For new flippers, we make it easy. We manage the process from start-to-finish, allowing you to leverage our vast experience, learn the ropes, and avoid costly mistakes.
Flipping is when a real estate investor buys houses and then sells them for a profit. In order for a house to be considered a flip, it must be bought with the intention of quickly reselling. The time between the purchase and the sale often ranges from a couple months up to a year.
An investor buys a property that has potential to increase in value with the right repairs and updates. After completing the work, they make money from selling the home for a much higher price that what they purchased it for.
We buy old house, and the goal behind analyzing a deal is to first come up with the ARV (After Repair Value). We will go over exactly how you come up with the ARV, and outline all of the expenses involved in buying, holding and selling a home.
Financing is just a fancy term that means you have to come up with the capital (or “money”) to pay for the property. We do take care of investment or loan financing for all.
Rehabbing is the process by which you fix and upgrade a house to bring it up to “retail” value, so you can then sell it for a profit. You don’t need to know anything about fixing up a house to be a pro at flipping houses. We do Addition / Fixing / Renovation for you.
Buy, finance and purchase, and rehab the property and now is the time to make profit with increased value in a short time.
Example of real case, how that breaks down:
Full purchase of old house price $850,000/1,500 sqft → Addition 500 sqft → Actual value $550 → Increased $700 → Gross Profit 500 sqft x $700 = $350,000 (Net $250,000)
Purchase : $850,000
Renovation : $250,000
Investment / Loan financing : $1,100,000
Selling price : 1,500,000
Profit : $400,000