2007-09-19 16:10:40 · 4 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
I depends on the market you are buying into. Do your homework. Hire a professional (someone you trust) to help you determine what is a "good deal". Ask to see comparable sales for homes that are in the same condition as the "flipped" home will be in when you sell it. If there are no comps, rethink your decision to buy in that market. The overall real estate market is on a downward trend. You never know what is going to happen, up or down. In any case do your homework and don't make a snap decision. There will always be another house to buy.
2007-09-19 16:43:18 · answer #1 · answered by livigninchrist! 2 · 0⤊ 0⤋
There always has been ...and always will be profit in flipping
houses. As long as you find the right property that is run down somewhat..or a forclosure, that needs to be fixed up.
Becuase alot of times, foreclosures, just sit there for a very
long time by the banks. And the yard starts looking bad, etc.
Yes, I say go for it....if thats what you want to do. It will be more than worth it for you.
2007-09-19 23:21:37 · answer #2 · answered by CraZyCaT 5 · 0⤊ 0⤋
Flipping Homes is profitable in any market condition. However, when you are in today's market, you have to be more conservative in your deals than before.
Before, you could buy a house cheap and have ready buyers that you could sell the property almost immediately to. There are fewer buiyers now that it is harder for SubPrime and ALT-A borrowers to get loans, so you have to be more choosy that you buy the right home under the right conditions and price. You also have to give your "exit strategy" - how you plan to make your profit such as rehab and sell - wholesale flip - rehab and rent - rehab and Lease-to-Own - much more careful thought.
Before - it was harder to buy homes cheap but easy to sell them high. Now it is easy to buy them cheap but harder to sell them high. Most investors I know are buying them cheap but selling them for less than they would have 8 months ago. Still profitable, but more conservative then before.
2007-09-20 00:47:04 · answer #3 · answered by rlloydevans 4 · 0⤊ 0⤋
There's almost always some way to buy low and sell high. I think today's market could work for people who can buy with cash and sell on owner carry (true owner carry, not contract for deed or silent wrap or lease to own - that's why it's important to buy with cash).
2007-09-19 23:32:29 · answer #4 · answered by teran_realtor 7 · 0⤊ 0⤋