To flip houses, determine operating costs. Secure funding, hire service providers, and apply for permits and licenses. Finally, locate properties to flip.
- Determine operating costs
Establish how much you need to get started in real estate. Some expenses include broker’s commission, Internet access, a vehicle and legal costs.
- Secure funding
Determine a source of funding. Do research on small business loans and home equity loans. Loans help you to get started if you do not have enough personal cash to purchase a property outright. Provide collateral or down payment to secure a loan.
- Hire service providers
You need a painter, architect, attorney, contractor and landscaper for a house-flipping business. Ensure that you hire qualified and experienced service providers. Visit the Better Business Bureau website to vet applicants before hiring.
- Apply for licenses and permits
Find out what licenses and permits are required in your state for a house-flipping business. Apply for and obtain the necessary licenses and permits to avoid legal problems. Work with a real estate attorney during this process for professional assistance in filling out applications.
- Start flipping properties
Locate properties to flip. Find houses for sale online. Foreclosure properties are often an excellent option for flipping because they can be bought below true market value.