Posted by ken in sc on January 26, 2003 at 16:22:53:
It is not about “markup”. You are only thinking of yourself. Think about your buyer (rehabber). What does he want? What profit does he need? Sometimes you make $1,000 wholesaling and sometimes $10,000. A rehabber should not care what you make as long as he is getting the deal that works for him. That is why you watch and learn from them. Ask what that last guy spent on fixing up the house and holding costs, then what he sold it for. How did he do on that deal? Was he satisfied?
I am not a big Ron Legrand fan but I do like his wholesale course. Bronchicks book “Flipping properties” is good, too. Kepp learning. Once you get the basic numbers down, you can analyze a house in 15 minutes. Thats how it is done in the real world. And you will get there. Everyone must get past the first part of the learning curve. Keep going - it is worth it.
My partner and I are from central Nebraska. We are able to find properties but we need cash. Banks are not willing to work with us, as both of us are lacking on credit. We have been unable to find investers to work with. We would partner with some one or learn to bird dog if necessary to get started. We did flip one last December so we know it can be done. Advise and suggestions would be helpful.
Thanks, Phil
You should take a look at Steve Cook’s web site and news forum. He is the authority on flipping homes and his site is great. He also has some great materials that are priced reasonably that teach you from A to Z about flipping and rehabbing.
Re: Need help buying fixers and flipping. - Posted by ken in sc
Posted by ken in sc on January 25, 2003 at 12:26:40:
Until you can buy/rehab on your own either through investor or bank financing you have a problem. I would start trying to get good deals under contract (with an out) or under option and then run ads looking for rehabbers to sell to. This is known as wholesaling and is a good business. I do wholesaling as well as rehabbing and like the mix. By wholesaling for awhile, you can make money and get your credit situation squared away. Also, you can watch what the rehabbers do and learn from them. Later you can rehab yourself.
Bob-MD, Thank you for your help. This may be posted twice, as I replyed earler but it has not shown up yet.
I checked out Steve Cook’s web site and his courses look good. Thank again, Phil
Thank You Ken, What percentage is good for a mark up?
Now that you got me to thinking about the flipper we had last December that is what we did and did not know what we were doing. Thanks again, Phil