Six-step approach for a successful hard money house flip
Hard money lenders, seek your first fortune in the flipping housing market. Follow the simple six-step process to directly begin your gold-hunting game.
1. Educate yourself
House flipping is never a fantasy story. Instead it is a risky journey, congested with tough decisions and misleading intersections. Don’t be too shy to ask those “silly” questions. Remember that you are investing your money, in your home, and most importantly, to get your own profits.
2. Plan for your funding
Undoubtedly, not all the investors are “Gatsby”. That’s why figuring out how your funding comes from really matters in a house flip. Partnering, private money support or a combination of financing options can all work under the professional guidance of Sunset Equity.
3. Find leads
You definitely what to find your perfect housing flipping deal with the right location, reasonable price, decent neighborhood, and of course, promising future of value increment. It’s not always easy. Don’t waste your precious time getting lost in the complicated and competitive housing market. A real estate agent can make you halfway. Contact Sunset Equity right now.
4. Analyze your deal
In a house flipping deal, there always lies a core question — Will this deal make you money? To ensure your ROI (Return on Investment), first analyze your prospect and MAO (maximum allowable offer) carefully and closely. Either overconfidence or caution can’t optimize the profit you can benefit from in a house flipping investment.
5. Sign your offer
Even if you feel that you have set a reasonable offer pricing, most of the time however, you will get shot down. Get prepared, house flippers, and don’t be disappointed. What if once in a while, though, the numbers work for both parties? Then you get your deal done!
6. Manage the flip
It’s your flipping house now! What do you want right this moment? Get the flipping construction done as soon as possible. Here’s trick to make your contractors work just as what you need — The more detailed your contract is, the more quickly and efficiently your job will be done. To be super specific, “A quartz counter top is not needed in the house”.