Presented by Ascend Agency
Countless TV shows depict the process of flipping houses, but what really goes into buying, renovating and selling homes for profit? Real estate expert Jesse Tsai is a self-made house flipper who learned virtually everything he knows about the industry on his own. House-flipping is extremely competitive, but his creativity and innovation proved to be essential, especially in having an edge in the market.
He rose to dominate the sector, leading a team of support staff, licensees, house inspectors, software developers, contractors, and transaction coordinators, among others.
Since his start, Tsai flipped over 300 houses and worked with thousands of people in the industry. From this massive amount of experience, he learned some valuable lessons about fixing up a home. (These are his opinions, not financial advice.)
As is true for all of life, there is a lot of value in a good deal. Those who focus on finding one, instead of finding their dream home, are on their way to success. Tsai advises prioritizing finding a good deal on a fixer-upper, and the money will come.
Once you find that highly sought-after deal, money can come from a variety of sources, including:
- Hard money lenders
- Private money lenders
- Local joint venture partners
There are many options out there for those looking to get started; all it takes is a lot of research.
It’s easy to get caught up in the goal of trying to make a gorgeous, catalog-worthy house. Millions of us have devoured the interior design prowess of the experts on popular TV shows. Even though we might set out to create an outstandingly nice home, Tsai says it’s not always necessary, as profitability should be priority.
When analyzing the area’s real estate market and the property itself, Tsai often found that it was more profitable to just do the bare minimum. For example, in some houses, he invested his time cleaning the inside and outside of the home and changing the carpet. These small changes can make a huge difference without breaking the bank.
Sometimes, when flipping a home, it might not be necessary to completely transform the entire property. As an expert, Tsai highlights that the kitchen and master bathroom are the parts of the house that matter most to home buyers. While these rooms can be the most expensive to renovate, the return on investment could be significant.
There are multiple paths to homeownership, and investing your time, money, and effort into a project can be worth it in the long run. Whether you’re a weekend warrior tackling projects left and right, or hiring professionals like Tsai to assist in the process, there are numerous factors to consider. These three expert tips may be the push you need to get started transforming your very own fixer-upper.