I hear people say this all the time when they talk about getting started flipping houses. “What if I can’t sell it?” It’s hard to say what will happen if it’s something you haven’t even tried. The reality is you can’t be certain…of anything. What you can do is commit to the flip and have a plan B in mind in case you need to course correct.
So let’s say you buy a house to fix and flip.
And what if when you start the project you begin to think you need to re-evaluate your plan? If you feel that nudge, listen to it. Look at the comps again. Is there a chance to wholetail the property? (do less work than a full rehab). If you had planned on wholetailing should you consider a full rehab? Let the numbers and the comparable sales be your guide and remember…DO NOT OVERSPEND.
You could also choose to rent the house.
While being a landlord may not have been in your plan it may be an option. Maybe the tenant will want to buy in the near future? If so, you may have a great setup where you are able to generate some revenue and secure a future opportunity.
At the end of the day, some investors will choose to take the sale (with a loss) to just be done with the deal.
And that’s fine. Just know that you have a choice. You can choose to sell the house at a price you may not love, or you can choose to keep it as a rental. You could also choose to offer the home as a lease option or a contract for deed. Understanding your options will be helpful as you navigate which option is best for you.
So you’ve purchased a house to flip. Now what?
Want to buy a property and renovate it?
For more inspiration for home renovations, follow me on Pinterest @thresholdhomesmn