Coming to you from Denver, CO, Michael Owen talks about how success in real estate and making money by flipping houses has changed his life, and the life of his business partners and colleagues. Flip University can help you find similar success, and shorten your learning curve to do so!
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In any field, sport, profession, trade, or what have you, there are always some people who are very successful, and those who are not. Many blame the competition, the economy, or other external factors. The field, the sport, the profession, or trade does not care who you are, or where you come from. You simply have to know what to do, when to do it, and get out there and do it. And a little bit of luck never hurt!
In order to maximize your odds at achieving the success you want, you must have a firm grasp of the skillset you need. That means studying. Studying others who have the success you want. Learning the nuts and bolts. Finding mentors to help move your success along.
Achieving success is a huge motivator. That motivation will lead to more success, which in turn leads to more motivation.
If you want to learn the nuts and bolts; if you want the motivation and success, check out our online content here...
Selling on assignment refers to having a house in contract to purchase, and you assign the contract to another buyer for a finder's fee or commission. This is one of several ways of making money in real estate, particularly in hot markets.
Be upfront with the seller if you plan to assign the contract. Leaving it to the fine print to inform the seller is a sure way to cause bad feelings. You do not have to disclose any particulars with the seller.
Absolutely, under no circumstances, let the assignee (the person you are assigning the contract to) inspect the property without you present. You want to be involved in any communication that goes on between the seller and the assignee.
Make sure that your contract has strong enough wording to allow you to assign it.
Ensure that you have a solid signed contract with the seller before having any potential assignee inspect the property.
You want to...
If you are just starting out, chances are you have a full time job taking up a lot of your time. You might have family commitments as well. So how do you fit in the time to flip houses?
Michael Owen has some answers for you.
Learning how to invest wisely in real estate is very important. You could invest a lot of time and money in real estate seminars on weekends. You will end up spending a lot of money, and losing whole weekends or longer.
Learning how to flip online is now available. It is less costly than seminars, and you get to learn in the comfort and convenience of your own home. No travelling, no entire weekends gone. Flip University has those online resources available to you!
It's a good idea to meet local bankers, house inspectors, realtors, contractors, and even other flippers....
One of the keys to success in flipping houses, or buying investment properties is being able to negotiate effectively. Being a strong negotiator gives you a competitive edge against other buyers. It can make the difference between a deal being profitable for you or not.
I recently purchased a property, listed on MLS, for $35,000 below the asking price. In fact, this house was previously under contract by another investor for the full asking price of $160,000 but he found it was too tight a profit margin to make it worthwhile. I was able to negotiate a much lower price. One of the factors was that I made a cash offer, with incentives to close including paying for title and survey costs.
As a general rule, expect 3 moves (3 rounds of negotiations) before you land a deal. I made an offer of $100,000; they countered at $130,000. I offered $115,000 which was rejected. We settled at $125,000.
Good negotiating saved me $35,000 which...
When you are selling your house or investment property, you want to sell it for the highest price possible, with the minimum amount of time on the market. This maximizies your profit.
Paying attention to these key details will help make this happen. The first impression a buyer gets is the most important impression. You want a prospective buyer to feel good when they look at your property.
The first thing a buyer sees is the yard. The yard has to look well-maintained and manicured. The lawn has to be mowed, the edges have to be cut. Hedges and shrubs need to be trimmed. Tree canopies should be at least 7 feet off of the ground. Fences should be in a good state of repair. There should be no sign of trash on the property. A well maintained yard implies that the house itself has been well maintained by the owner.
Inside, the house...
At Flip University, we focus mainly on brick & mortar homes, homes on a permanent foundation. But that is not to say that money can't be made on mobile home flips. In fact, I know several people that do very well in real estate with mobile homes.
One advantage of mobile home investing, is the start up costs are significantly lower than that of traditional homes. A smaller amount of starting capital can get you into the game with mobile homes.
At the foreclosure auction, it's important to really pay attention and do your due diligence. Quite often at a foreclosure auction, the mobile home and the land it sits on will not be sold on the same ticket. If you have a mobile home on the property and haven't bought the mobile home, you will run into issues. Namely, the process may take 90 days to complete, and you may be on the hook for $10K-15K in expenses.
One plus factor is vacant property that...
Host Michael Owen discusses the importance of doing your due diligence when it comes to flipping houses.
While this is not an exhaustive list, missing any one of these details can reduce your potential proft. Or worse yet, it could put you in a loss position on your flip.
For more information on products and services offered by Michael, please visit us online by clicking here.
DIY is a way to keep your costs down on your flip. If you have the skills, and can do good work this might be an avenue to consider. Bear in mind, the time you spend doing the work yourself is time you aren’t spending on finding a buyer, or finding your next investment property. You have to remember that your work will probably be placed under close scrutiny by a home inspector. If the work isn’t good, it will end up costing you money. Any sub-standard work or issues found will result in the buyer asking for concessions on the sale price, or demanding the work be repaired or redone.
If you are hiring a contractor, be sure to hire someone who is bonded and licensed. Check out the contractor online for reviews. Ask the contractor for references of people that he has done work for. You may find contractors at home improvement stores such as Home Depot or Lowes, buying larger...
When it comes to flipping houses, Flip University co-founder Michael Owen knows his stuff! In this video blog, he gives very useful free tips and advice on how to invest in and capitalize on your flip properties.
It is very important to know your numbers and local real estate market factors. Your research begins well before the foreclosure auctions. You need to have scoped out the properties you are interested in, and have done the math on the numbers including the bank value (minimum bid), square footage, cost per square foot, budget for anticipated repairs, comparative market values, and the after-repair value. This will help you decide on the top dollar you should pay for a given property.
Be disciplined at the auction. Do not let yourself get involved in the heat of the auction. Do not bid above your researched top dollar value for the property. Emotions and ego do not pay the bills -- disciplined research will help...