Flipping Houses: How To Flip A House Profitably

Flipping houses can be done in various forms so let us take a look at some of the most common methods. Flipping houses involve buying a house, fixing it up and selling for a profit.

Buy and Hold involves buying a house to rent it. The rental term can either be a short term like Airbnb or a long term lease. This is a more common form of real estate investing.

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Live-In Flip

Is where you rehab a house but instead of immediately selling it; you live in it and then sell it. This method is advantageous from a tax perspective.

BRRRR

is a combination of the flipping and buy and hold methods. The acronym stands for Buy-Rehab-Rent-Refinance-Repeat. In this method, one would buy a house and rehab it like flipping houses.

How To Flip A House: A Step By Step Guide Define Your Area And Neighborhood Research what kind of neighborhood you want to target. This will determine your price range, potential target buyers and also the level of rehab which would be needed.

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Find The Property To Fix and Flip

Usually the properties which are great candidates for flipping will not be listed by real estate agents on Multiple Listing Services (MLS). There are several other ways successful house flippers find property

Determine The Rehab Budget

1. Rehab costs: This is the cost to actually fix up the property. J Scott in his book on Estimating Rehab Costs provides a great template to capture all details. Make sure you do not forget any permit and associated fees.

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