Home Flipping Houses The 5 Key Players Every House Flipper Needs On Their Team

The 5 Key Players Every House Flipper Needs On Their Team

by admin
0 comment

lots of House flipper They turn over the house thinking they can do it alone.

Easy to fall into the trap of thinking “lone wolf”“” It will help you keep all the profits for yourself and allow you to make more money.

It’s easy to think I can:

  • Find a house for yourself …
  • Buy your own house …
  • Do all the legal things yourself …
  • Handle taxes yourself …

If i do it all by myselfI make more money by myself…right?

error..

Unless you know everything you need to know about real estate law, not to mention experienced real estate brokers, contractors and professional accountants, this is a losing offer.

The bottom line is this: house flipping no A lonely process; you need a team of the right people.

In fact, the first thing I say to anyone, and to anyone who wants to turn a house, is that all you have to do is build a solid team.

It’s the most important step in turning a house over!

Forget the 70% rule, ARV, MAO and gather the right people to help you turn your house over.Without them, the attempt to turn the house over Epic fails..

5 members needed for the team

When everything is said and done, your team will of course consist of 5 or more people. 5 is the radix! The excess number of people you need depends on the flow of transactions and the range of careers that turn your home.

1. Real estate agent

There are two ways you can find a real estate agent.

One is to find someone who has a lot of experience turning the house inside out, and the other is to find and train one.

Depending on your area of ​​familiarity, you may need to work with multiple agents.

You can also work with real estate agents that specialize in selling foreclosures, commonly known as real estate ownership (REO) agents.

2. Contractor

You need to hire Contractor You can trust them because they can complete or break transactions. Finding the right one is very important because you can manipulate them in different ways.

If you’re just starting to turn home, the right contractor is a step in the right direction.

The general contractor can carry out the entire project and is also responsible for hiring subcontractors.

It would be better for you if you could find someone who could work within your budget.

3. Insurance agency

There are different types of house flips, all of which require different types of insurance.

How you set up your business structure determines how you treat your insurance.

It is important to hire an insurance agent who understands your business structure and can give you reliable advice on how to insure different types of property.

There are several factors you need to know from your insurance agent, such as homeowners insurance, liability, and builder risk insurance.

Don’t forget the title insurance-but it usually comes from your lawyer. This is very important and protects you from serious downside risks.

Related: Probably three insurance products you didn’t know – but should be used

4. Certified accountant

Hiring an accountant can help you save or lose money.

The US property tax code can be interpreted in different ways, so it’s not surprising to hear different answers about home-turning accounting issues and real estate.

You need to find the right type of accountant by looking for someone who has extensive knowledge of US tax law for real estate investment and home flipping.

Also, by adopting a legally recognized accounting strategy, you should be able to avoid the IRS problem and keep taxes low.

It is also advisable to involve an accountant in developing the business structure. Make sure they consult your lawyer so they can create the best business structure for you.

Related: BP Podcast 049: Real Estate Tax Tips, Jokes, Loopholes with Amanda Han

5. Real estate lawyer

Many who first try to turn home reject the idea of ​​hiring a lawyer.

At best, some even consider hiring a second-class legal internet service.

For all the advice, don’t forget to get what you pay for. Legal advice is no exception.

Therefore, if you are looking for a cheap lawyer, you need to be prepared for cheap services.

I don’t advise anyone in the house-turning business to scoop here. It is best to hire a real estate lawyer with a solid track record and extensive experience in real estate law.

Hiring a real lawyer can look expensive, especially when they send you the first invoice and their retention fees aren’t cheap either!

But don’t think of it as an expense.

Think of it as an investment instead.

Hiring a competent accountant is much cheaper than hiring someone who doesn’t know what he’s doing.

If you get this far, leave a comment below!

Did you exclude important team members?

Please leave a comment and let us know what you think.

You may also like