Unless you’ve been looking at ways to invest in the property market, it’s fair to say that you may not be familiar with the subtleties of house-flipping. House-flipping is, by definition, the art of buying a property at a low price and selling it for a profit. What’s the secret of the value increase? TV shows such as Flip or Flop, Flip this House, Masters of Flip and Flipping out give you insight into the process. At the heart of it, and despite what the entertainment industry might suggest, house-flipping is more than deciding on an interior style. A lot of shows focus too little on the renovation side and give too much weight to the decor. In reality, house-flipping is about renovating a property and making it attractive to future buyers – most improvement works need to make structural changes instead of stylish enhancements. In other words, you need to be ready to get your hands dirty. But when done right, house-flipping can be more than an investment strategy; you can make it a profitable career.
It can be a full-time creative self-empowering activity
House-flipping gives you the opportunity to develop and apply your sense of practical creativity. Indeed, we’re not talking about office-based creativity that can unlock high financial endorsements from partners and managers. When it comes to flipping properties, you are limited to what you can afford, and there’s no pitching an idea to unlock more funds. Consequently, you have to be creative to make it work in a difficult market. First-time buyers, for instance, are keen to purchase but they want quality homes at a low price, meaning house-flippers need to be competitive to develop the most cost-effective solution. Consequently, this also involves a lot of DIY – you’d better buy a second-hand forklift vehicle and ensure clear access to all the forklift parts and tools you’ll need – to keep the renovations within budget. But you’ll love to see the house shape as you work.
It’s a way out of a dull career
More importantly, it’s the surge of creativity that attracts more and more individuals to the house-flipping business. If you feel stuck in a career path that doesn’t suit you, you might be able to transfer some of your skills into house-flipping. Indeed, the first lesson is to remember that you are never stuck in a career – house-flipping requires analysis, craft skills, financial know-how, sales skills, and creativity. You can take action to move your job towards a new objective, by flipping properties as a side hustle for a start.
It’s not just a job; it’s an investment
Of course, the first reason for people to flip houses is that it can be a highly profitable investment strategy. You can start with small projects to get the hang of it and get used to your construction crew. But as you become more experienced, you might find that the investment can replace your full-time career. One important tip, though, is always to take repair costs into account when buying a property – and remember that these are likely to be substantial!
For a lot of professionals who are getting bored in an office job, house-flipping offers an attractive alternative. The combination of craft, creative and practical solutions, as well as the immediate profit, make it an exciting full-time career, or a side investment at the least.