Posted by BR on February 07, 2000 at 21:20:29:
Please…
Step up to the plate! - Posted by BR
Posted by BR on February 07, 2000 at 18:32:40:
Could I get a good thorough definition of “Flip”, and please don’t direct me to the articles. Step up to the plate, as I don’t know Jack about flips according to the folks at another web site (that will remain anonymous for sensorship reasons). I’ll explain later.
Here’s the deal! - Posted by BR
Posted by BR on February 08, 2000 at 21:22:44:
An interesting situation is evolving regarding “What is a Flip”. A definition of a flip is to be posted on
2/9/00. As a preliminary to this article being posted I offer the following:
I have been informed that 1) you have to have the deed to a property in order to flip it
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assignments are NOT flips and that there are very distinct differences between assignments and flips
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if ‘A’ assigns a contract to ‘B’ and ‘B’ rehabs the property and then sells it, ‘A’ DID NOT do a flip but ‘B’ DID do a flip. Huh!
You can see my comments to this at another website which will remain anonymous, under the thread entitled Assignments/Flips. Thanks for listening! BR
Re: Step up to the plate! - Posted by Tim (Atlanta)
Posted by Tim (Atlanta) on February 08, 2000 at 06:42:26:
This is what I believe a flip is :
You put a property under contract at a price well below the market price. In most cases, this property has some problem. It looks rough. Maybe it needs major rehab. Normally, you would assign this contract to a rehabber or do a simultaneous close with the rehab investor. You walk away with a profit (small or large, its up to you which). Most flippers I talk to make around 5K on each one. Many times, the flipper never even owns the property. Or if they do, it is for a very short period of time (like an hour).
These are what I would not consider flips : You buy a property, rent it out for a year, then sell it. You buy a property, fix it up, then sell it retail. Anytime you own a property for a significant period of time, I would not consider that a flip.
Be aware that “flipping” is becoming a dirty word with many banks and mortgage companies. There have been several investors that artificially inflated the prices in order to get larger loans. When the mortgage holder finds out, they are not very happy.
Hope this helps.
Re: Step up to the plate! - Posted by Jeffrey Short
Posted by Jeffrey Short on February 07, 2000 at 21:47:12:
The way that I read it and would describe it…
Flipping a property is simply taking a property that you control and selling it to someone else. Control could mean that you own it outright…or maybe that you have it under a L/O. In that situation, you exercise your option and then sell the property.
Basically the ownership of the property flips from one person to another…
What’s the magic word! nt - Posted by Lisa in Oz
Posted by Lisa in Oz on February 07, 2000 at 18:38:50:
nt