7 Things I Desperately Wish I Had Known When I Started Flipping Houses
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- Опубликовано: 16 сен 2024
- Learn more: www.biggerpock...
When I first decided to flip houses… I was a bit arrogant.
I thought, “how hard could this really be? I mean… it’s just like the TV shows, right?”
Wrong.
I’ve spent the last decade buying both rental properties and doing house flipping, and I’ve learned a LOT. Sometimes I wish I could go back and give myself some advice. But I can’t. However - i can do the next best thing: I can share that advice with you.
Therefore, in this video I give you: seven things I desperately wish I had known when I started flipping houses.
Read more at www.biggerpock...
![Calculating Numbers on a Rental Property [Using The Four Square Method!]](http://i.ytimg.com/vi/T_7vhsSBi7c/mqdefault.jpg)
1. Work doesnt begin when you buy the property. Start it before.
2. The scope of work is important. Detail list of all items that need to be fixed. It's a roadmap.
3. Cheap doesnt mean a good deal.
4. You make your money when you buy. Do your math carefully, make a profit.
5. Dealing with contractors is hard. Hire the best ones.
6. It's more expensive than you think to rehab a property.
7. Flipping houses is not easy but it's worth it. Requires patience practice skills budgeting managing. You learn as you do.
You're Welcome 😊🙏🏡
I mean,if they're too lazy to watch then they re already in the wrong mind frame.
8. There are no worthy shortcuts when it comes to flipping. Same applies to this video. Just watch it! ;)
Thank you!!
This was great, I have been researching "investing estate" for a while now, and I think this has helped. Have you heard people talk about - Ponasson Estate Earthman - (do a google search ) ? Ive heard some extraordinary things about it and my mate got cool results with it.
I wrote it out to help others follow along & not miss the key points. You can also write this post down on a notepad & keep it. 👍🙂
I agree with a comment below - finding the right subcontractors is EXTREMELY important to a smooth running flip project. Once you have subs you know and trust, projects become much easier to manage. Thanks for the Great advice!
And....... YES Costs are ALWAYS Higher than you think they will be. Work out the numbers, document your DETAILED scope-of-work and Get bids/pricing from your subs. Don't forget to add your overhead costs like Insurance, Bonding(if applicable), your PM time, and of course your PROFIT on top of all other costs. Once you've added all of this up, add in a little extra (2-3%) contingency and you will probably be getting really close to the Actual cost of flipping or rehabbing the property(Assuming you don't run into any unforeseen problems like Mold, termites, foundation issues, water damage, METH contamination, etc........)
meth contamination?? god damn you bought the walter white special didn't you
I flip home and YES dealing with contractors is very hard sometimes.
@@thefertilemind lmfao
your very encouraging. I haven't flipped a house yet but I do have rental and owner finance homes. I'm older and just trying to create retirement income. keep up the vids.
Flip your collar down
haha, douchebag. Maybe it was an accident and I am being critical
Lmfaoo
Lol this made me laugh harder then it should
Thats fucking funny bro hahahahha
I didn't even notice until I read your comment.
I was told from a 20yr investor who has his whole crew and is very well known in the field, that he can and has sold properties over than the arv, cause he does better rehab and makes em look nicer. It makes sense, but its doubtful when so many people say otherwise, like you just said now
Thank goodness for you and bigger pockets! You guys inspire my husband and I so much!
have not hired a contractor yet. I've hired roofers and found a helper who knows a lot about everything. I pay him 16.00 an hour and I help him. 5 doors so far. I had framing experience years ago and had built a lot of furniture and cabinets. I've learned a lot since I started this and I love it.
These are all fantastic tips! I've done four flips now and they've all been different; something that I haven't done a good job of is coming up with a good work scope before starting a project. The flip I'm doing now is the most extensive that I've done and that wasn't exactly expected. We called an audible two weeks into the project and decided to ad a bathroom at the cost of $8,000 which will increase our ARV by $30,000.
In terms of materials three out of four of the houses we've flipped at this point are in the same neighborhood. We actually use the same materials in every house and change small things like wall color and floor color while using the same brand of floor and the same flooring contractor. That has really simplified the process and helped us to calculate our costs more accurately ahead of time. Of course I'm pretty new with this.
