If so, what is the most difficult part and how risky is it? Do you recommend any books, websites, or any resources to learn about how to get into this market?
2007-08-01 08:23:15 · 3 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
It is not an easy process. Once a house has been foreclosed, it goes on the market through a real estate brokerage and is subject to the highest offer which can be obtained. You are allowed to inspect the property, and you may well find that thousands of dollars are needed to bring the property back into saleable condition. Generally, you will need cash on hand to make these repairs, since you won't get financing over and above the purchase price of the property.
Once you have had the repairs completed, you put the house back on the market and hope like mad that you bought low enough to sell it and make a profit. Meanwhile, you make the monthly mortgage payments out of your own pocket until you close any potential sale.
As usual, the late night TV informercials make it sound unbelievably easy. Reality is quite different.
2007-08-01 08:31:51 · answer #1 · answered by acermill 7 · 0⤊ 0⤋
Flipping was a good idea a couple of years ago, but today you risk is much greater. You not only risk the amount you have invested, but you could lose a good credit rating because you are unable to sell it quickly enough.
2007-08-01 15:27:00 · answer #2 · answered by Alterfemego 7 · 0⤊ 0⤋
realestate is down in more than half the county, i think you missed the boat, unless you are looking in portland, or maybe arizona
2007-08-01 15:28:07 · answer #3 · answered by ktlove 4 · 0⤊ 0⤋