6 Steps to Financing Your Education by Flipping Houses
If you’re planning to enroll in college as an adult, you might be curious about unconventional strategies for covering your tuition costs. Rather than taking out student loans, you could finance your education by flipping and selling properties. With help from Decks & More, you can transform a fixer-upper into an attractive, cozy home! Here’s how to form an LLC as a flipper, choose and renovate the property, and market your flipped home.
Establish an LLC
Forming an LLC for your house-flipping business will keep you and your assets protected against litigation. You could hire a lawyer to help with this process, or you could save money by using an online formation service instead. Just make sure to look up your state’s rules for LLC formation first.
Prepare Your Finances
Yes, it’s possible to invest in a fixer-upper with very little cash upfront, but putting money down on a house and subsequently flipping it does cost money. You’ll want to ensure that you’re financially ready before you make this decision. Do Hard Money states that in addition to your down payment, you’ll also likely end up spending a little more than ten percent of the home’s purchase price on renovations.
Choose the Right Property
Choosing a reasonably priced property in an up-and-coming location is the key to getting a solid return on your investment. To pick the right house, New Silver recommends looking at areas with new developments, avoiding unsafe neighborhoods where crime rates are not improving, and keeping an eye out for under-valued properties that will likely only need cosmetic renovations. Keep a lookout for neighborhoods where new businesses are opening and research where other local investors are buying homes to get ideas.
Build a Deck
Once you’ve chosen the right house, it’s time to start planning out necessary renovations and budgeting for these projects. You’ll want to prioritize projects that will likely boost your home’s appraisal value. For example, you’ll need to fix up any home systems and appliances, and you may want to replace the doors, flooring, or windows. You can also upgrade the fixtures in your kitchen and bathrooms. Get in touch with a few contractors in your area to get realistic price quotes for these projects.
Your home’s outdoor space can be a major selling point, too. Investing in a deck is a fantastic way to maximize the use of your yard space and draw in buyers! Look into hiring local contractors who specialize in creating comfortable outdoor spaces for relaxing and entertaining.
How can you save money throughout the flip process? Try to take care of certain repairs on your own! While there are some major projects that you should definitely leave to the professionals, like knocking down walls, replacing the roof, or completing complex electrical work, you can reduce your renovation costs by doing basic DIY repairs. For instance, you can safely paint your own walls, update simple fixtures, install crown molding, refinish hardwood floors, install new knobs and pulls, and even power wash your home’s exterior!
Advertise Your Property Online
Now, you’re ready to put your house up for sale! To attract buyers, create a website showcasing your property. You can illustrate your property’s features and value by designing an infographic. You might be interested in hiring a graphic designer, or check this out to customize a free template. You can personalize your preferred template by adding text, colorful touches, background images, and other design elements.
Flipping and selling houses is hard work. But with these tips, you can successfully invest in this endeavor and use the returns to pay for your education. Soon, you’ll be ready to file for LLC status, tackle DIY repairs, and advertise your flipped home to potential buyers.
Ready to invest in home renovations? Add a spacious deck with Decks & More! Call us today at 770-884-7428 to learn more about our services.
Thanks to guest writer Rob Woods with FixItDads.com