Introduction

Flipped houses is a very competitive process and the returns could be very high for investors.  When you are going for a deal to purchase a home, take into account whether the house is being flipped.  There are certain glaring facts that reveal the truth that the house is being flipped.  The house is usually empty with no one occupying it, and few amends would have been made to make the property appear attractive.

Some aspects of flipped houses deal

• Property records will help you make out that the house is indeed a flipped one. The real estate agent comes to your aid when you take up the process.  When you go through the previous listings you will get to know how long the seller retained the home, and you will also know the previous sale price.

• The seller might have made vast changes to the property to make it look good. But do not be taken in by the external appearance. There might be flaws that you might have overlooked, and which spring as a surprise on close scrutiny.

• Cheap finishes might have been done to the house to make it look good, but it might be something distractive such that the buyer does not make out the flaws.

• The priority when purchasing a residence is to know whether it has been done with permits. Only when the building possesses permit, it can be considered legal.  Documents supporting the fact that the house has been done with permits have to be furnished.  When work is done without proper permit, you might be inviting trouble.  It will make it difficult to obtain the financing and home insurance.

• You might have done everything to ensure that the home is in good condition. Also, the house may look attractive and new, but you should not skip the process of home inspection. Certain things might not have come to your attention which a home inspector would find out.

• When finding out the home’s fair market value, a real estate agent comes to your aid. Nowadays, home buyers have everything in the finger tips, but there are certain things which require the attention of a real estate agent.  Although the previous sale price is a considerable factor, it is not the only thing to place importance.  There are certain costs as the costs of renovation, the escrow which need to be considered.

• You might need to make a comparison of the homes in the vicinity. There might be homes with similar attributes as the property that you are considering.  Although it is something lucrative when purchasing a flipped house, you need to pay extra attention to details.  When you meticulously follow the process, you would end up getting a great deal.

• Also, make double sure of the vicinity in which you are purchasing the property. The vicinity might possess the potential growth which might not be in place yet. A good school at place, and other important landmarks would be lucrative when it comes to purchasing property in the vicinity.  Carrying out the homework will give you fair idea regarding how long you need to hold the property before flipping it.

• You need to update the buyer with regard to the amends that have been made to the house. Paying attention to these small details and making the house up to date would help much in flipping the property.

Conclusion

DC Fawcett, the founder of the Virtual Real Estate Investing Club, is an experienced person in the real estate field. He has been into the process of rehabbing houses, wholesales etc.