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Flipping houses

This topic contains 25 replies, has 16 voices, and was last updated by  theamcguy 2 years, 5 months ago.

Viewing 20 posts - 1 through 20 (of 26 total)
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  • #610473

    brianpeters
    Pro
    Murray, KY

    Anyone on here do this? I never have, but it’s something I’ve always thought I’d like to do sometime.

    Would like to see some discussion, advice, experiences, etc…

    #610479

    kurt@welkerhomes.com
    Pro
    Owatonna, MN - Minnesota

    We did a couple, made a few bucks on each one. I think all of the best deals are gone however. As prices have rebounded, the good deals have dried up.

    It was our experience that if the house needs work, you had to go in all cash for the purchase and close quickly. We got one deal for over 20K less than the other offer because we offered cash and they were looking at financing.

    Once you close on it the key is to get it done quick and back on the market. the ones we did, we had back on the market in 30 to 45 days. there was one that we only owned for 28 days.

    There are still probably some higher end ones out there but they are harder to find and have a lot more competition now. The key to finding them is to be in tight with a Realtor that specializes in foreclosures or distressed properties so you get the first look. Without the Realtor connection it becomes tougher.

    #610481

    smallerstick
    Pro
    North Bay, ON

    I’ve done in the past but in a very different market than we have today in Canada. There is a news story going around now about a bungalow on a downtown Toronto 20′ lot that sold for $1,050,000 — $350,000 over listing price. Kind of hard to make a buck going into that deal but there was more than one buyer lining up to spend his money.

    So much depends on the local market, the location, your tolerance for risk and your skills and abilities. You have to have a highly developed design sense to know what features will command a premium at resale time, too.

    There are only two ways to do things; the right way and again.

    #610485

    theamcguy
    Pro
    Fayetteville, NC

    We did a couple, made a few bucks on each one. I think all of the best deals are gone however. As prices have rebounded, the good deals have dried up.

    It was our experience that if the house needs work, you had to go in all cash for the purchase and close quickly. We got one deal for over 20K less than the other offer because we offered cash and they were looking at financing.

    Once you close on it the key is to get it done quick and back on the market. the ones we did, we had back on the market in 30 to 45 days. there was one that we only owned for 28 days.

    There are still probably some higher end ones out there but they are harder to find and have a lot more competition now. The key to finding them is to be in tight with a Realtor that specializes in foreclosures or distressed properties so you get the first look. Without the Realtor connection it becomes tougher.

    All good advice. A few years back a friend of mine was heavily into this and would call me up to be part of the crew to the improvements needed. We would be in and out in under a month and back on the market. He however wanted to rent them and of the 18 or we did, he has them all rented and doing nicely.

    Automotive Pro
    Fayetteville, NC

    #610486

    smallerstick
    Pro
    North Bay, ON

    We did a couple, made a few bucks on each one. I think all of the best deals are gone however. As prices have rebounded, the good deals have dried up.

    It was our experience that if the house needs work, you had to go in all cash for the purchase and close quickly. We got one deal for over 20K less than the other offer because we offered cash and they were looking at financing.

    Once you close on it the key is to get it done quick and back on the market. the ones we did, we had back on the market in 30 to 45 days. there was one that we only owned for 28 days.

    There are still probably some higher end ones out there but they are harder to find and have a lot more competition now. The key to finding them is to be in tight with a Realtor that specializes in foreclosures or distressed properties so you get the first look. Without the Realtor connection it becomes tougher.

    All good advice. A few years back a friend of mine was heavily into this and would call me up to be part of the crew to the improvements needed. We would be in and out in under a month and back on the market. He however wanted to rent them and of the 18 or we did, he has them all rented and doing nicely.

    Renovating for rental requires a very different approach than renovating for resale. They are both potentially profitable but there the similarity ends. Rental properties are basic, functional and practical. Resale will usually focus on style and appearance.

    There are only two ways to do things; the right way and again.

    #610495

    DirtyWhiteBoy
    Pro
    Honolulu,, Hi.

    House flipper have a very bad name out here,,, hack city.

    Dirty

    A Working Pro since 1988!

    Member since January 26, 2013.

    #610497

    kurt@welkerhomes.com
    Pro
    Owatonna, MN - Minnesota

    House flipper have a very bad name out here,,, hack city.

    We had a lot of that going on around here. Lots of lipstick on pigs. We only did a few as our belief was that if we were going to do it we would do it right. Because of that, there were a lot of people Willing pay a lot more for the properties than we were. They just did a little paint and powder and were able to make their return but they really did not fix the underlying problems and just left them for the future owner.

