Posted by AH on April 26, 2002 at 20:36:04:
Jeff R - Check the archives, there are a million posts on that subject.
Lease/options vs. Flipping - Posted by Jeff R.
Posted by Jeff R. on April 26, 2002 at 18:31:55:
Hi to all!
I have been lurking CREonline for the last couple of weeks and have found some very friendly and knowledgeable people here.
I am a newbie to REI and my question is; which is better for a newbie, lease/options or flipping (rehabs included)? I don?t have extra money to work with and I don?t have any problems with worrying about tenants. I would like to master one strategy at a time.
Can anyone help me with my decisions?
Thank you in advance for your quick response.
Jeff
Re: Lease/options vs. Flipping - Posted by Kev in Tx
Posted by Kev in Tx on April 26, 2002 at 22:31:27:
Hey Jeff,
I started Just a while back too. I can’t speak for L/O since I haven’t done them…Yet 
But my mentor advised me when i first started to do some rehabs and flips… to build up my cash position. She recommended not to hold anything until you have cash reserves. If you find the right deals you could do a flip for $10 - $100 of earnest money and rehabs can be done with little to none of your own money. Put some time into education and a mentor, this really helped me.
Good luck and have fun.
-Kev in Tx
depends on your lawyer… - Posted by Kristine-CA
Posted by Kristine-CA on April 26, 2002 at 22:29:20:
My lawyer understands lease/options and helps clients who do them but always prefers deals that you don’t stay in the middle of. I’m not in agreement about that. I’m definitely happy to know and to continue to learn about l/os because some of the calls coming in need that strategy but I’m not ready yet. But in answer to your question about deciding which to focus on, flipping or l/os: Flipping worked for me because I didn’t know the first thing about buying and selling houses. If you already have that under your belt, maybe lease/options would make more sense and are more plentiful in your area. When you read about REI, which strategy makes you want to go out and try to do it?
Good luck. Sincerely, Kristine
as a lawyer would say… - Posted by Brian M. Powers(MI)
Posted by Brian M. Powers(MI) on April 26, 2002 at 21:36:22:
it depends!
what area are you more knowledgeable in? are there more deals in your area of one type over the other? why do you have to pick one? maybe this month a killer lease/option deal will come your way and next month you will get a great “flipper” under contract.
BMP