Hey, I’m new into Real Estate House Flipping and you seem like you’re well educated in this, would you be willing to help me know what I need to know about flipping houses?! message me at +16262251691
@@Chris-rn3yz yeah I'll give you a shout.
I wish you would make 7 separate segments breaking down each topic.
Please!
YES to vetting the right contractor...I've seen too many people get burned by cheap labor or not knowing what a lien waiver is.
Always do your math carefully when doing a flip, not to be confused with Always do your meth carefully when doing a flip lol
Ill do the math and let them do the meth 😆
Thank you for sharing your knowledge with us. These 7 tips I would most definitely take into account when I start flipping properties in near future .
Opening a checking account for the property. So you open a checking account for each property you flip? Open and then close it when you sell it again?
Thank you Brandon ❤
You were awesome in SuperTroopers. Great movie.
Good thing my uncle is a senior experienced contractor 😎
Hey Brandon and everyone else! I’ll be closing on my investment property this month.
I don’t know whether I should flip or rent.
This house was owned by a friend of mine. He had spent the last five years renovating the entire house which was built in the late 80s and is in a very hot great neighborhood in Charlotte. He had lots of money and decided to do everything in an upscale fashion and I knew the house well. And everyone just loves it. He just passed away recently and the executor wanted to just sell the house quick and close out the estate and he is selling me the house about $50,000 below market value because he just doesn’t want to mess with it. He’s very busy and just wants it off his plate so he excepted my very low offer.
So that’s my story on this house and thanks a lot for all your videos!
Mark Dixon
Try to flip, if no offers then rent
Your popped collar is cool. The haters are gonna hate so just let them.
Thanks for all the information you’ve shared with us over your channel. I am thinking about getting in to the house flipping business. I am thankful for all the info you share with us.
God bless you
great information. good advice and great video.
Brandon, fix your collar 🤣🤣
My Dad has been a Union carpenter and certified superintendent for 35 years and we want to flip a house because we wouldn’t have to get a single contractor but HOWWWWW does all of the behind the scenes stuff work?! The loans and getting a house in general blows my mind.
Joey Svehla I have resources for you getting funding specifically for Carpenters and Contractors !!
I've only recently been interested in "flipping houses". Anyone else with some good advice on how to get started
Thotty DaGod I got some videos with some things we’ve learned. :) good luck! Keep looking on RUclips for advice. Especially bigger pockets!
You can get this book, it will really help you
payhip.com/b/nUhE
Almost done reading "The Flipping Blueprint" by Luke Weber. Lots of great information in there.
My husband and I have built 3 homes and contractors can skim by just to get paid. Now that you've reminded me of that, Thank you for talking me out of flipping house..lol seriously!
This Is So Awesome, Great Stuff man. Thank U.
Great video thanks Brandon!
Great advise! 😊
Many thanks!
I desperately wish I had know that buying a house cheap enough so you can sell it for $25K more immediately (wholesale it) to the person who will renovate it is faster, easier, less time consuming and way less stressful than picking up a hammer.
Land Academy foreclosure ones?
how do you find buyers for wholesale projects?
Hi! Quick question, so we purchased a home in Hawaii with 75,000 sq/ft. for $650k and spent $100k in renovations back in 2005. Fair market value has my home valued at $1.4M (assuming this is accurate). Should I sell and reinvest with the profit or should I rent it out?
sell
I would sell and use part of the 650,000 profit to invest in another flip and so on and so on.
Sell
A lotta work and a lot fixing! Did podcast on this.
Good thing I’m the contractor working for myself flipping the house haha.
You're very informative! Thank God I subscribed.
Thanks for the tip Brandon....I'm looking to do my first flip this year...my past projects have been rental grade renovations and lease option...I want to soak in all of the flipping training that I can before doing one...I would like to flip SFR and invest in multi families...
Cool info , yes buy for the right price !
Brandon do you recommend flipping and leveraging other forms of active measures to earn income before pursuing rentals and passive income...or to do them simultaneously....
John Lewis 🚨🚨🚨CAN WE GET A ANSWER
I'm 15 but my mom and my moms friends flip and rent out houses so I am definitely planning on doing so as well. Any tips for someone who is younger and planning on doing these things?
