If you’re ready to get started making quick profits in real estate, flipping foreclosure homes may be the best way to get started. The reason flipping foreclosure homes is such a great way to get started in real estate investing is that flipping foreclosures involves almost none of your own money up front – except for a small contract fee of $10 (that’s right, only ten dollars).
What does flipping foreclosure homes involve? ‘Flipping foreclosures’ actually means flipping contracts. When you are flipping a foreclosure home, you’re simply selling the contract (to buy the foreclosure house) to an investor. By flipping foreclosure homes, you can make thousands of dollars with every deal – and by using only 10 dollars of your own money.
Flipping foreclosure homes is very simple. Here’s how it works:
Find investors first. There are plenty of investors in every town who are always looking for good real estate deals — whether they are bank foreclosures or probate homes. Before signing any contracts, line up the investors so that you’re never stuck with a property.
Get a signed contract with the homeowner. When you’re flipping foreclosure homes, the contract is everything; it’s what you’re going to use to “flip” to your investor.
The next step is to contact your investors. As I’ve already mentioned, successfully flipping foreclosure homes for maximum profit means you must have investors ready to go. You then sign the contract over to the investor. The investor pays you a fee for being able to buy the property at such a big discount, and that is where you make the profit from flipping foreclosure homes – with almost no money of your own.
Because flipping foreclosure property involves such a small cash outlay on your part, it’s ideal for beginners, and also a great way to become a real estate investor if you have no money of your own, if you have bad credit, or even if you have no credit!