5 House Flipping Do’s
Being successful in flipping houses is like any business venture; there are things that must be done in order to be successful. While television shows and most “how to flip” articles show what not to do, many do not consider the items that must be followed in order to be successful. Here are five “to do’s” that will make flipping homes a successful venture.
- Plan it out. This is a business, not a hobby.
- Budget for the entire project. Know how much houses sell for in the neighborhood, current value of the home, what the improvements will cost, and what the estimated value of the home will be when the improvements are made.
- An inspection is a must. An inspector will find what repairs need making beyond the visible. Electrical, plumbing, or dry rot in an attic will turn what may have been an easy flip into a money pit. Be prepared to walk away
- Know the potential customer. Granite countertops may all the rage, but may not be an expense that will be a good return on the investment. On the flip side, laminate countertops in a different home might make the home look cheap
- When re-listing the home, have realistic expectations for establishing an asking price. Consider in the process of setting the price what the absolute minimum would be considered in order for a profit to be made.
To be successful at flipping homes takes time, practice, with lessons to be learned. The above “do’s” will be helpful in building a successful business. Like any business, there will be ups and downs. Being prepared for them will make flipping homes a successful business venture.