flipahouse

How to flip a house

Our property expert Andrew Walker from Freedom through Property shares his knowledge on a ‘Capital Flip’ strategy in the below video.

A great strategy to make a quick profit by buying a property, quickly refurbishing it and quickly selling it.

About The Author

Andrew Walker

Andrew and Warren have 25 years of property experience between them. They have been investing in both the United Kingdom and South Africa and have trained thousands of Property Investors on how to grow a portfolio in the UK, they both believe that getting educated in property is the first step. www.freedomthroughproperty.co.za

  • Gideon

    Thank you for another great tutorial video. Really helps to focus on the key steps when buying a house purely to make profit selling it.

    • How 2 for Entrepreneurs

      Awesome Gideon. We are happy you like this video. Anyone else got some feedback?

  • Simone

    I am really excited to try this strategy. But you do need capital in the first place to buy the property and do the refurbishments.

    • How 2 for Entrepreneurs

      Hi Simone, yes you do need the capital first. However you can source distressed properties and refurbish those to keep your initial capital investment as low as possible. Anyone else got ideas?

  • Veronica De Villiers

    A nice strategy to make money, thank you. I really appreciate the free tutorials on this website, they highlight the main steps you must think about.

    • How 2 for Entrepreneurs

      Thank you Veronica. We are glad you like this video :-)

  • Wayne Bruyns

    This is far too simplistic to be of real value, when you make mistakes with property it is merciless and you can easily lose your shirt! I speak from personal experience, I also have extensive building experience, I am not suggesting that there is not money to be made with this strategy, just that there is so much more to learn before you attempt it! You need to perform several case studies or take on an experienced partner whom you trust before attempting this strategy!

  • Andrew

    Remember guys that yes you need money to do a deal BUT you do not need your own money, all successful property investors know that you need to leverage other peoples time, money and expertise.

  • Andrew

    Yes Wayne you are completely right and I would not advise that you just go out and ‘TRY’ this strategy, you need to first make sure there is demand, you need to know who you will be selling to, you need to have exit strategies in place, you need to be certain on the refurbishment amount and know how to work with builders… so I would always say get educated first and then invest! Remember Wayne the video is just giving individuals the idea of the strategy ,I currently run this strategy successfully in the UK and SA

    • How 2 for Entrepreneurs

      Thanks very much for this very important comment Wayne. Yes, we do need to keep reminding people that there is no such thing as a short cut to success. In fact any business or property strategy you apply will require learning curves and risk. Successful people are on a continuous journey of learning and application and the tutorials on a site like this are just a part of that journey.

  • Nico

    Thanks for the video, I agree with Wayne, one needs to do your homework thoroughly before going into flipping houses, for me the numbers will tell you if this is a viable option or not.

    What I would like to know is it possible to buy a distressed property, refurbish it and sell it before it registers on your name and what are the tax impact if any in this case

    regards
    Nico

    • How 2 for Entrepreneurs

      Hi Nico

      Our experts have been sent your question and are working on a reply.

      • http://www.freedomthroughproperty.co.za Warren Brusse

        Afternoon Nico,

        I fully agree with your comment. It is all about the numbers. Let the calculator do all the talking.

        Regarding your second question, if you are looking to buy, refurbish and sell a property as an investor you would have the following options:

        1) Take transfer of the property in your name and pay the transfer duty applicable and then on sell on to the market

        2) Source the property onto an alternative investor and earn commission on the sale (however you need to be a registered estate agent or be partnering with one to enable this transaction)

        3) Negotiate with the seller to complete the refurbishment while they are still the owner and then on sell and spilt the profits

        I would highly not recommend trying to avoid the transfer duty as this would be illegal.

        Trust this meets your expectation.

        Cheers,
        Warren