Fix/flip or fix/hold

[Account Closed]

Question to rehabbers. What are some of the things you consider while determining if you want to fix/flip a property or fix/hold it as a rental? Assuming the profit margin in the flip is what you expected and the rental numbers work as well, is there a preference for either aproach? I understand it depends on what each person's preference is but I am interested in knowing general investor psychology and any possible reasoning behind it.

[Jason Grote]

Simply, do you want cash now or do you want cash later? Do you have the capital to hold a property? Many do not initially, so they start with flipping to build up reserves. Either way, you always want to build in immediate equity when you purchase an investment property unless you are banking on appreciation.