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Flipping Houses: Real Estate Investing Strategies To Achieve Financial Freedom

 

Flipping Houses:

Real Estate Investing Strategies to Achieve Financial Freedom

By Charles S. Dalton

Introduction

I want to thank you and congratulate you for downloading the book, “Flipping Houses: A Comprehensive Guide on making strategic real estate investments”.

This book contains proven steps and strategies on how to invest wisely in the real estate market and earn high returns on investments within a short or specific time frame.

From basic terminology which you are likely to come across while exploring the market, to helpful step-by-step processes relating to Inventory, Farm Area, Deal Analysis, and Acquisition/Buying Methods, this book is a comprehensive guide to understanding and investing in a profitable market.

Conveniently divided into easy chapters, this book will guide you using simple, easy-to-understand language and a helpful assortment of visual aids including graphs, pie charts, and diagrams, each of which will enable you to grasp the basics and nuances of investing wisely in property.

One of the aspects of this book/guide which you are likely to find especially helpful during your learning process, is the fact that it incorporates a list of Do’s and Don’ts pertaining to making and not making an investment. This list will enable you to reduce your financial risk while deciding over a particular piece of real estate, and will help you keep certain fundamentals in mind while preparing to make your next investment.

Real Estate is known to be a market which is equally rich in potential as well as risk, and there is no limit when it comes to acquiring knowledge pertaining to the factors which influence it. In many cases even the most seasoned real estate agents have admitted to overlooking small but significant factors which serve to drastically impact the total value of a piece of real estate. This book shares vital information on these factors, focusing on the state of the economy, demographics (migration patterns, population growth or decline, income, gender, race, and age), favorable or less than favorable interest rates, and others.

Some of the other educational benefits of this book include:

• Easy to comprehend examples and analyses of various investment decisions; these case studies will help first time investors in understanding the importance of identifying ideal market conditions which enable profitable investing, and methods through which one can limit their risk factors.

• Clear guidelines with regard to the step-by-step processes associated with identifying, assessing, and making investments.

• Practical advice pertaining to using leverage (primarily, Time, People, and Money) in order to maximize your net worth.

• Information which can help in helping you know when to buy and when to hold

• Valuable tips on how to organize financing

• Strategies pertaining to rehabbing; from estimating costs to organizing logistics, finding supplies, and managing expenses.

• Definitions of terminology pertaining to the Real Estate market, buying, and selling, which will enable new investors and estate agents to remove any confusion associated with words and phrases used while discussing or defining certain processes.

Developing a clear understanding of the Real Estate market will enable readers to gain an insight into how the market functions, grows, and fluctuates. The development of this understanding will facilitate a more grounded approach towards making a smart investment decision, which is why it is important that this book be read from start to finish.

A lot of investment related decisions will be based on common sense factors as well, a fact which you will note, is constantly reiterated throughout the contents of this book. Knowing when to take a risk, and understanding the value (or not) of buying low simply because property is being offered at a low price, is based on numerous common sense factors. For example, if you were offered property at a suspiciously low price, and bought it on impulse, only to realize that fixing and redecorating it would cost you double your investment amount, which would constitute a bad investment. The simple process of asking for details pertaining to the condition of the property, its age and frequency of use, is part of the common sense approach which we will be discussing consistently in each chapter.

At the end of this book, you should feel a sense of power which comes from the knowledge of knowing about and understanding the factors which influence the real estate market, and should be in a position to confidently say “yes” or “no” to a potential investment based on the knowledge which you have gathered thus far.

Thanks again for downloading this book! I hope you enjoy it!

 Copyright 2014 by *]*Charles S. Dalton *[*- All rights reserved.

This document is geared towards providing exact and reliable information in regards to the topic and issue covered. The publication is sold with the idea that the publisher is not required to render accounting, officially permitted, or otherwise, qualified services. If advice is necessary, legal or professional, a practiced individual in the profession should be ordered.

- From a Declaration of Principles which was accepted and approved equally by a Committee of the American Bar Association and a Committee of Publishers and Associations.

In no way is it legal to reproduce, duplicate, or transmit any part of this document in either electronic means or in printed format. Recording of this publication is strictly prohibited and any storage of this document is not allowed unless with written permission from the publisher. All rights reserved.

