How to flip a houseLast updated on
House flipping involves a property investor buying a house with the intention to fix it up and quickly resell it. Basically, investors willl buy the home, make necessary repairs, upgrade the systems, style, and design of the property (thus adding value to it), and sell the house at a mark-up within a short period of time.
House flipping is risky, and creativity sapping. It is also very profitable, but if you don’t know what you’re doing, you’re sunk.
Here are eight steps to make sure you understand how to flip houses before investing your hard earned money and to ensure you succeed in the business.
Step 1: make research on the different types of real estate market
Step 2: develop a business plan
Step 3: prepare a budget
Step 4: Find a House to Flip
Step 5: Purchase the House
Step 6: develop a plan on how to improve the house
Step 7: Renovate
Step 8: Sell!
As simple as the aforementioned steps look, yet a simple mistake can lead to loss of the millions you invested in this business. Hence, I mostly advise people to look for a home that requires the least amount of resource and time to renovate and sell. This should be done without underemphasizing the importance of building a team of professionals, as you cannot get all things involved in house flipping done by yourself.
However, the most important thing is the steps listed above would go a long way in helping you avoid mistakes in your house flipping business.