Category Archives: Investment Property

Can you become a FLIPPER?

What’s the Deal with Flipped Homes?


Americans love their home improvement and design shows. With entire channels dedicated to DIY, home decor and design, and everything related to U.S. real estate, we love the possibilities that lie within the real estate market in America. One popular aspect of many shows and publications is home or house flipping. We hear a lot about flipping homes, but what does that really mean? Is it feasible for everyone? Are there risks? Should you buy a flipped home, and what questions should you ask if your property search lands on a potentially flipped property?
What is Flipping?
Flipping is a predominately U.S. term used to describe purchasing a property with the intent of quickly reselling it for profit. Most of the time, properties that are purchased with the intent to flip are those that are distressed, abandoned, or otherwise in need of repairs that make the property less desirable to other potential buyers. Flipping has become increasingly popular throughout the U.S. in the last decade, and many people have become successful real estate flippers with the vast and varied real estate markets throughout the United States.
 Can Anyone Flip a Property?
Many programs on television make house flipping look easily attainable to anyone and everyone. The fact remains that flipping a property is risky business that requires a large amount of work, experience, funding (preferably cash), excellent credit and a good understanding and almost intuitive knowledge of the real estate market. If you’re interested in flipping properties, the best way to get started is by talking to someone who has experience and has had success in flipping real estate. There are many things to know about flipping real estate that should be addressed before the idea is even entertained.
What are the Risks of Flipping a Home?
There are risks with any kind of real estate investment, but inexperienced flippers can make a number of mistakes. There are a number of costs that come with flipping a property, and new flippers can make the mistake of not having enough money to cover the entire project – from the acquisition of the property, to the renovations, taxes, utilities and more. Another risk of flipping properties is time, or lack of time. Finding the right property can take months, and once you own the property there is a time commitment to renovations, commuting, inspections, and ultimately the marketing and selling of the property.
 Other risks that new flippers run into are not having enough knowledge about the real estate market and failing to purchase the right property for a flip; a lack of skills when it comes to working on the property and putting in the sweat equity (hard work) required to get it up to market standards; and ultimately lacking patience when it comes to the entire project as a whole.
 Should I Buy a Flipped Home?
Often, flipped homes have mostly cosmetic changes done in order to attract buyers and ultimately get the property sold. You might fall in love with fresh paint and brand new appliances, and generally speaking, most flipped homes attract many buyers because they have a smaller initial to-do list than other properties on the market. If you’re looking at a property that could be a flip, be sure to ask these questions: What is the home’s sale history? If the home recently sold for much less than its current asking price, it’s possible it is a flip. Does the outside of the home match what’s inside? If the exterior of the home is older, and the interior looks brand new, it’s very possible someone is trying to flip the property. Information is your best friend when it comes to a flipped home, so getting the most information up front will help guide you toward pursuing the property or not.
 If you believe you’re looking at a flipped home, consider asking the seller what changes have been made to the property, and check to see if any permits were issued for the work. Also, some buyers might be blinded by all the new interior cosmetic updates that they forget about the bones and foundation of the home. Regardless of whether a home is old or new, always hire an experienced and licensed inspector to check over the home to make sure you’re getting the most for your money when it comes to buying a property.
Contact me if you are interested in becoming a FLIPPER!  Lisa Bear 262-893-5555 or lisabear@remax.net
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Real Estate Investments: Are they Right for YOU

Are high yield real estate investments right for you to include in an investment portfolio? To answer the question, the prospective investor must consider the type of real estate investment and the possible risks.

Real estate investments are trusts that purchase and improve properties for the sole purpose of investing. Examples of properties and similar assets are apartments, buildings, mortgages, resorts, and shopping malls. There are ways to determine if a real estate investment is right for you.

Determine if the Broker or Financial Advisor is Registered
Before you select a real estate investment, ensure the broker or financial advisor is registered with Security Exchange Commission (SEC). Brokers and financial advisors should provide the prospective investor with information concerning real estate investments and the risks involved. If the issuer is not registered with SEC, there is a possibility the broker or financial advisor are running scams.

Types of Real Estate Investments
There are two types of real estate investments, public-traded and non-exchange traded. The difference between the two is public-traded investments are traded publicly and non-exchange investments are not traded publicly.

Public-Traded Real Estate Investment Risks
Most investments options come with risks, including public-traded real estate. There are two possible risks involved with public-traded real estate investments. The first risk is when the interest rate is high. According to some economists, public-traded real estate investments don’t perform to its potential when interest rates are increased. Another risk is selecting the wrong real estate investment.

Non-Exchange Real Estate Investment Risk
The biggest risk of non-exchange real estate investment is deficiency of liquidity. When there is a deficiency of liquidity the investor cannot sell shares. Other risks are inability to determine the value of a share and to monitor the value.

Ways to Purchase and Sell Real Estate Investments
Prospective investors can find a list of publicly traded real estate investments on a stock exchange. Shares can be purchased through a licensed broker or financial advisor. If you have an interest in non-exchange investments, select a reputable broker who specializes in non-exchange real estate investment options. There are several options of publicly traded real estate investments, such as, preferred stock, debt security and common stock. The Jakob Pek Fund is an example of a real estate investment company that manages invested capital for limited partnerships and mortgages.

Both non-exchange and public-traded real estate investments offer high returns on invested capital. You can determine if a real estate investment is right for you by performing research on both options before initially investing. The downside of non-exchange options is prospective investors are unable to do research until the offer closes. If the broker or financial advisor is registered with SEC, you are probably selecting the right high yield real estate investment.
About the author: Brooke Chaplan is a freelance writer and blogger. She lives and works out of her home in Los Lunas, New Mexico. She loves the outdoors and spends most her time hiking, biking and gardening. For more information on high yield real estate investments, talk to the Jakob Pek Fund, a leading real estate investment company that manages invested capital for limited partnerships and mortgages.

Home flipping is hot again

Flipped Homes Increases 18 Percent

Home flipping is hot again!

Looking to make extra money — here is an idea and I can help you with it! House flipping is buying a house or property with the intent to sell it for a profit. Learn how to finance, budget and make money from house flipping.

43,197 single-family homes and condos were flipped and sold as part of an arms-length sale for the second time within a 12-month period—in the third quarter of 2015, they were 5.0 percent of all single-family home and condo sales during the quarter.

Contact me for more info!

10% down investment property

Looking to invest in real estate?

I can offer 10% down investment property,  no PMI, on non-owner occupied investment properties.
2-4 units.

Fannie mae guidelines require 25% down payment. I can offer much better options.  Look at it this way… for the same investment an investor can purchase two properties!

Contact me today!