Do you typically buy homes to flip even if it needs a new roof?

[Kevin G.]

Hello everyone,

I am new to the house flipping business and have just started one with my partner from work in the Bay Area, CA. We are struggling to get offers accepted on homes and find properties that need a new roof or have mold/pest issues. We have walked away from several homes that needed a new roof, but I am starting to think that may have been a bad idea.

To experienced flippers: would you typically flip a home that needs a new roof? Do you calculate the cost of the roof repair and lower your offer based on that?

The homes in this market that just need cosmetic repairs are going way over asking, and we are getting beaten out easily.

Thank you for any help!

[Greg H.]

The numbers are the numbers and if I can get an offer accepted where the numbers work, I will deal with almost any needed repairs. The only repairs I shy away from are environmental stuff, houses with fire damage and those with any drug residue issues such as a previous meth lab. Those add a level of stress that I don’t need

So if you can buy it at a price that allows a roof, I would proceed. The issue these days is that in many areas prices have stabilized but seller’s expectations off getting top dollar have not