The information provided herein is stated to be truthful and consistent, in that any liability, in terms of inattention or otherwise, by any usage or abuse of any policies, processes, or directions contained within is the solitary and utter responsibility of the recipient reader. Under no circumstances will any legal responsibility or blame be held against the publisher for any reparation, damages, or monetary loss due to the information herein, either directly or indirectly.

Respective authors own all copyrights not held by the publisher.

The information herein is offered for informational purposes solely, and is universal as so. The presentation of the information is without contract or any type of guarantee assurance.

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TABLE OF CONTENTS

[]Introduction

Chapter 1: Understanding the Do’s and Don’ts of the Real Estate Market

Chapter 2: Being an Effective Dealmaker – Strategies to get You Started

Chapter 3: Ownership, Acquisition, and Knowing when to Buy or Hold

Chapter 4: Estimating Repairs, Rehabbing, and Evaluating Deals on Fixed Property

Chapter 5: All You Need to Know about Financing

Chapter 6: Being the Ultimate Dealmaker – Flipping the Deal

Conclusion

Chapter 1 [
**][
**]Understanding the Do’s and Don’ts of the Real Estate Market

Do: Organize and understand your personal finances prior to making any investments.

One of the most important things you will need to consider prior to investing in real estate is to have your own personal property. It is important to be in possession of your own property for the simple reason that this basic security is important for your daily living needs and sustainability. It is recommended that you spend a few weeks in understanding your level of expenditure in order to gain an overall picture of your needs, savings, and most importantly, how much free cash you will have left to invest. Some things to also factor in while organizing your finances are any potential future investments which are not real estate related but will require considerable investment; this could range from a new car to building a new section within your existing house.

Do: Conduct enough research in order to find out as much as you can about your investment.

It is of primary importance for you to evaluate a potential investment prior to committing; this especially applies to an investment which looks too good to be true. Always conduct a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis in order to effectively assess the pros and cons of the investment in question. If an investment seems too good to be true, chances are, it probably is.

Don’t: Ignore your gut instinct.

Regardless of whether you are a first time investor or have a lot of experience, it is always advisable for you to trust your gut when it comes to making or not making an investment. There are situations which may seem favorable or otherwise, but your gut tells you to wait or commit; trust your inner voice, do not ignore it. Exercising due diligence in terms of research will enable you to develop your gut instinct further; you can improve it by following the previous suggestion of always conducting your own research and forming your own assessments aside from what is shared with you by realtors and agents.

Don’t: Underestimate the value of good tenants and their ability to preserve your property value.

It is wise to conduct business with, i.e. rent your property out to reliable and responsible tenants who are likely to pay you on time and value your property. Finding tenants with a good credit history and stable jobs might take more time, but it will be worth it in the end since they will reside in your property longer and will be less likely to cause damage. A natural benefit to this decision would involve reduced repair and renovation costs once they move out and you are ready to sell or rent to new tenant. Never rush into a decision pertaining to renting your property; therefore, it could cost you in the long run.

Do: Understand and acknowledge the fact that the bottom line is all that is important in the end.

There are investments which look like they would be ideal for your budget, but are actually not after you take into account the various overhead costs which have been left out of the deal. For example, you could be offered property which could be purchased for $50,000 and subsequently rented for $1,000. This looks like a great deal initially, but may not be quite so profitable after you include the additional taxes which will have to be paid, but have been left out of the calculations.

Some of the additional overhead costs which you will need to factor in while analyzing a potentially great deal would include income tax, property tax, maintenance fees, insurance, management fees, and community fees.

Do: Educate yourself on all options related to financing.

A wide range of financing options is available for investors to choose from, and cater to varying budget brackets. Do not limit yourself to acquiring loans from a bank or using personal finances when it comes to investing in property; explore other popular and practical options such as working with a private money lender, using hard money from an institute, or working with a fellow investor who is looking for an equity split.

As you gain ground level experience as you make more and more investments, you will find that you have developed a pattern when it comes to appreciating and analyzing a potential investment prior to making a commitment.

Chapter 2 [
**][
**]Being an Effective Dealmaker – Strategies to get You Started

A dealmaker by definition refers to someone who is adept at coordinating, negotiating, and ultimately bringing a satisfactory conclusion to all matters pertaining to commerce. In context with your experiences with real estate, you too, are aspiring to be the ultimate dealmaker. Among your many objectives are the following skills and goals:

• Effective marketing- You will need to learn about the various tips and tricks associated with promoting your property in a manner which grabs eyeballs and elicits a response.

