Fix and Flip - Finding the Way
If you want to be successful as a flipper, you must be able to find the properties that will provide the ROI that is needed. Making $15,000 on a project that will take you 6 months from start to finish is not good business economics. Finding properties is one of the most important factors, and it must be ongoing. Even after you found a great property to move ahead with, you can’t stop the search process. The search for new properties is the marketing plan for a fix and flip business. One of the major mistakes many newcomers make is they become so engrossed by the project and getting it completed they forget about future business. Stopping a daily search for new properties is like a sales organization firing all of their salespeople. It is economic death!.
Finding the right properties takes work and the more you put into it the more you will get out of it. It takes pinpointing the areas you want to work and becoming familiar with those areas. Remember you can cover an area of 60 square miles and never be more than 20-30 minutes from your center point. Make sure it is a populous area because you won’t do well in a predominantly rural area unless your thing is farmland.
Develop a property hunter network within your selected area. They can cover more area than you alone will be able to do, it will cost you a few dollars as a finder fee but you can add that to the expense of the property. The purpose is to get as many people who can help you find good prospective properties as you can, the more hunters the more possibilities.
You can also use the resources of the internet and seek out foreclosures, There are many online services for auctions and foreclosure listings. Since this is the easy way to find properties the sales are usually heavily trafficked and many properties are sold with little margin available.
To get started in the rehab business you need money. You will need down payment, closing costs, money to get started on the rehab and emergency fund for surprises that may pop up. Do not believe the hype out there, and these special events on how to flip houses with no money down. You just have to pay them a large sum of money for the course. If they were doing so great at flipping homes they wouldn’t be trying to sell you information on how to do it. This is just an easy way to get a group of vulnerable people together in one room, creating a captivated audience and sell a lot of product at one time.
You are going to need money, it is as simple as that. But there is a way for you to get those funds and start your real estate investment career. The first way is wholesaling properties. This is where an ideal flip property is found and it is reserved by contract and then the contract is assigned to a flipper for a commission. There are many wholesalers out there making a good living, and it’s a way to get started in the business and put away some money.
Another way that can even be combined with wholesaling is by obtaining a personal line of credit. These are a great way to obtain up to $300,000 of low-cost financing and cash cards that will provide you with the cash you need to get started. There is a qualification process that is reliant on credit score and depth of credit. If you are credit challenged it is no reason to simply give up. Good credit and financial responsibility is the hallmark of success in life and business. Make today your starting point, because there is nothing achieved without putting forward an effort. Ebizmore can help you get there, repair your credit, and establish new credit while getting you on your way to the funds you need for your business venture. You must understand that preparation is the single most important factor for your entrepreneur adventure. Cash flow in business is the heartbeat of any business and without it, the business suffers. At Ebizmore we will work to not only to live your goals but surpass them. Based on your present credit and financial situation this may take some time, but if your patient your success will seem like it is around the corner.
Ebizmore provides free education to start a career in commercial and business finance if you want to learn more go to ebizmore.com and register, once registered a representative will contact you to get you started on your entrepreneurial adventure.