Paul W Sullivan & Assoc



Posted by Paul W Sullivan & Assoc on 9/22/2019

You can make money by investing in real estate. One way you can do this is by flipping houses. Flipping a property refers to when you buy a house to sell it for profit. The purchase is a short-term investment that requires much planning as it could be quite dicey. Buying a home to sell is a great way to make money, but it requires skill, careful consideration, research, and sometimes pure luck. No matter what kind of property you decide to invest in, there are many things to consider when you are getting ready to start flipping houses.

There are two main types of house flipping:

- A real estate investor purchases a house that could potentially increase in value if repaired and updated. After completing the renovation, the investor makes money from selling the home for a higher price than the total cost of the purchase and improvements.

- A real estate investor identifies an undervalued property in the market in a neighborhood with fast-rising home values and holds the property for some time until the house has a higher value. They then resell the house profitably.

Common types of property to flip

- Single-family houses: These are the most common types of homes to flip. These include bungalows, semi-detached houses, townhouses, and freestanding homes. They are the easiest to buy and sell as they are most readily available.>

- Multi-family residences: You can renovate the existing units or add more units to the property to make it more attractive to buyers.

- Retail properties: You can buy a property and restore it to make it suitable for specific use as a restaurant, bar, or store.

- Land: This is the most difficult as there are more processes involved and building on a new property is more expensive than renovating an existing one.

Benefits of house flipping

- You have a significant level of control over many elements of the project through research and analysis

- You can flip any house as long as it fits your needs and requirements.

- The team you hire can significantly influence the success of your flips like an experienced real estate agent, an interior decorator, and a reputable contractor.

Disadvantages of house flipping

- You might lose your money if you don't get all the expenses right or you run into unexpected costs

- Sometimes you have to pay capital gains taxes when you sell a house.

- You may end up spending more than you should on a home if you misjudge the neighborhood.

If you are looking to start investing in real estate, flipping houses is a great way to start. Speak to a real estate agent and an experienced contractor to begin.





Posted by Paul W Sullivan & Assoc on 7/14/2019

Because real estate is a people-oriented business, most agents are happy to answer questions and provide advice after the sale. Whether you've enlisted their help to purchase a house or sell one, your working relationship does not have to end the moment you sign the final papers.

Professionals in the real estate business are generally service-oriented and interested in cultivating ongoing client relationships. If you've been fortunate enough to find a real estate agent who exceeded your expectations, then they'll most likely be a resource you'll want to use down the road. Assuming you had good rapport and that you're satisfied with their service, here are a few solid reasons to keep in touch.

Reliable source of advice: When you consider the training, knowledge, and experience that a seasoned real estate agent has, having them as a professional contact can benefit you in a number of ways. As an example, many agents are familiar with the impact home improvements can have on resale value. In other words, if you're thinking about upgrading, expanding, or altering your property, a knowledgeable real estate agent can provide insights into how that might affect your home's current and future market value. Since every type of home improvement brings with it a potential return on investment (ROI), it's an important aspect to consider when remodeling, adding an addition, or making a major change to your property. Many real estate agents have cultivated relationships with dependable contractors, remodelers, and installers to whom they may be happy to refer you, too. As a homeowner, you will invariably need reliable recommendations, sooner or later, and real estate agents are often a great source of contractor referrals. As you may have already discovered, it can be a frustrating experience to try to find a good home improvement contractor or other service provider when you're starting from scratch or relying on the credibility of online reviews.

Help for friends and family: If you're not planning on buying or selling a home in the near future, there's a good chance someone you know would benefit from the help and advice of a proven real estate professional. Even if a family member or acquaintance just needs assistance in finding an affordable apartment or house to rent, real estate agents often have the connections and resources to provide options that others may have overlooked.

Income and Investment properties: After shelling out tens of thousands of dollars to landlords, over the years, some homeowners consider "turning the tables" and becoming landlords and real estate investors, themselves. While this is certainly not a guaranteed path to financial independence, some people do become quite successful at it. If you have a tolerance for risk and the tenacity to pursue it, then your real estate agent may be able to help you find some worthwhile income properties. It's not for everybody, though!

Finding a real estate agent who's results oriented, experienced, and a pleasure to work with is not an everyday event, but when it does happen, they're worth keeping as a trusted advisor for many years to come!







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