• Negotiations- It is important to know how to maneuver your way through discussions with both buyers and sellers.

• Locating potential buyers/sellers- You will save time if you have an existing network of people to reach out to in the event that you are looking to buy or sell property; this can be achieved in both, an online and offline context.

• Know when to make or avoid making an offer- There are a few red flags which should signal the need to avoid making an offer to a particular seller. In the same way there are some immediate green flags which indicate that the buyer/seller is right for your situation and budget.

• Understanding the value of a seller- The real estate market has its share of adept and trustworthy agents and realtors; in the same way it also has suspicious characters that will try and hike up prices unnecessarily, or will hide hidden costs in order to present you with a good offer. Trusting your gut instinct will go a long way in avoiding associations with sellers of ill repute.

• Gaining knowledge regarding funding options- Funding is an extremely important aspect of real estate, irrespective of whether you are self-funding your investment or are seeking outside help such as a loan. An entire chapter is dedicated towards exploring the various funding choices available to you, which will enable you to invest wisely without having to dig into your own finances beyond your comfort level.

Once you have understood the various areas in which you will need to inculcate both technical as well as ground level knowledge, it is time to delve into the various strategies which will facilitate a productive, i.e. lucrative real estate investing experience.

The Real Estate Market cycle illustrated below will give you a clear idea as to the overall cyclical nature of the market, enabling you to understand the various phases which your investment will experience, from the Climb to the Decline. Knowing about the existence of these phases will help you to time your investments appropriately.

Visual courtesy – Bigger Pockets

As the visual above illustrates, it is important to begin any potential investment with a clear idea as to what your exit strategy will be, in order to assure maximum profit. In other words, as an investor, you need to have options ready in context with what you are going to do after you buy a home or invest in property.

An exit strategy, by definition, refers to a plan through which an investor can cash out of an investment with the purpose of profiting from favorable market conditions, or to back out of a potentially bad market. Planning your exit strategy constitutes a vital part of your real estate investment action plan and it is important to prioritize it at the onset of a potential investment.

Another important strategy pertaining to real estate investments involves joining your local investors club in order to swap and share information with fellow investors. This will also help you in developing the “network” which was mentioned earlier in this chapter. Associating with fellow investors, individual or professional, will allow you the opportunity to gain firsthand market knowledge and could even facilitate a better investing mindset.

Enough cannot be said about the importance of sound financial planning and saving when it comes to real estate investments. It is recommended that you keep about 10-15 percent of your budget aside for the purpose of handling rehabbing and other related costs. This is especially important for investors who have scaled out to a large number of properties and are looking at flipping houses.

A tip from some of the most seasoned investors in the real estate market could very well put you on the path to earning a huge profit; focus on the millennial generation. They constitute the future of the real estate market, and are essentially “the younger generation” of people who were born between the late 80’s and 90’s. Focusing your investments and flipping activity in areas which are populated by (and therefore bought or rented) by them will at least ensure that your property is being viewed by potential buyers/sellers from good backgrounds. When it comes to real estate, the famed double repetition, “location, location, location” applies most aptly.

There are a number of other small but significant strategies which will help you in making informed decisions pertaining to your real estate investments. The most valuable strategy however, is to learn from ground level experience and a community of fellow investors.

Chapter 3 [
**][
**]Ownership, Acquisition, and Knowing when to Buy or Hold

Ownership, Acquisition and knowing when to buy or hold on to your property constitute core elements of effective and ultimately profitable real estate deals. Rock bottom real estate prices may indicate towards a good time for property purchase, however you need to keep a few points in mind prior to taking a call in order to avoid bankruptcy and other unfortunate problems.

There are a number of different kinds of real estate ownership which are dependent on the type of property or the number of people who own the property. The type of ownership will extend specific legal rights and obligations, and will impact the inheritability and transferability of the property in question. It will also affect how the property will be handled in case of a dispute or bankruptcy. In specific context with real estate and individual ownership, the kind of ownership and related legalities which you will need to gain an understanding of, is Ownership in severalty. This basically means that you as the sole owner of the property are “severed” from other owners and are in a legal position to make various decisions pertaining to your property without the need to ask for consent from other parties.

