2 Types of Property You Can Flip

In order to flip a property effectively, you must be able to make simple changes to greatly increase the value of the property. If the property needs major overhaul, you may end up spending more money in the improvements than they will be immediately worth. Since flipping a property means buying and selling in a compressed time schedule, the changes need to happen fast and the value needs to climb immediately.

#1 Foreclosure Properties

Foreclosure properties are often undervalued and not properly cared for. If you can step in and make cosmetic adjustments to improve the condition of the home rapidly, you can turn the property over for a profit. Foreclosures can have issues with poorly maintained utilities, roofs and other items, though, so be careful in this situation.

#2 Previous Rental Units

If a unit was previously rented out, the chances are it will be in need of improvements. It is rare for a landlord to stay current with market trends on a rental unit. Capitalize on the situation by immediately updating appliances, kitchens and bathrooms to make the property move-in ready for a permanent owner. These properties are typically up to code, meaning their core elements have been maintained well but they need cosmetic work.

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