Sticking it To The Man .. Yeah kid, get your education FIRST, then you can go flipping! It'll be easier, a lot easier if you do ..
www.RealEstateConsultingServices.com
Why not get advice from your mom?
That’s a great idea, I will get advice from your mom
Good stuff. Pop ya collar! ;0)- Seriously, you popped your collar on one side, I chuckle.
Your communication skills are impeccable. Have you taken any classes/gone to seminars on public speaking? Thank you. :)
No I have not, thankyou. But I did go to Jedi training I now can move things with my mind during a lecture. Taking a dump is much more interesting now.
Great tips. Thank you, Brandon.
Tanx alot for these free valuable information.
How will you know/check the house cap or the after/repair value? My idea is buy a house for 90k, spend 20k on materials, sell for 140k. Does the plan work? Me and my dad would do the work so no need of contractors.
anyone notice that super speed ball of spit coming out at 3:44 ha
It made me duck!
I hate you 😂🤣😂🤣 now I can't unsee it lol. I didn't notice til I read this, then went back and watched at least 5 times in a row lol
Great video! Great advice :)
Great points Brandon! Do you start planning the cost once you view the home?
Thanks man... I appreciate the headsup. I'm just about to start doing this as a business venture. Doing all my research before I part with my money. Is there a good (real) starters guide you can recommend please?
www.RealEstateConsultingServices.com
Thanks for the info!!
awesome vid brandon!!! THANK YOU!!!!!
If you flip do you need a building permit if you do it yourself and then get it inspected by a building code manager?
Yes, all along the way.
Depends on where you live and what it is, always, always talk to the permit office.
So first building permit and then have it inspected?
Yes, Yes, Yes ...
great information thank you
I went to a library hosted real estate discussion years ago. The realtor speaker said if flipping houses was so easy, she and all her colleagues would be doing it, and these fixers wouldn't even make it to a MLS listing; the realtors would snap them up.
Do you guys have any mentorship available for first time flippers?
Good video and good advice. Thank you for that. But $30/hr. for a contractor made me laugh out loud. I don’t know where you live, but that was a bit of a slap in the face.
cry
pretty average asking rate for a skilled worker
-- haha no way, not if you live in California
No good contractor is doing work on your house for $30 an hour. If that’s what you’re expecting to pay just plan to be disappointed. Good tradesman make that much & more working for the contractor. So you’re definitely paying much more for anyone of quality.
Awesome!
"Crush it!" was that a gary vee poke?! Lol
when you mean a scope or work, are you talking about a home inspection report?
Hey Julio, a scope of work is everything that you want to do to the property. Yes that would include items that are in need of attention from a home inspection report, but it would also include all the cosmetic upgrades you want to do to the property.
New wholesaling reality show coming soon on our network.
What about funding for first time home buyers
Sounds like there are a lot of pit falls, it's too scary to try it. I'll probably loose money.
David Crandall then don’t do it
Cool
As a contractor it sucks to hear how many people get fucked over.
Good info. Music distracting
any video y’all recommend for someone learnin?
No video but I can recommend you this book. It get you covered payhip.com/b/nUhE
What if you have friends who are trustworthy and do good work instead of going out and finding contractors , isn’t that good as well ?
Never do business with friends, it’s not worth losing a friendship over
This video is several years old. Would your advice be the same today? If not, What would you change?
Good contractors know better to work for flippers
Jerkster wait why
@@liammcpeak2912 I would imagine the unrealistic expectations some people may have for their project based on their budget. People want to be cheap and then it falls on the contractor/subcontractors to make it work, which makes their life harder than it needs to be. Part of the job of course, but can be avoided with proper planning and education from the flipper. Imo
Mitchell Loy what kind of education? I am interested. I want to make the process better
@@roseinkpictures1782 Just understanding the depths of each trade and the order of operations towards the building project at hand. I've seen flippers request changes to the project after that stage of the job has passed, like moving a wall after the floor is already put it. It makes you and the contractor lose money/time
So people think it’s hard because it requires them to do work? Come on people. I haven’t heard any other complaints about house flipping other than “It takes a lot of time” like so???? It’s very lucrative, of course you’re going to have put in work. What’s so scary about that? I thought people didn’t like it because of some ungodly back bending you’d have to do, they way they talk about it but no. People go wrong cause they underestimate and don’t plan for it which is odd to me considering you’re buying a whole house and doing big renovations!
