When looking for funding for flipping a real estate investment property, it helps to get the best deal in town. Knowing where to find the perfect property that you can purchase at a low price, fix up, and sell for profit is key to successful house flipping.
In today’s real estate market, funding for house flipping opportunities will vary based on geographical region, economic factors and the market condition itself, such as a seller’s market vs. a buyer’s market. Even so, there are 4 main places all real estate investors can turn to when looking to find the best properties for house flipping.
4 Places to Look for the Best Rehab Properties
Getting the right property for house flipping means you must be informed and one step ahead of other investors. You need to know how to find the newest properties on the market. Then, act fast and jump on the best opportunities.
Search for potential investment properties by looking at trustee sales, tax auctions, sheriff sales, newspaper listings, HUD reports and through the Multiple Listing Service (MLS). While many of these properties may first appear an eyesore, look beyond the aesthetics to see the potential.
In house flipping, it’s crucial to understand what to look for and how to accurately calculate your rehab costs. Make sure you have the right tools on hand to help you calculate rehab costs and ARV when you walk the property.
Let an expert do the research. Get on a wholesale newsletter list and use your time evaluating and walking properties.
Many house flippers, property investors and rehabbers turn to property wholesalers for the convenience and their ability to find some of the best opportunities. Wholesalers are experts in finding the best deals. They know the ins and outs of contracting. Often, they can lead you to more investment opportunities.
Full-time real estate investor Mike Cantu of California said in House Flipping HQ the one thing he wished he had known when he first started house flipping was: “There’s new opportunities every day. Every single day. Your job is to become a master at finding them.”
Begin networking as soon as you begin investing in real estate.
The importance of networking cannot be stated enough. With deals coming and going every day, connections are vital. Attend educational events, sign up for real estate industry newsletters and align yourself with other experts in house flipping, such as hard money lenders and general contractors.
You can open your own doors to opportunity. Be first in line for the hottest deals. Network and surround yourself with right people in the real estate industry.
Don’t forget to look at your buyers. In order to be successful in house flipping, you need to know who is buying. This is where your mentors and connections can provide insight into what is hot in the market right now.
Take time to understand the types of people looking for your property before you begin rehabbing. If the house is in an up-and-coming trendy area, renovate with the young professional in mind. If it’s next to an elementary school, fixes should be made focused on what a young family would be looking for. You should always rehab the house with your buyers in mind and the types of people who will be living there.
Be Ready to Act Fast When Searching for Funding for Flipping
Begin any investment opportunity by having your financing in-line and approved first. This allows you to act fast when opportunity knocks.
Find a hard money lender who specializes in property investing and understands the real estate market in your area. Hard money loans are typically the easiest and fastest way to secure financing for major renovations, quick fix and flips and other real estate investments.
Catalyst Funding is a hard money lender who can help build your real estate investment opportunities. With a background in fix and flip projects and other property investments, we can provide funding for flipping, rehab resources, and financial guidance to help you through the entire process. We strive to be more than a lender! For more information, contact Catalyst Funding online or call us at (832) 648-3626.
Funding for Flipping: 4 Places to Find the Perfect Property | Catalyst Funding