6 Tips to a Pandemic-Proof House Flipping!

Posted by Wendy Poltorek // February 3, 2021 // Blog / Cleveland / Featured / Real Estate Investment / Selling Your House Fast / We Can Buy Your House // flipping homes / home improvement projects / property to flip / tips on best flips during the pandemic

The pandemic certainly isn’t slowing down the housing market. And the numbers prove it’s no surprise that housing demand is breaking records. To that end, house-flipping in different areas continues to be a great investment. And despite of the new covid variant uprising if you’re thinking of getting into the flipping business, read on below. Here are six tips to help you find the best flips during the pandemic.

1. Grab those low interest rates!

Before you can buy a home to flip, it’s crucial to get your financing in place. Luckily, right now the interest rate environment is favorable to investors. In fact, interest rates are at near-historic lows. If you don’t have enough cash to buy a property to flip outright, you should take advantage of current interest rates and secure financing that is both reliable and affordable. The record-low interest rates won’t last forever, so take advantage of them now before it’s too late. There are a number of lenders who work with investors on renovation loans.

2. Focus on finding a deal.

Remember, real estate investing is all about the math. Especially when you’re flipping a home, it’s helpful to find a property that’s listed below market value, which can be difficult in the current seller’s market, where buyer demand is higher than home inventory. If you don’t focus on off-market properties, you probably won’t be the only one interested in your favorite listings.

3. Move Fast Now!

In seller’s markets, homes tend to sell quickly, and you’re more likely to get into a bidding war. If you don’t act quickly when you see a home you’d like to flip, you will likely lose out. The sooner you can get out to see the potential property, the more likely you’ll be able to submit an offer.

4. Find the right contractors.

Once you’re under contract, your next step is to find the right contractors. Unless you’re a very experienced flipper, you’re going to need some help. Focus on finding contractors who not only give you a fair price but who also have the time to get the work done. Here, your goal should be to go with the contractor who offers the best mix of quality and value. Find ones who will get the work done both within a reasonable budget and on time.

5. Set a budget.

After you’ve gone over all of your estimates and found the right home to flip, the next step is to create a budget for the project. Without a budget, it’s too easy to put too much money into the property and end up selling for less than you’ve invested. If you want to make a profit off your flip, it’s important to keep your spending in check.

6. Choose the home improvement projects that have the most impact.

Finally, not all home improvement projects are created equal. Conduct sufficient market research so that you understand what type of buyer is interested in moving into the neighborhood where your property is located.

While flipping homes is not an easy business, investors who are willing to put in the hard work can earn great returns. The good news for those who have made a career out of the practice: It seems, at least for the time being, that house flipping has proven relatively pandemic-proof!