You have what is technically referred to as the “Bundle of Rights”; these are a set of legal rights given to a real estate title holder, and include the following rights:

• The right of possession- This indicates that the property is owned by the title holder

• The right of control- The use of the property is controlled by the title holder

• The right of exclusion- The title holder has the right to deny access to the property

• The right of enjoyment- The title holder can use the property in any legally permissible manner

• The right of disposition- The title holder has the right to buy, sell, or rent the property.

The acquisition process is what follows once suitable property has been identified, and due diligence exercised (which basically involves a thorough inspection and assessment of the property in order to assess its status, value, and condition) by professionals. Usually real estate attorneys and investors are consulted, who will make you (the owner) a formal offer which includes formally confirming the desire to buy or rent your property. During this process, it is also likely that you will be offered what is known as “earnest money” which could be, but is not necessarily considered to be a down payment. This payment is an indicator of an individual’s intent with regard to purchasing or renting your real estate; it will also allow the investor the right to personally inspect your property, arrange financing, and organize other prerequisites required for rental or purchase. The validity of this money and the rights it allows does have a deadline, however, and once it expires, the investor will be required to either commit or reject your property.

Buying and Holding has been touted as being one of the best ways through which to become wealthy. Buying and Holding is an investment strategy through which an investor buys real estate and does not sell it i.e. holds it for a long period of time in order to sell it during favorable market conditions.

This process however, will only rake in real profits if you pay attention to the IDEAL principle:

• Income- Good buy and hold investments offer positive cash flows which not only offset expenses and debt service, but will enable you to earn a monthly income.

• Depreciation- The value of your property can be written off after 27.5 as per the IRS; the depreciation will therefore count as negative income albeit only on paper. This is because the costs incurred in keeping the property in good condition can be covered by the amount you earn as rental income. Tax related obligations therefore, are zero; it should be noted however that this benefit can only be enjoyed by active investors.

• Equity- Equity will build up owing to the fact that the aforementioned cash flow will allow you to repay any existing mortgage using the rent paid by tenants. In this way you can repay an existing loan or the principle of the loan, all the while adding to the equity which you have in the property.

• Appreciation- In the same way as other assets, real estate too, faces its share of ups and downs and its value varies depending on variable market conditions. However, keeping in mind the history of real estate prices which have been consistently increasing at the annual rate of 4.62 percent, it can be somewhat safely stated that accelerating equity pay down (i.e. paying more principle and less interest) and appreciation will lead to an increase in your level of equity.

• Leverage- This refers to an investment strategy through which an investor uses borrowed money in order to benefit from outsized investment returns. This will enable you to increase your real estate net worth.

Visual courtesy – ManUsa

The philosophy behind adopting a beneficial, i.e., lucrative buy and hold strategy is to hold only if you are looking at long term benefits; long term investments are usually taxed at a lower rate as compared with short-term investments. If you keep the IDEAL principle in mind, you will most certainly reap in both profit and major savings on tax by buying and holding property.

Chapter 4 [
**][
**]Estimating Repairs, Rehabbing, and Evaluating Deals on Fixed Property

The process of estimating repairs on your newly acquired or potential real estate investment will allow you to understand how much additional capital will be required in order to “fix” the property before you flip it. This is the first of a three step process which concludes with the flipping of the property in question.

Estimating repairs on your real estate involves looking into various important aspects of the property and answering a few vital questions, namely:

• The cost of repairs

• Cost of materials

• Which materials would work best

• How much time it would take to complete the repairs

• Whom to hire for the purpose

It is natural that your repair estimation will include both the interior and exterior of your property, inclusive of the house, parking space, outdoor areas such as the patio and garden, and anything else which is located around the perimeter including fences, walls, gates etc.

You will be required to prioritize the plumbing and electricity related pipes and wires in order to ensure that they are in excellent working condition with no fraying or leaking. The flooring must be free from cracks, and the walls too, need to be crack and damage free. Windows, doors, and the fixtures within the property must all be clean, undamaged, and termite-free in the event that any of them are made of wood.

