Is Flipping houses a good idea at this time?

[Carlos Tiburcio]

Let's say that you are doing a flip with money borrowed from a hard money lender. You bought the house, rehabbed it, and at the time of selling it, the estimated ARV dropped significantly, leaving you with little profit or nothing at all to pay back the loan. Is there a way to minimize this risk and complete a successful flip? or is just flipping during a crisis a bad idea?

[Luke Marsh]

Hi Carlos. There is definitely opportunity within the current market conditions to flip.  As Greg and a couple others have mentioned it really depends on your local market. I think being prepared for all potential outcomes is key regardless of market conditions. I would recommend being prepared (comp rents) to approach it as potentially being a buy and hold situation, with the ideal outcome being your fix and flip if that is your preference.