Buying a home, repairing it, and then selling it for a profit has become a popular way to secure a better financial future. Most people start house flipping as a part-time side gig while working full-time for someone else. They eventually become successful enough at it to consider quitting their jobs and making the fix and flip business their full-time occupation. You may be ready to do the same if you have saved enough income for 12 months of living expenses and/or have been operating successfully as a part-timer for at least five years.
Steps to Take Before Applying for a Fix and Flip Loan
If you intend to make this your full-time business, the first thing you need to do is develop a business plan. It should include the following items at a minimum:
- Mission statement for your business
- How you intend to buy and sell properties
- Income goals
- Returns you expect on different types of properties
- Fix and flip loan options
- Market analysis for properties you intend to buy
- Detailed analysis of your closest competition
Be Ready for the Next Deal at a Moment’s Notice
It can be hard to predict when a property might come up for sale that you want to buy and flip. Make sure that you’re always ready to check things out by carrying a tape measure, calculator, camera, flashlight, business cards, and the contact information for a fix and flip loan provider with you at all times.
After You Make the Purchase
Owning a property can be time-consuming work. You don’t want to spend so much time on lawn mowing, home repairs, and related concerns that you have no time available to pursue new deals. It would be a better use of time and resources to hire someone for these tasks as well as marketing the home for a new buyer once you and your team are done fixing it up.
Are you ready to take the next step in this exciting career? Contact Flex Capital today to learn more about our fix and flip loan options.