Once you have made a list of things which require repairing, it is time to find qualified contractors who will be able to provide you with a rough estimate pertaining to the cost of rehabbing your space. On some occasions it is easy to find these contractors via a Real Estate Investor Association (REIA) meeting, or simply by driving around the neighborhood and looking at properties which are in the process of being renovated. Online forums are also helpful in connecting you with able and licensed contractors. A tip for investors who find that they have minimal rehabbing to do, and are not willing to spend too much on contractors is to do it themselves, is to ask friends or do it themselves. There are a number of DIY rehabbing tutorials and materials available which will save time and money. You will also gain ground level experience and knowledge pertaining to repair costs, reducing them, and increasing the overall value of your property with minimum investment.

Rehabbing by definition refers to the restoration of property, and is done in order to increase its overall value. The process of rehabbing essentially involves conducting repairs on and around the property, and adding attractive elements which will help in renting or selling to clients.

From securing the property to informing local law enforcement in order to get additional security, the rehabbing process involves following an organized, time bound approach in order to remove debris and unwanted clutter from the space before beginning. From replacing old or broken fixtures to giving the walls a fresh coat of paint, it is important to work within a budget and to keep in mind that a property which is to be sold will require more attention to detail than property which is to be rented.

After the rehabbing process is complete, your property is now ready to go on the market and will surely attract interested clients and investors. Understanding the rate of deal flow will enable you to gain knowledge as to the state of the real estate investment market and will contribute towards helping you balance your investment in the aforementioned repairs and rehabbing accordingly. It will also enable you as an investor and player in the real estate market to know whom to approach and when in the event that you are on the lookout for investors, loans, or other forms of finance.

Deal flow can be generated via a number of sources, and is most likely to be effective when the investor, in this case you, have experienced success in the field. Therefore, you will be likely to benefit from deal flow after you have made considerable profit from your investments/real estate. Deal flow will benefit you the most in specific context with your rehabbing process if you are working on large or multiple properties; it is advisable to seek other forms of financing for individual or small properties especially if this is your first time dabbling in real estate.

Overall, this chapter has encompassed key elements to revamping your real estate in order to make increase its overall market value, and has offered financing suggestions for seasoned investors who are looking at rehabbing multiple or large properties. The visual below illustrates the process clearly: Visual courtesy: Resource REIT
p.  

Chapter 5 [
**][
**]All You Need to Know about Financing

The topic of finance in real estate is one which has developed considerably in recent times thanks to a plethora of new financing avenues which are opening up and attracting investors from all backgrounds. The real estate market has been an exceedingly lucrative investment option and has made a number of investors and agents rich in short periods of time during peak times; it is possibly one of the most competitive markets around and attracts both investors and market players in equal measure. Shared below are some conventional and less than convention financing options which will suit various budgets and investment needs.

Conventional financing methods involve taking out a loan; the eligibility pertaining to getting a loan and a lower rate of interest are all dependent on your credit score. A good credit score ensures that you are considered financially worthy of repaying the loan, and will therefore get it at a low rate of interest from your bank. Refinancing after an improvement in your overall credit score is also possible. The visual below illustrates the steps you should take in order to qualify:

Visual courtesy: Enroutematch

A financing option which is primarily available to those in the field of real estate investments is called the 80/20 option. One of the benefits of this option is that there are no additional fees or interest amounts which require repayment. However, it should be noted that much like conventional loans, this financing option also requires you to be in possession of a clean credit score; those with less than clean scores are advised to balance their finances prior to applying. The total loan amount offered to worthy applicants keeps in mind the monthly salary earned by them, which is why they are comfortably able to secure loans based on their income.

You could also consider the popular method of OPM or Other People’s Money in order to partially or in some cases, completely finance your next investment. This method has grown in popularity and is considered as being one of the smartest and most unconventional means through which you can ditch the formalities and stress associated with acquiring a formal loan, and still get the money you need.

OPM is comically associated with the homonym of its abbreviation (opium) owing to its alleged narcotic power over people, some of whom conveniently forget that they are obligated to repay these unsecured loans which they have taken from family members, friends, and trusted associates. The formal definition of this unconventional form of financing is “money borrowed as an unsecured loan or contributed by stock/shareholders”. This method is ideal for those who are looking for an interest-free loan or share friendly and trust-filled bonds with their families and friends. It is clearly not for the investor with few friends!