My dad is a contractor and architect and boss that has is own crew soo its easier for me if I ever decided to flip a house
Did you fix them yourself or subcontract everything? That saves you about 100 thousand right there.
His collar...
first of all take the restate test and represent your sell as the seller and buyer that alone says $15,000 plus. Do alot of the work yourself. Never hire a contractor their the middle man sub all the work out your self.
if you do all the work yourself you will never be able to scale up... that was the dumbest advice ive ever heard
You really want to flip houses doit your self and get help of the jornaleros that stand on different cities you can hire the right ones by days and is most sheaper that deal with contractors
3:51 oh really? im a contractor and our boss only lets us get what we need for the job whenever he feels like it makes us only clears checks when he feels like it work like dogs to make him bank i hope you never did this to ur contractors
3:01 please define "bad neighborhood"
trudaroof the ghetto
Not necessarily bad, but an area where the houses are all worth lower than what you want to sell the house for.
ok so ur a house flipper. well do u need everything to be fixed by someone that is certified? and do you need special schooling to sell a certain amount of houses per year?
Pretty Fancypants no you don't need schooling
I know this vid is old... but I'm just getting started and I have yet to find the answer to the age old question... how do you get financing for your first flip?
www.RealEstateConsultingServices.com
Or you could get a 'hard money' loan. These types of loans have high interest rates but you can buy anything with them instead of conventional loans which have to appraise the subject value for value and condition.
anybody else notice the spit that came out his mouth at 3:45.....or am I tripping.. but good advice lol
Lol u did him dirty with this comment🤣🤣🤣
Just be your own contractor so easy
No. Contracting is hard. You bid too low next thing UK you go under and your business is gone.
It is easy 😂😂
Ehh not a fan. This pushes prices up and creates the infamous housing bubble. Ordinary families are not able to afford buying a home in this market because of these kinds of activities. :(
I hate my contractor, I think he wants to be sued.
He probably hates you worst, and is looking forward in suing you first!! lol
Just kidding! I hated mine so bad that I divorced him and never looked back!! That business will drive you crazy ...
50-cent party
Skilled labor isn’t cheap labor unless your ok with your contractor exploiting illegal immigrants construction is expensive. Insurance, fuel , payroll and tools are a fraction of the cost that go into being a contractor. Everyone always complains about the price while knowing nothing about the industry. While there shady people in all walks of life you always have to be on the look out but just because something is expensive doesn’t mean your getting ripped off it cost money to do construction a lot of money
Welp it looks like the real estate market is back all the real estate Flipper's are coming out the wood work.
I found a house for around 90k. I think my opportunity just showed up
www.RealEstateConsultingServices.com
Many thanks, been searching for "real estate investor opportunities" for a while now, and I think this has helped. You ever tried - Ponasson Estate Earthman - (do a search on google ) ? Ive heard some awesome things about it and my buddy got cool results with it.
This is the 7 tips? Really? More like the kind of tax to expect when you actually sell your flip? Should you register as a Corp or a agent or an llc? So many things that you could of said
Llc
You should be standing 2 feet to the right, in front of the book case. You would have 8000 more views if you were 2 feet to the right. STOP STANDING ON THE LEFT!
for your health!
ocd lol
For your health Hahaha
Van I know it’s late but it’s called the rule of thirds
Damn wtf
Damn he kinda discouraged me.
$30/hr contractors? 😂 They own a business do they need to make money too.
5:31 What's he saying???
He said keieksocopwwoksmzmzkajskfjfred
"....or maybe they're greedy contractors and I don't have the right one".
Flippers have ruined it for people to get a cheap house.
How?
@@jah12879 house,s that would sell with a few issues for cheaper. Get snapped up to fix and flip. For a higher price. for some that keeps them from home ownership.
the way he keeps putting together his hands and separating them annoys me
I think you meant indentured servants not a contractor lmfao
Dude! stop moving your hands so much!!! I'm glad you're not a heart surgeon.
You're still a little bit arrogant.LOL
"I've spent the last decade now" -wait how old r u?