Home Courses Livestream On-Demand Resources Hall of Fame Store Training Schedule Guest: Sign In / Register

News Feed

What Is House Flipping?

By: Elite Legacy Education, October 11, 2016

What Is House Flipping?

In the real estate sector, you may have heard of the term “house flipping.” Many of its proponents tout it as a great way to generate earned income on the side and even form a full-time business out of it. Before you eagerly pull out your wallet to purchase an expensive seminar on the topic, let us tell you what house flipping is and what it involves on your part.

To put it simply, house flipping is the process of purchasing a home with the intent of making a profit by reselling it at a higher price. It sounds like an easy process until you have to factor in numerous variables that can make or break your success. Before we go any further, remember that house flipping can be perceived by some as another way of making a gamble. You are taking in a temporary debt in the hopes that the payoff will exceed the debt and provide you with a nice profit at the end of the sell. This puts you at the mercy of the real estate market and the customers that might be interested in your home.

You might think that it is sufficient to simply buy a home in a nice area but this is where you are dead wrong! Not unlike the stock market, the real estate market can be in a state of growth (bullish) or decline (bearish). However, you need to remember that the real estate market is far less volatile than the stock market. A stock can change in a day, while a certain area may take years before the direction changes. Successful house flippers are those that can identify when the market is shifting to a bullish outlook and fully capitalize on it until the market eventually changes direction.

There are also factors regarding the home that come into play with house flipping. The first thought on an individual’s mind is to take a less valuable property and renovate into something that has a higher value. It sounds like fun until you sit down and calculate the time and money it will take to renovate the house.

Have you done any renovations yourself? Do you have the money needed to purchase the materials? Can you afford to have a professional fix the house for you?

This article was not written to dissuade you from house flipping, rather to get you to consider what it takes to flip houses should you choose to pursue it.

What advice would you give to people who are interested in house flipping for the first time? Share your thoughts on social!

Today's market is filled with many opportunities for the savvy investor. Our Rich Dad Education trainers will introduce you to proven strategies that can help you launch your career as a successful real estate investor. Our Rich Dad Education instructors will also discuss ways you can develop a "Rich Dad Mindset".

Don’t miss out on all of the ways Rich Dad Education can help you reach your goals in life!

Learn more about Real Estate Investing in our upcoming free interactive webinar! Register Here


Want the live experience? Attend an upcoming free workshop coming to your area! Register Here
What our students are saying: Even though you get great education and guidance, you still have to be the one to act. Heather H. Denver, CO

Browse through our Rich Dad Education reviews by clicking above!

Founded in 1992, Elite Legacy Education is a recognized global leader in quality financial education.
Legacy Education Alliance, Inc. is a leading provider of educational training seminars, conferences and services.
Rich Dad Education offers real estate & stock training based on Robert Kiyosaki's book Rich Dad Poor Dad.

© LEA Brands, Inc. All Rights Reserved.

The Elite Legacy Education word mark and logos are owned by LEA Brands, Inc. and are used with permission.

Elite Legacy Education is a trade name of Elite Legacy Education, Inc., a Florida Corporation.

The educational training program provided hereunder is not designed or intended to qualify students for employment. Our curriculum is avocational in nature and is intended for the purpose of the accumulation of wealth by, and the personal enrichment, development and enjoyment of, our students.

Privacy Policy | Terms | Cookies