Flipping Real Estate
Exit Plan Strategies

This website provides flipping real estate strategies for selling & holding properties, and information for locating properties for flipping houses.

Flipping houses is a term used when a person, or investor acquires a piece of property and makes a profit when they sell (aka flip) the property. Flipping homes is usually done within a short amount of time and can be done with no cash, no credit check, no need to qualify for a loan, or the need to have a job. However, house flipping is just like anything else, you must be teachable, motivated and determined to succeed in flipping houses.

There are only two things you can do with a piece of property once you acquire it, either sell it or hold on to it.

Flipping Real Estate
Investment Strategies for Selling It

Flipping houses can be done before or after taking title of a newly acquired piece of property. Technically if the investor does not own the house yet, he or she is really selling the contract or rights to buy the property. An investor can also choose to sell the property as-is for a quick sale. On the other hand, an investor may choose to make some minor or major repairs to fix up the property before selling the property (house flipping). Fixing up the property will increase the selling value of the property and the amount of repairs to be done will impact how long the house will take to be sold.

Flipping Real Estate
Investment Strategies for holding on to It

An investor can maintain control or takes title to a property for a short or long period of time instead of selling it right away. An investor's plan for selling a house together with the condition of the house will have an impact on how long the investor will hold onto the property. Some investors only hold onto a property until they finish fixing it up, while other investors first rent the property out before selling the property.

Flipping Real Estate
Investment Exit Strategies-Time Periods

An investor's plan for flipping homes is called an exit strategy (time periods may vary).

Time Period (30 days or less):

Flipping homes
Making cosmetic or minor repairs

Time Period (60-90 days):

Flipping homes
Making cosmetic or minor repairs
Making some major repairs

Time Period (over 90 days):

Flipping homes,
Making cosmetic or minor repairs
Making some major repairs or remodel, (rehab), the property.

As noted above, an investor's exit strategy may involve flipping houses within 30-90 days, or holding onto a property for more than 90 days. Flips can occur at any time period after acquiring a property, but short time periods are usually associated with flipping houses.

Where Can I Find Houses to do Some House Flipping?

Probate

When a home owner dies and the mortgage payment can not be maintained by the surviving spouse.

Divorce

When a husband and wife split up and no longer live in the same house together.

Job Loss

When a home owner loses his or her job and can no longer make the mortgage payments.

Job Transfer

When a home owner's job forces an employee to transfer to a different location that is too far to commute to work.

Drug Abuse or Illness

When a home owner fails to make payments because they are spending all their money on drugs or face a serious illness.

Bankruptcy

Owners who have more debt than available money to pay their expenses. Hence, they loose their home or they are placed in a financial reorganizing plan to help them reestablish control of their finances and try to save their home.

Vacant Houses

Houses that are boarded up with no one living in it.

Absentee Landlords

Owners that don't keep up with their house because they don't care about their property anymore.

Code Violation

The owner who has not or can not correct code violation to stop possible demolition of their house.

Foreclosure

The action brought upon the owner when they fall behind in paying their mortgage payments.

Related Articles

Beginner Investing Tool Information

Birddogging

Find Fixer Upper Houses

Locating Hard to Find Homeowners

Identifying Motivated Sellers

Calculating Home Values

Finding Buyers to Buy Properties

Flipping Real Estate

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