American Dream: How to become a house flipper
Tyler Ryan and Jeannette Womble discuss the business of flipping houses
COLUMBIA SC (WOLO)- You can’t scan through many cable channels without stumbling on a reality show about house flipping, and according to real estate agent Jeannette Womble, with EXP realty, flipping continues to be viable way to make money, even in the white hot real estate market.
The secret, according to Womble, is simple economics – buy cheap, and then sell for a profit. Womble says that there are several places that you could potentially find the perfect flip property. She says that there are three popular ways to find potential properties:
Foreclosures – AS IS sale, can be financed, you can view before making offer and inspect, close s soon as the buyer is able to.
Short Sales – AS IS sale, can be financed there is bank negotiation involved, and this can take up to 6 months to close .
Tax Sale – Winning Bid pays cash – there is a redemption period 365 days can’t contact the owner about 80% redeem,and pay taxes interest can be generated and keep the receipt for the bid, interest can accrue over time and tier on the bid money.
So the question is, how do you find these properties – Womble says the first thing someone should do is to contact a real estate agent. (South Carolina law requires that an agent is used if you are looking for a foreclosure, by the way.)
There are also some websites that you can search for your potential project.
Foreclosure websites such as:
Tax Sale Site for Richland County – tax sale explained
Lexington County Sale Schedule
Womble says that there are a couple of things to keep in mind when considering a potential flip:
If you sell it in less than one year, you can incur capital gains, but if you keep it 2+ years, the gain can be avoided. Also, 1031 exchange can allow you to avoid taxes but requires you reinvest in a short period of time in real estate. Also keep in mind that property taxes will jump 3.5 times owner occupant tax rate if it is held and rented.
If you have any questions about flipping or real estate in general, you can reach out to Jeannette
HERE.
ABOUT THE AUTHOR:
Tyler Ryan is an award winning television and radio personality, weather forecaster, writer, investigative journalist, and professional emcee. He appears daily on ABC Columbia’s Good Morning Columbia, as well as hosting the syndicated radio program Carolina Cares on the South Carolina Radio Network, and the iHeart Radio Network. Tyler also regularly appears as a criminal expert and journalist on regional and national crime based programs like Snapped and Killer Couples. You can contact him directly via EMAIL Or on the socials: Tyler’s Instagram // Tyler’s Facebook
