How to Find the Best Houses to Flip for a Profit
Search the Multiple Listing Service (MLS)., Contact and/or join Real Estate Groups., Explore tax auctions.
Step-by-Step Guide
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Step 1: Search the Multiple Listing Service (MLS).
This database contains all houses for sale whether under a listing contract by an agent's brokerage or by any other participating broker.
Your realtor (and the MLS website) can set up an advanced search listing requirements that you would desire in potential houses to flip.For example, tell your realtor (or use the MLS search function on the MLS.com website) that you’re looking for houses that are at least 3 bedrooms, 2 bath; minimum 1,300 square feet; and priced between $150,000-$275,000.
You can get much more specific with the requirements if you want.
For example, ground pools, extra storage, 3 car garage, built before 2005, etc.
Just remember that the stricter your requirements are, the fewer houses you’ll get a chance to look at.
The MLS website also has a "Find Foreclosures Near You" option that could provide a listing of lower priced properties. -
Step 2: Contact and/or join Real Estate Groups.
Joining a Real Estate Group puts you in the middle of the local real estate players.
In addition, when you are speaking with people in the group or talking up your next project, someone usually has a project in the works and is looking for partners.
You might also hear about properties an investor is trying to off load because they don’t have time to flip it or just need their money out of it for personal reasons.
You can make a lot of friends and valuable business associates from these types of groups.
To find a Real Estate Group in your area, do an online search for "real estate investment clubs."
Tax auctions and sheriff’s sales (properties being sold due to unpaid property taxes) are another way to acquire property for flips.
You can successfully flip property using sales of properties due to unpaid taxes but they’re a bit more risky.
You have to really know what you’re getting into and run your own "comparables" so you know with certainty the price you should walk away with at the closing table.
For unpaid tax sales, you will have to pay all back taxes owed on the property. "Comparables" refers to the price that properties are selling for that are similar to the one you are considering in regard to location, number of bedrooms and bathrooms, square footage, condition, etc.
You can find out about tax auctions and sheriff's sales at the website of your county or city.
Before the sale you must first register as a bidder.
Sales are made at a public auction and buyers will have to bid on the property.
You might want to consult beforehand with the attorneys who are representing the financial institutions whose actions resulted in the properties being brought for sale. -
Step 3: Explore tax auctions.
Detailed Guide
This database contains all houses for sale whether under a listing contract by an agent's brokerage or by any other participating broker.
Your realtor (and the MLS website) can set up an advanced search listing requirements that you would desire in potential houses to flip.For example, tell your realtor (or use the MLS search function on the MLS.com website) that you’re looking for houses that are at least 3 bedrooms, 2 bath; minimum 1,300 square feet; and priced between $150,000-$275,000.
You can get much more specific with the requirements if you want.
For example, ground pools, extra storage, 3 car garage, built before 2005, etc.
Just remember that the stricter your requirements are, the fewer houses you’ll get a chance to look at.
The MLS website also has a "Find Foreclosures Near You" option that could provide a listing of lower priced properties.
Joining a Real Estate Group puts you in the middle of the local real estate players.
In addition, when you are speaking with people in the group or talking up your next project, someone usually has a project in the works and is looking for partners.
You might also hear about properties an investor is trying to off load because they don’t have time to flip it or just need their money out of it for personal reasons.
You can make a lot of friends and valuable business associates from these types of groups.
To find a Real Estate Group in your area, do an online search for "real estate investment clubs."
Tax auctions and sheriff’s sales (properties being sold due to unpaid property taxes) are another way to acquire property for flips.
You can successfully flip property using sales of properties due to unpaid taxes but they’re a bit more risky.
You have to really know what you’re getting into and run your own "comparables" so you know with certainty the price you should walk away with at the closing table.
For unpaid tax sales, you will have to pay all back taxes owed on the property. "Comparables" refers to the price that properties are selling for that are similar to the one you are considering in regard to location, number of bedrooms and bathrooms, square footage, condition, etc.
You can find out about tax auctions and sheriff's sales at the website of your county or city.
Before the sale you must first register as a bidder.
Sales are made at a public auction and buyers will have to bid on the property.
You might want to consult beforehand with the attorneys who are representing the financial institutions whose actions resulted in the properties being brought for sale.
About the Author
Edward West
Professional writer focused on creating easy-to-follow cooking tutorials.
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