Risk it all in flipping?

What I mean by that title is what price point and rehab can you afford? Most private money is 18% and that can add up if you don't sell you property within 60 days. If you pay cash still look at the time frame and the money that could've been made in that time fram if you passed on the purchase.

You want to remember that when you get your home sold it may not be sold. I just had a buyer back out of a contract because there son was no longer going to live with them. They simply decided to not buy the home. The escrow was opened for over 30 days. The inspections, appraisals, and loan had all been approved. The closing date was in 2 weeks. no red flags anywhere.

When doing a flip their is no accounting formula that you can use that meets every aspect of your situation. So I invented one. First test your stress level and make sure the property is not to rich for your blood. Second make sure that the spread is wide enough to make money with. Third make sure and know all the cost associated in buying, selling, and rehabbing it. Get a time frame for when the work on the rehsb will be completed.

If all those test say go then that will help you in your decision making. Also make sure not to be emotional on a buy. Their will always be another deal.

So have fun in investing and know your three test questions.


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Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.rooftopprofitmax.com/