Why You Should Consider Flipping Houses for Profit
Antoinette is an HGTV addict. Every evening, after a long day at the office, she kicks back to watch buff guys and svelte-bodied women clad in work-boots and hard hats flip houses. These house flipping shows are always such a roller coaster ride for Antoinette. She imagines the thrill of buying that fixer-upper house that nobody thought to look twice at. And she revels in the excitement of designing, reconstructing, and remodeling a diamond in the rough.
Sometimes, she doesn’t even realize that she’s been holding her breath in rapt anticipation—her fists clenched and muscles tensed. It’s only when the last crisis on the show has been averted--, and the good-looking people on the TV have sold their fixer-upper for a handsome profit that she feels a whoosh of relief and a buzz of exhilaration wash over her.
Most days, while she trudges away at work, and especially at month’s end when she has to pore over the numbers to make her salary stretch—she thinks about how great it’d be to get into real estate and start flipping houses for a profit. But, she always pushes it out of her mind, thinking that she just wasn’t rich enough to get rich. Where was she going to find the capital? Wouldn’t it be way too risky? And besides, those guys on TV are actors…
Listed below are three great reasons you (and Antoinette) should seriously consider flipping houses for a profit.
1. You Don’t Have to be Super-Rich to Get Into Real Estate.
Lots of people feel intimidated by the thought of real estate investing. But there really is no reason to be afraid. You don’t have to be super-rich to get into flipping homes. With a little bit of financial ingenuity, you can find ways to secure funding and get into the market.
Putting money in escrow is one way to maximize your money and buying potential. Another option to consider is taking out a hard money loan from a bank or finding investors to back you. You can even bring in an active or silent partner to help you fund your project.
Money is out there; you’ve just got to get creative to find it.
Trading in hard assets is another way to bring in quick cash. It’s also worth it to think about using peer-to-peer money lending networks. Money is out there; you’ve just got to get creative to find it. And of course, once you’ve made the right moves, bought smart, budgeted carefully, and finally flipped and sold your first house for a profit—the way forward is clear.
2. You Take a Big Risk For a Big Reward.
As with any investment, there is a certain degree of risk. This is another top reason why many people are afraid of going into real estate. Flipping houses is definitely a significant risk.
You take the chance to buy a property that is in less-than-ideal condition, overhaul it, and put it back on the market. It’s nerve-wracking to just think about it. But, have you ever heard the saying “No risk, No reward?” If you do nothing, you gain nothing.
With a decent amount of money-savvy, a reasonable budget, and a great team behind you, you can definitely pull off a successful flip project. What’s even better to know is that after your first few flips, the job gets significantly more manageable. Take a big risk now to reap the big reward.
Once you get it right, it only grows and grows. Land and buildings don’t expire.
3. You can Build Generational Wealth.
Can you guess where almost every wealthy person has money invested? Yep, Real Estate. Aside from business ownership, history has shown that real estate is the most lucrative wealth-producing business to get into. Ever. Flipping houses is just one way to start to build up your financial portfolio and expand your investment profile.
Once you get it right, it only grows and grows. Land and buildings don’t expire. And, if you buy smart—your properties will fetch much higher prices than you bought them for. Profit is the name of the game. This is a great way to also build generational wealth. You won’t have to worry about struggling to save for your children and family after you’ve gone.
Going into real estate may seem daunting, but you shouldn’t let it intimidate you. Consider flipping houses to expand your financial horizons today.
