Published June 26, 2021
Top 4 Tips for First-Time House-Flipping Seniors
Have you ever thought about getting into the
house-flipping business? As a senior with ample time and an itch to work hard,
it can be a great way to get exercise and make some money while you’re at it —
if you know where to start. Let’s take a look at a few key things you’ll need
to think about before taking the plunge into flipping houses full time:
1. Consider finances
In order to acquire your first house to flip,
you’ll need sufficient funding. Buying a house to flip is more expensive than it would be to buy a house
to live in because the money necessary for renovations is often dependent on
current market conditions and you also have to factor in expenses for
utilities, taxes, and insurance while you’re working on it. Getting a loan can
sometimes be difficult as a first-time house flipper as banks may see you as
too much of a risk. Once you have a few houses under your belt, you’ll be a
significantly less risky financing candidate — but what do you do in the
meantime?
Some use crowdfunding websites to gain the
capital required to start their own house-flipping business, while others use
private lenders. Just make sure to do your research if you choose to go with the latter.
2. Grow your network
In the real estate business, it pays to know people. Contacts can lead to people who want
to do business with you — people who can help you do the actual renovations and
more. Even talking to friends and relatives can be fruitful. You can also join
local real estate groups (either on social media or in-person) and glean lots
of information from those interactions. The key here: Don’t be shy! If you want
to buy and sell houses — and be successful at it — you will need to meet and
engage with many different kinds of people.
3. Partner with a good realtor
Whether you want to rent out the house once
it’s flipped or you plan on putting it right back on the market, you’ll need a
friend on the inside of the housing market to turn to for advice and
assistance. In all parts of the process (buying a house to flip and selling the
house when it’s finished), Fred Amendola will know how to get you the best
deals, instruct you on how to tell if the house you’re looking at
needs specialized work (like window replacements), and be a critical part
of the negotiation process.
4. Invest in the right tools
You may want to hire contractors to help with the renovations. You
may also want to bring on staff to help with rental upkeep if you go that route
of ownership. Either way, you’ll need to have a system in place for paying
these folks. Even if you are only employing a few people, an organized payroll
setup can take out a lot of the headaches of processing
payroll. A platform that offers automatic scheduling and direct
deposit ensures you pay everyone on time, which keeps your staff happy and
motivated. Ideally, it should also calculate, file, and pay taxes for you.
Good luck with your new venture!
Flipping houses is rewarding work if you put the requisite effort into the business. As a senior, you can build a successful second career after retirement with this kind of work. Partnering with an experienced real estate professional can make all the difference when you’re embarking on your house-flipping journey. When you’re ready to get started, call Fred for more information.
Photo by Andrea Piacquadio from Pexels
Suzie Wilson
