Quick question, can you make a million dollars a year by flipping houses using skip trace? seems like a bit of a stretch but since man has landed on the moon, our list of impossibilities as a race have trickled down, and since we can land on the moon, what’s stopping you from becoming a millionaire in a year. But how do you get started on this you might ask. I’d say start little, don’t waste time chasing that fat check, a $50,000 profit and another $100,000 here and there and you’re on your way smiling to the bank, but that’s the sweet part of real estate investing A.K.A Fixing and Flipping. As your favorite real estate investing blog, we’d like to share all sides of the story. Making a million dollars a year flipping houses requires a crazy chunk of resources, work and research. So how do you get started?
What should you consider?
Here are a few things you should consider while eyeing your 1 million dollar yearly :
- Game-plan: Define your strategy. What’s your game-plan, are you just building castles in the air or do you want to get your hands dirty. Do some documentation or ideation on how you want to achieve the million dollar benchmark, go back to review your performance against your goals. In defining your goals, you should understand that you have to invest in relationships and tools that will help you achieve that goal. One vital hack that will help you is investing in skip tracing to uncover less competitive deals in prime areas. In terms of relationships, its vital to build and maintain relationships with a network of realtors who have access to a larger spectrum of the market.
- Money: This goes without saying. You literally need money to make money. Find creative ways to drive good bargains with sellers, it will save you a lot of money. You can also draw up a structure that helps access a pool of finance, you can either raise finance from lenders, friends and family. An important consideration is also how to use leverage to your advantage.
Understand the local scene and try to get as many advantages as possible, this might be in form of tax advantages and even permits.
Flipping your way to a million dollars
Below are a collection of hacks we’ve found useful in flipping:
Auction Properties: Gain an advantage by looking for auction properties. Look at foreclosures in the local dailies, it might be a good place to pick a good deal or two.
Aged Listings: Acting smart beats acting fat and times and you can do this by looking at property listings that have taken a while on a Multiple Listing service. Chances are that the buyer might be getting tired and be willing to take a lesser offer.
Be decisive: When you get a whiff of an offer and it sounds good, dont waste time overanalyzing it. Act fast and timeously.
Scout Listings Frequently: You should scout multiple listing services frequently for good deals.
Making a million dollars off real estate investing using skip tracing is very possible, you should be willing to go all the way with no what ifs and what nots, be ready to invest heavily in repairs and build viable relationships with contractors and realtors.