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REI Tech

Tying Up Loose Ends On Your Flips

Flipping houses sure looks easy on the TV home improvement shows. People hire a Realtor who shows them several ‘great deals.’ The people then buy some nasty rundown house, hire the host, and voila – in a half-hour show it looks like the house should be featured in Architectural Digest

And somehow, it only cost the homeowners $30,000 to completely gut and rehab it.

Flippers in the real world know it’s not that easy.  To make money on a flip, you have to:

  • Network and market to uncover great deals (they are not usually sitting on the MLS)
  • Evaluate the deals to include estimating the After Repair Value (ARV), and all the rehab costs
  • Find funding for the deal
  • Hire contractors, do paperwork, pay for material
  • Deal with contingencies and repairs uncovered during the rehab
  • Pass all the inspections
  • Clean the house and possibly (probably) stage it
  • Market the property…

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