How to get the best price for a house you are flipping?
We have five rules for getting a house at the best price:
1. Buy a house that others are unwilling to buy. For example, most people tend to avoid houses that have bad odors like pet urine or smoke.
2. Buy a home that has been on the market for a while and has had at least two price adjustments. Ideally, you want the most recent price adjustment to be 20-30 days ago. This indicates a motivated buyer that may be willing to take a low-ball offer.
3. Buy a home off-market – high producing teams have lots of pocket listing. These are homes that have signed a listing agreement but have not listed yet. This allows you to get a great home without any competition.
4. Find out what is important to the seller – i.e quick closing, or in an estate sale (or downsizing) allowing them to leave heavy furniture they no longer want. Give the seller those items that are important to them in lieu of a strong price.
5. Never get emotionally attached to the home, home flipping is a business. Have your walk away price in your head before you put the offer in, stick to it, and move on if you can’t get the home for that price.
These tips will help you purchase a home at the best price allowing you to maximize your profit margin!
Click here to figure out how much you should pay for a home you are planning on flipping!