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Updated about 1 year ago,

Account Closed
  • SW AZ
12
Votes |
25
Posts

Why do investors opt to rent instead of flip?

Account Closed
  • SW AZ
Posted

Hi all,

I have watched countless videos on real estate investing. Some investors are all about buying “doors” to rent. Then there are the flippers and developers. Please help me understand why, besides getting monthly income and putting off taxes, people are so stuck on rentals. I understand producing cash flow to demonstrate I have an income to be able to borrow in the future….so I don’t mind starting with a few rentals to bring that in but then I want to transition to building single family homes. Personally I want to PUT people in homes they will OWN. To me it seems while I pay tax on the sale of a single family home, I get a bigger chunk of money to work after each. I just want to make sure I won’t get sidelined with taxes so high it renders the work/sale null and I get little profit. What is the average profit percentage on building a single family home? Any help is appreciated :) 

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