On a more serious note, for those who are seeking loans but do not have enough friends who will lend them the requisite amount, private lenders are available who will provide the loan amount but will charge hefty fees for their services. Some lenders will consider giving out what is known as “hard money” loans, which are quickly processed, but will attract even higher interest rates. It is highly recommended that you discuss these loans with your financial advisor and check the credentials of the lender in question; there are a number of fraud cases associated with unclear loan acquisitions which are best avoided through due diligence.

Among the other kinds of loans which are available, the lease option is one of the most popular, especially for those who have limited budgets but would still like to invest in real estate. The lease option will allow you to get the property of your choice at a fraction of the original cost, and will enable you to pay for it over a period of 2 to 3 years. This period of time will allow you the opportunity to plan out your financing. In some situations, you could even stretch out the rehabbing process after having paid close to half the cost amount. It is important to ensure that your lease agreement includes the required permission which will allow you to carry out modification work on the property; in some cases you may not be permitted to conduct any work until a certain percentage is paid.

There are a number of other options when it comes to obtaining finances for the purpose of renting or purchasing real estate. It is recommended that you weigh your options carefully before applying for a loan or asking friends and relatives to help you; always keep your financial details handy and be clear about how much you want, and most importantly, how much you are capable of repaying within a specific time frame.

Chapter 6 [
**][
**]Being the Ultimate Dealmaker – Flipping the Deal

We have now reached the exciting part of this book, where all the information you have gathered so far comes together in the form of a neat and effective house flipping formula. House flipping is an acquired skill, it will get better with time and practice, and naturally you will be inclined to make a few mistakes at the onset. This is normal, and with the help of this comprehensive guide it is likely that you will make fewer mistakes than you otherwise would have made.

Defining house flipping is straightforward; it refers to the process through which you buy real estate with the intention of selling it for a profit. House flipping may or may not include the process of rehabbing although most house flips have been known to incur bare minimum repairs, restoration, and repairs prior to being put back on the market.

While there are no hard and fast rules as such when it comes to house flipping, experts from the real estate field have shared guidelines and best practices which could reduce your overall investment while increasing your chances of making a profit on the resale of your freshly-rehabbed property.

Visual courtesy: Bigger Pockets

The 4 Golden Rules of House Flipping are as follows:

• Buying

• Financing

• Rehabbing

• Selling

Buying

This is the part where you will need to conduct research on your own or with the help of your local real estate investors community in order to locate and assess potential investments in order to see if it is worthy of rehabbing and reselling. The process of buying includes understanding what kind of property you are looking to invest in, the specific neighborhood you are opting to invest in, your personal budget for the purpose, and the methods you will use in order to acquire your house of choice.

Financing

This refers to the part where you will need to produce the capital in order to pay for your investment. A number of financing methods are available which have been discussed in a previous chapter; however, here is a short overview of your options pertaining to obtaining finance for your purchase:

• Personal finances

• Private money lenders

• Hard money (loan from an institution)

• Joint venture (splitting the cost with a fellow investor in exchange for an equal share of the profits after the property has been sold)

There are a number of other financing options available and it is always possible for you to use more than one method in order to obtain financing for a single property.

Rehabbing

This is the process through which you will essentially upgrade your property and increase its resale value. As discussed, you can take on the task yourself or with friends in the event that only minor upgrades are being managed. For more complex interior and exterior overhauls, it is recommended that you hire skilled, licensed professional contractors who will take care of them.

Selling

In the event that you are not a real estate agent it will probably cost you a commission during the process of selling your property, but it will be minimal compared to the profit you will make. It is advised that you include your property on the MLS or Multiple Listing Service in order to increase your overall pool of potential buyers; this in turn will increase your chance of making a profit. Pre-qualified buyers are also likely to be interested in your property and will be better tenants/clients owing to the fact that their credentials and property purchasing ability has already been assessed by the real estate agent representing them. This brings us to the vital point regarding developing and maintaining a positive working relationship with a real estate agent who will not only help you with the paperwork and closing process relating to the sale of your property, but will also get you a good price for it.

Another interesting and profitable method of selling involves “wholesaling” which is when you acquire property under a contact and assign or sell the rights to it to another investor who will then handle rehab, financing, and finding an end buyer. This is considered to be a risk-free method of house flipping without getting involved or investing in the actual process, and will benefit from equity or a fair profit split post-sale.

