Things You Should Know Before You Flip A Property

1. Money is made at the buy, not the sell of your flip. When flipping a house your money is made at the purchase not at the sell of the house. So many times people buy a house with the intensions of making a huge profit only to find out that they could not make any money after all the renovations because the purchased price of the house was too high. When you purchase your property you need to be sure that you buy the house with enough money to make renovations, have carrying cost, and add about 5 $6,000. Now, cost is at $147,000, and that is if everything goes as planned. Profit is under 10,000 dollars. The mistake was made at the purchase at the home, not the sell.

2. Get an inspection on the home - Get a complete inspection done on your property. By spending a few hundred dollars on this expense you can save thousands in problems that you cannot see. Foundation, pest, wood rot, etc… By getting a full inspection you can rest assured that you know every thing that is wrong with the property before its too late. In the contact for the house you need to make sure that you have 7 days to have an inspection preformed, and if the inspection finds problems that are going to cost more money that you are willing to spend you can get out of the contract with no penalties.

3. Don’t do the work yourself: - Get a contractor or several sub-contractors and have the work done quickly. You need to have you house flipped ASAP, so that you can get it on the market and get it sold. When I started flipping my brother and me did a house together, and we did all the construction. I had a construction background and figured it would save thousands but it took us over 4 months to get the work done that a contractor could have had the work done in a month. We are trying to save money on our flip and did all the work on our time off and it just took to long. On our 2′nd flip we used contractors for almost everything and had the house completely flipped with a new roof, new air conditioning, new hardwood floors and much more in only 3 weeks. We did not have to spend all our time working on the property and were able to spend that time looking for the next deal. This is how you get rich in real estate.

4. Place the property 1 to 2 percent below market value: If you are wanting to flip real estate and make money the object is to buy and sell the property as quickly as possible, so that you can move on to the next house. If you purchase a house and try to sell it at top dollar to make and extra couple of thousand dollars on your flip, and end up holding it for 6 months you are loosing money. Get the house on the market at a price that is going to blow the competition away, and you will sell it no matter what the market conditions. On our second house the market for selling house went down do to the housing market as a whole, and the tightening of the loans across America. We were told that you could not sell a property in this market, but we went ahead anyway and flipped our house. After 3 weeks on the market we had 3 people wanting to buy the house. Why? because we offered it at such a great deal that people wanted to jump on it. That is what you have to do especially if the market is slow.

5. Use a real estate agent - Do not try to sell you house on your own. Harness the power of a real estate agent and the power of the MLS system. When you do a FSBO you are depending on people driving by your house and seeing you sign, with a real estate agent you have some one actively marketing you house to get it sold. Once again this will free up more time for you to look for more great deals. If you want to help the process I have found that Craig List and listing you house in google adwords help to, but I use these tools with the help of an agent to make sure I have all my bases covered.

I hope this article has been helpful with the basics needs of flipping a house. If you will study and learn you will make money. But, does your homework before you purchase a house, and make sure that you can pull a profit on your deal. Then, make it happen!

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3 Tips to Staging the Inside of Your Home Like a Pro

Are you considering putting your house up for sale, but not sure where to start? Afraid it will take too long to sell, or that you wont get the price you want? Think about staging your home, or in other words, setting the scene for immediate buyer interest in your property. To be really effective, you need to look at both the outside and the inside of your home. Here are 3 tips to get you started with the inside of your home:

1. De-clutter. This is one of the most important things you can do. It might be easier to think of de-cluttering like this youre moving anyway, so why not start packing now? Pack up everything you dont need and store the boxes out of sight in the garage (or consider temporarily renting a small storage locker).

2. Organize your closets - put similar colors together, pants together, skirts together, shirts together etc. Why? Because it will make the closets look bigger. (Really.) An organized closet appears bigger, and you want your closets to look as spacious as possible.

3. Make your home look like a model. You want to de-personalize as much as possible so potential buyers can imagine themselves and their own belongings occupying the space in your house. That means minimizing putting away everything you dont need or use. Clear off kitchen counters as much as possible stash all those appliances you dont use, and put miscellaneous small clutter in a few attractive baskets or boxes and the biggest tip of all? Imagine yourself as a potential buyer looking at your property for the very first time. What impressions are you getting? Would YOU buy your house? What would you like to see changed before you put an offer on your house?

And dont worry about spending several thousand dollars to get your house ready to sell youll get it all back when your house sells. Proper staging helps you sell your house in a shorter time and at the price you want.

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