How to Start a Business Flipping Houses
If you’re looking to learn how to start a business flipping houses and investing in real estate, then you’ve found the right place! Learning how to invest in real estate is a very valuable skill that will help you achieve financial freedom, time freedom, and help you retire early. Whatever your financial goal is, you can achieve it through real estate investing.
Getting Your Real Estate Investing Business Started
So what are the first steps to starting your real estate business? You might be wondering, if you need a real estate license before you become a real estate investor? The short answer is no, but if you’d like a more lengthy explanation, you can read more about it here.
The next step is to create your business entity. You might get stuck thinking about a name. Don’t let that stop you from forming your entity as soon as you can. This is just the first step. If you’re uncertain about what type of business entity to choose, I’ve written a great article that can help you decide.
How to Find Leads for your Real Estate Business
Finding leads is going to be the lifeblood of your business. The more leads you have, the more opportunities you have to make deals and make money. However, just creating a business entity isn’t enough to bring the leads in. You’ll have to do work. Creating a list of leads can involve numerous tactics, but you can also buy a list of leads if you have that option.
Marketing for your Real Estate Business
If you’ve never done any marketing before. That’s okay, I have a marketing guide for beginners. For more advanced marketers, I also share how you can create a successful direct marketing campaign.
Identifying Motivated Sellers
Now that you’ve done some marketing and have built out your leads list, you can start talking to sellers. Although, just because you are able to talk to a seller, doesn’t mean they’re motivated. Understanding what motivates a seller, leveraging those pain points, and providing a solution is how you make deals and make money. So how does one identify a motivated seller? You ask them questions. You can read which 4 questions I ask to gauge motivated sellers here.
It doesn’t stop at just identifying who a motivated seller is. Once you do, you should be prepared to present. Luck is where preparation meets opportunity, and you want all the luck on your side. So be sure to be prepared, because being prepared also gives you confidence. And confidence really helps reassures sellers they are working with the right person. A great way to prepare is to have a credibility binder.
This might all sounds easy, but it’s not. Sellers will have objections, so you need to know how to respond. If you can overcome their objections and the math works out to be a profitable deal, then congratulations! You’ve made a great deal.
Analyzing The Deal
If you have not analyzed the deal at this point, you will need to. We have a net equity sheet that helps break it down for you, but if you’re not in our program, you can utilize comps in the area that you’re doing the deal in. However, you should be know how to do comps, because the closest house to your investment property isn’t necessarily the best comp for it. Learn how to avoid losing money on investments.
Funding Your Deals
If you have a lot of capital, that’s great! You will be able to purchase houses and get a good interest rate. However, if you’re like most new investors and you don’t have a lot of liquid assets, I recommend doing a subject-to deal.
You can learn more about it in my Unlimited Funding Program.
What’s great about this program is you will use the seller’s financing, which probably has a great interest rate on it already. You might be asking, why the seller would agree to this. There are many reasons why a seller can be motivated, and the more you work in real estate investing, the more often you’ll find these opportunities. There are a lot more circumstances that may get challenging to figure out, but if you purchase my programs and get training, you’ll be fully prepared for anything that comes your way.
So if you are ready to start your real estate investing business, I invite you to download my Unlimited Funding Kit now!