    #610504

    My brother in law did it for a while. Buy the most run down place on the block. Put some lipstick and mascara on it. A coat of paint, new carpet or laminated floors, clean up the yard. Soon the rest of the neighbourhood does the same because most people don’t want the shabbiest looking place around. House prices go up and sell at a profit.

    My You Tube channel: https://www.youtube.com/channel/UCA5AretE3xPoVDV61AxUdUA

    I don't do a fast job. I don't do a slow job. I do a half fast job.

    #610508

    roninohio
    Pro
    New Franklin, OH

    I work with a team of guys and flip houses. We are actually doing quite well at it. If you look on here under our biggest flip you can see one we did.6000 sq. ft. We usually flip one with 30 working days in it on average. We have a team of 5 guys.
    As far as putting lipstick on , we do them as right as we can. Not all of us are hacks.
    Right now we have a mess as we bought one at a sheriff sale and couldn’t see the inside. It is full of mold and a mess. We may loose on this one.
    I got sick in it and refuse to go back in till the mold is all gone and treated.

    Attachments:
    #610514

    MrFid
    Pro
    Sudbury, MA

    House flipper have a very bad name out here,,, hack city.

    Maybe the trade needs to be rebranded then. You could be a home restoration professional. 🙂

    Never had the time (or money) to do it. But each house I’ve bought and sold to live in myself I’ve always been able to beat inflation. I’ll call it long-term habitable house flipping haha

    #610517

    Doobie
    Pro

    Right now we have a mess as we bought one at a sheriff sale and couldn’t see the inside. It is full of mold and a mess. We may loose on this one.
    I got sick in it and refuse to go back in till the mold is all gone and treated.

    Nice lookin house. Is that the one full of mold, or another one.

    #610531

    roninohio
    Pro
    New Franklin, OH

    No the mold house is a different one.

    #610540

    Seven-Delta-FortyOne
    Pro
    The Emerald Triangle, Northern California

    During the boom, “house flippers” gave themselves a bad name, and also made “flipping” a household word.

    But the fact is, buying beat up property and fixing it and selling it is a time-honored way for builders to make a living.

    My grandfather was a Contractor on the east coast, and did this kind of work in the ’40’s and ’50’s. In the early ’90’s, long before the latest late housing bubble, a lot of good Contractors were doing that. They actually took trashy ares of town, and made them livable.

    As usual, a few bad apples spoils it for the rest of us.

    Delta

    Goin' Down In Flames........

    #610545

    WoodsConstruction
    Pro
    Sudbury, ON

    I’ve only done one as an actual flip, with a friend of mine who had the first crack at the property.

    I wouldn’t mind doing it more, but with the market here the way it is, and the attitude of home buyers who see the same place re listed gets tiring. Everyone thinks we make 80 grand per house and all we do is clean it amd paint… TV gives everyone a distorted view of things once again.

    As usual, a few bad apples spoils it for the rest of us.

    Delta

    You got that right.

    #610550

    kurt@welkerhomes.com
    Pro
    Owatonna, MN - Minnesota

    I always referred to mine as rehabs and not flips. Flipping has negative connotations in my opinion.

    #610562

    Seven-Delta-FortyOne
    Pro
    The Emerald Triangle, Northern California

    I always referred to mine as rehabs and not flips. Flipping has negative connotations in my opinion.

    Yup. Me too.

    I think that’s what everyone called them; Rehabs, or Fixers, or whatever. Until the “boom” and the subsequent TV shows.

    It makes little difference if the Contractor owns the house, or contracted with the owner, to fix it. If the Contractor does a good job, he/she has benefited society.

    Delta

    Goin' Down In Flames........

    #610599

    theamcguy
    Pro
    Fayetteville, NC

    I work with a team of guys and flip houses

    roninohio did the big house in the picture sell yet?

    Automotive Pro
    Fayetteville, NC

    #610611

    r-ice
    Pro
    Durham region, ON

    You might be able to do it in Toronto, however you are buying a house close to a million and you have to upgrade the crap out of it and sell it for 1.5 to 2 million.

    #610620

    roninohio
    Pro
    New Franklin, OH

    @theamcguy We have had several pretty good offers on the big house but the realtor said hold out for more money. We have sold 2 that we finished since that one. They usually sell within the first week listed.
    I believe it is because we do a good job and not hack work.

    #610624

    RonW
    Pro
    Holladay, Tn

    theamcguy We have had several pretty good offers on the big house but the realtor said hold out for more money. We have sold 2 that we finished since that one. They usually sell within the first week listed.
    I believe it is because we do a good job and not hack work.

    From the pics you have posted Ron. I’d say your right, you and the crew do some nice looking work.

    Ron

    A Working Pro since 1994!

    Member since March 26, 2014.

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