses is all the rage – just look at the reality TV shows dedicated to the subject – not every investor is flipping real estate for an excellent profit. Even seasoned investment professionals who have went down the wrong path of becoming landlords for years, sometimes stumble when it comes to flipping. Those who are a success know that it’s important to:
- Consider the weather. It may be the furthest thing on your mind, but mother nature can wreak havoc with construction and renovation plans. You will have a hard time putting in windows and getting siding completed when rainy day follows rainy day and replacing a heating system in the winter months can lead to burst pipes. Always consider possible weather patterns when buying. If you have a property that needs lots of outside work, make sure that you buy early in the spring so that you can sell before the fall. Selling in the summer and the fall is a great idea, incidentally, since that’s when many families are planning moves (so that the kids can settle into a new school starting in the fall.
- Do a sniff test. A home that smells terrible can be hard to fix – especially if that odor is caused by septic tanks or by sewage problems, both of which can be pricey and tricky to fix. Plus, overwhelming odors can be very hard to eliminate, and that’s not what you want when flipping houses.
- Take a look at laws before you buy. What are the zoning laws and local codes? If you need to add a second storey to a property or do major renovations, make sure before you buy that you can legally make those changes in the home. Also, if you notice signs that someone has been living in an abandoned home, take a look at eviction laws. You may find that unwelcome guests are very hard to get rid of.
- Time things right. It can take 2 months for a basic renovation and 4 months or more for a more complete overhaul. Make sure that you can absorb all the costs – even if the project is delayed because of problems beyond your control.
- Choose time over savings. If a renovation project will take either more time (because you can do some things yourself, cheaply) or more money (because a professional will do it) err on the side of time. It’s usually better to get the house finished quickly and on the market rather than save a few bucks on a lengthy DIY project. When flipping houses, time counts.
To Massive Profits,
Brad Wozny
P.S. Want to discover 3 more powerful house flipping secrets? Visit Here Now and Register to Immediately Download a FREE Copy of the Strategic Investment Manifesto, and attend a free webinar to learn how you could become a real estate investment syndicator and grow an 8 FIGURE Empire in as little as 4 years, from scratch.
P.P.S. No sales person will call. Register here to create your own bulletproof real estate investment business plan now.
Great advice for the buy and flip investor. What makes what you have shared so valuable is that each are things that most people would not consider….especially if just getting started.
If you are looking to buy and flip, I would print this out and keep every aspect in mind when doing your deal.
Cheers,
Ross Treakle
Totally agree… this article is simple as heck… but the elements are ones that investors should know and follow. The biggest one I think is choosing time over savings… which I’d say 95% of people in general… not just investors… try to save a buck by doing things themselves… which by far is one of the worst things you can do to stunt your growth.
– Trevor