I have much expertise in flipping. Commercial spaces as well as residential. I would be happy to answer any questions you may have about flipping.

Hi,

I'm looking to change my profession and I've found a nice project per the numbers, but I'm unsure about the projections I've used because I've just never done it before. Where can I find a good source for making projections, so that I can show the bank I know what I'm doing?

Depending on the market your in. The market is a bit soft right now. Not an optimal time. In any event. This is what the bank will want to see.
1. The purchase price of the property.
2. Well planned and detialed schedule of events
3. Projected cost of renovations
4. Pull comps in the area.
5. 20% deposit

Banks won't typically lend you money in a conventional mortgage for a flipp. The best bet is to take out a construction loan. Make intrest only payments. You will not be able to borrow more than the property is worth. Thats why you see alot of 1st time flippers actually move into the house when they flipp it. That way You can get a home equity loan for up to 125% of the propetry's assed value.

Also you will have to sell the house yourself. The real estate crooks will take 6% of your sale. On an average flipp you make about 20 - 30% of the purchass price 6% is a big hit.

My husband and I have been sitting on our first flip now for 3 months. I think our next step will be to remove it from the market and place it back on with a drastically reduced price... priced to sell. I have heard that the key to getting your money out of a flip is to under price the home. Do you suggest this, and if so, by what percent is good rule of thumb to reduce the price by??

depends on your market. The wheels are starting to come off he house market right now. I would wait till June to list. You might catch an exec looking to relocate. Depending on the size of the house and the cost. You may want to try snagging 1st time home buyers with help for closing cost. Instead of dropping your asking price. Offer like 10,000.00 toward closing costs. If your in California you can get 740K for almost anything that is newly renovated. In Detroit you can buy single homes for 20,000.00 right now.

Hi

I have been interested in house flipping for years. I am beginning to do research to decide when the right time to start is and to find a resource to help me locate the right kinds of properties in my area.

I know the housing market is pretty crazy right now. Do you have suggestions of internet sources that I can look at to review the housing market in my area as well as suggestions on resources to find homes that fit within a good price range for house flipping.

Is is better to try and locate homes on your own or to partner with a realtor to help you find homes?

Thanks very much

staY away from realtors if you can. Your best bet is to find local sheriff auctions as well as tax delinquent proerties. You can also subscirbe online to services that will show you bank forclosed properties in your area as well as pre-forclosures. I don't see how it's leagle to make a post on a preforeclosure. But it gives you the opportunity to approach home owners in trouble and offer them a way out without getting hurt to bad. To maximize profit you need to do the legg work yourself and sell the home yourself. You have access to the same resources as the realtors.

Hire a small general contractor do do you flipps as well. It will save you tons of head aches and tons of money in the long run. A GC will never let a subcontractor roll on them. Like " we didn't figure new plywood under the shingles " sorry fella your estamater should have climbed in the attic to check it out. I would throw them off the job and bring in some one to finish, not to mention not pay the 1st guy. As GC deligating hundreads of thouands of dollars in work to my subs I have control of them as well as when they show up.