​How to Flip a House like a Jedi

So… you bought your cool new tool belt. You found a sporty brown leather with room for all the latest handyman gadgets. You are ready to start flipping houses ….like all those people on TV. Let’s go break some walls!

Well slow down, cowboy, there is more to flipping houses than new carpet and kitchen counter tops. If you want to become a Jedi Master Flipper, here are a few tips to avoid the dark side of the housing market. 

“I find your lack of faith disturbing.” – Darth Vader

You are going to need cash. You might need a lot of cash. Successful house flippers plan ahead… and then plan again. That cash does not have to come from your bank account, although that might be the easiest avenue. You can also look to lenders or other investors to create your operating budget.

“Somebody has to save our skins.” – Leia

Build the right team. House flipping cannot be done alone. Regardless of the blond girl on your favorite HGTV program single handedly pulling the kitchen cabinets off the walls, house flipping requires a team of professionals.

If you are planning to flip more than one home, then assembling the right team will save you headaches in the future. You need licensed contractors, roofer, inspectors, plumbers, decorators and possibly even an architect. You should also find a reliable real estate agent, CPA and possibly a real estate attorney.

“Your eyes can deceive you. Don’t trust them.” – Obi-Wan Kenobi

Once your team is in place…use them. All these specialists can help you not only prepare the home for sale, but also advise you on future projects. Flipping a house is a financial risk and reward. Getting the right advice about what property to choose and flip can mean the difference between a quick sale and a money pit.

“Never tell me the odds.” – Hans Solo

Flipping a house should not be a gamble. Do the math. Use your agent to determine the market value of a property in its current condition and then again with the upgrades you plan for it. Will the house need simple updating: carpet, paint and designer touches? Is the home in need of major repairs? If possible, bring your team through the home before the offer, so you know up front what the costs will be.

“Do. Or do not. There is no try.” – Yoda

Once you purchase the property, stay on track. Every day the flipped home is not on the market for resale costs you money. Talk with your preferred service providers before the purchase to make sure they are available for your project. The goal is turn over. One of the biggest pitfalls of a new home flipper is allowing the project to get off track.

“Great, kid. Don’t get cocky.” – Han Solo

Congratulations! You are prepared and ready to go. Before you buy that first property, plan carefully and be prepared for the unexpected. How can you plan for the unexpected? By assembling a team of qualified professionals to help you. Take your time, evaluate each opportunity, and be ready to pounce when the right one presents itself. The best advice you can get is to slow down and move carefully and deliberately. Then you can get your fancy new tool belt out and get to work.

May the Force be with you!