There are a number of reasons as to why flipping houses is an ideal profit making investment for anyone who is interested in real estate, here are the primary benefits of being a “flipper”:

• Time and Money- You will make a profit in a short period of time, although to be fair, some exceptions apply which might cause minor delays.

• Easy Profits- You have the power and means through which you can buy; rehab and flip property within six months, thus giving you more than double of your original investment within a fraction of the time it would have taken to earn it in a different line of work.

• ROI- Higher returns on investment can and will be enjoyed if you manage to flip the property within the shortest time frame possible.

• Low Risk- Real estate market fluctuations take longer to fluctuate as compared with the stock market. Conducting careful research while buying your property of choice will enable you to make a good choice; following the rule of flipping and selling within six months will ensure that you remain unaffected by market dips, if any.

• Distressed Properties- In many cases you will be fixing old or damaged properties, which will entail less finance related headaches and lower interest rates in case you are applying for a loan. The purchase price of your property is also low, thus giving rise to the potential for a financial windfall when you think about the low cost of purchase juxtaposed with low cost of rehabbing.

House flipping has been called many things, amongst which “skill” and “art” seem to apply most aptly. It takes skill to master the art, and with time, you will find that you are adept at identifying, purchasing, financing, upgrading, and reselling properties.

Much of the content in this book deals with balancing a common sense approach towards the process of making a decision on property with a keen eye towards selling in accordance with market conditions and demand.

Conclusion

Thank you again for downloading this book!

I hope this book was able to help you understand more about the exciting field of house flipping and the profit you could make from a minimal investment. More than that, I hope this book was able to inspire you in some way to take a look at your life, and to consider the many things you could do differently and more efficiently when it comes to managing and investing your hard-earned income and valuable resources in order to build the foundation for a happy, stress-free, financially abundant future. We are the result of our own choices, and your choice as to where to invest your time, money, skills, and energy, will go a long way in enabling you to live the life you want to live.

The next step is to start looking around your own neighborhood and see if there are properties which catch your fancy. Join your local investors club and see if you can begin your own investing and flipping journey by helping a fellow flipper out with networking or rehabbing. Build the base for your future through a participatory approach and enjoy the benefits!

Finally, if you enjoyed this book, then I’d like to ask you for a favor, would you be kind enough to leave a review for this book on Amazon? It’d be greatly appreciated!

Click here to leave a review for this book on Amazon!

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Flipping Houses: Real Estate Investing Strategies To Achieve Financial Freedom

Use these proven steps and strategies on how to invest wisely in the real estate market and earn high returns on investments within a short or specific time frame. This book contains proven steps and strategies on how to invest wisely in the real estate market and earn high returns on investments within a short or specific time frame. From basic terminology which you are likely to come across while exploring the market, to helpful step-by-step processes relating to Inventory, Farm Area, Deal Analysis, and Acquisition/Buying Methods, this book is a comprehensive guide to understanding and investing in a profitable market. Conveniently divided into easy chapters, this book will guide you using simple, easy-to-understand language and a helpful assortment of visual aids including graphs, pie charts, and diagrams, each of which will enable you to grasp the basics and nuances of investing wisely in property. Some of the other educational benefits of this book include: Easy to comprehend examples and analyses of various investment decisions; these case studies will help first time investors in understanding the importance of identifying ideal market conditions which enable profitable investing, and methods through which one can limit their risk factors.Clear guidelines with regard to the step-by-step processes associated with identifying, assessing, and making investments.Practical advice pertaining to using leverage (primarily, Time, People, and Money) in order to maximize your net worth.Information which can help in helping you know when to buy and when to hold Valuable tips on how to organize financing Strategies pertaining to rehabbing; from estimating costs to organizing logistics, finding supplies, and managing expenses. Definitions of terminology pertaining to the Real Estate market, buying, and selling, which will enable new investors and estate agents to remove any confusion associated with words and phrases used while discussing or defining certain processes. !

  • Author: Chris8S
  • Published: 2016-08-13 03:35:11
  • Words: 6565
Flipping Houses: Real Estate Investing Strategies To Achieve Financial Freedom Flipping Houses: Real Estate Investing Strategies To Achieve Financial Freedom