Now more than ever, financial freedom can be achieved through flipping houses. If you are wondering how to flip homes in today’s housing market, the same rules apply as they did during the ‘housing boom.’ There is still plenty of money to be made, especially if you take a look at the deals available through foreclosures. Finding and purchasing homes that are in various stages of foreclosure is easy to do these days, especially in Florida.
Candice Schultz, CEO of Prime Property Global (PPG), already a successful investor in both local and offshore real estate, has brought along a unique real estate solution for a select number of investors. Candice assists South African investors with new build investments, offering them an opportunity to turn quality property investments into cash within a 12-month period.
New, international developments don’t come onto the global stage often for South African investors. Candice says, “It is not often we get the opportunity to partner with investors on such a quality product. The 3-Bed 2-Bath units generally sell 1-2 months before the building is complete and interest has been high.”
The key to making the most of your home flipping opportunity will lie in your ability to predict how much money it will take to get the home ready for the resale market. Before jumping into home flipping, be sure to do your homework first. Some of the first steps include the following:
- Know the value of the neighborhood. The deal may look great, but before you invest, be sure the area itself has value. Take the time to study the other homes in the immediate area to see what they have sold for.
- Sometimes there is just too much work to be done. An ideal house flip is going to involve cosmetic work only. Paint, yard work and even new flooring are reasonable and expected expenses. If the house is seriously in need of a new roof, plumbing or electrical work, you should get a professional estimate before investing.
- Time is of the essence. The more work that needs to be done, the longer it will take to make a profit. If you financed the home, then every passing month eats into your direct profits. Try to purchase a home that you can repair within two weeks and immediately put it on the market.
- Figure in all of your costs. Aside from the repair work, there will be other fees to take into consideration such as the cost of the appraiser, home inspection fees, real estate agent, etc. It’s better to estimate high and come out with more profits than the other way around.
As with any investment opportunity, there is a certain amount of risk involved. If you are knowledgeable about the neighborhood, comparative home prices, repair costs and selling timeframe, you should be able to make generous profits off of flipping houses.