As Nashville continues its rapid-pace growth, more and more neighborhoods are being revamped and expanded. Which makes now an enticing time to flip homes in Music City. It’s important to understand your market before you enter a house-flipping endeavor. So if you are considering revamping and selling homes in the Nashville market, here are 4 rules to be aware of.
Cash Is King
While the statement is often noted here Music City in reference to Johnny Cash and Elvis, it’s also key for flipping houses. If you have your own money ready to invest, consider yourself steps ahead of most. If you do not, never fear – many start off with cast from the bank or other investors. If you do not have funds, consider forming a joint venture with a partner. Even if you don’t profit as much as your partner (if they are the ones putting the majority of the money forward) you will walk away with experience, which itself is invaluable in this process.
Create Your A-team
You cannot flip a house alone, as there is simply too much to do! Creating a team of specialists to aid and guide you will substantially cut back on errors and stress. Consider composing your team of: real estate agents, a real estate attorney, a general contractor, an insurance agent, and a CPA. Working together with these specialists will shorten the duration of time you must invest in every stage of the process, while ensuring you profit quicker than you would if you were to go it alone.
It’s not always easy to find the ideal property on the market. Foreclosures are often the first place to start looking — but there is no guarantee you will find such a house. Working with a real estate agent can provide strong advantage over your competition. Agents know the market and may be able to notify you in advance of an ideal listing on the market.
Understand the Rules
House flipping can be both profitable and fun, but there are rules to the process. It’s important you do the research, talk to experts, and gain insights before you enter the endeavor. (This includes understanding lending, buying, and selling rules and permits, among others!)
Talk with local builders or designers, and get to know the areas in your city that are expanding in growth. Talk to a real estate agent, and remember, there are no silly questions! Don’t be afraid to ask, and seek answers.
Interested in flipping homes in the Nashville area? Call DeSelms Real Estate today at 615.550.5565 to see what’s available!