When you are deciding between whether to fix and flip or buy and hold, it all comes down to your skill set, interest, and investment horizon.
Fix and Flip Investing:
Get Rich Quick
The quick turnaround and increase profit is one of the main reasons fix and flips are so popular. Investors are able to double their investment within a few months by flipping a property. Furthermore, these benefits are hard to find with other investment opportunities
The Need for Speed
One main aspect that goes into gaining a profit from flipping a house, is evaluating your time frame. For fix and flippers it is more beneficial to be in and out as soon as possible in order to reduce costs. If you are stuck on a property, more time and money must go into the project.
When considering a fix and flip opportunity it is important to consider the feasibility of the project. Are you actually able to fix the property? By being able to detect which aspects of construction you can complete yourself, you are able to save a lot of money. However, if you overestimate your abilities, this can lead to a loss in profit because of the time you have wasted and the extra help you will need to finish the project.