Three Types of House Flippers by real estate expert [Profile.full_name]

A lot of real estate investors in [Profile.market2] especially now go into that part of real estate to become what is known as a house flipper.  In this position, they purchase real estate in [Profile.market2] with the goal in mind to immediately sell the property in [Profile.market2] so that they can turn a profit.  In our conversation we will look at three different types of house flippers.  

Position #1 – The person that gathers the information

This position is also known as the scout and the main idea is to get as much information about a possible transaction in [Profile.market2] and then sell that information to other investors.  This is a great position to get into if you are just starting out because you don’t need any money or really any prior education to get started.  The job entails finding property in [Profile.market2] that motivates a seller to get rid of it at a price that is below the market value.  This is usually someone that is in either an emotion-packed or a negative financial situation.  In this market, there are fewer and fewer homes that can be sold under market value due to the real estate crash in the past years.  This person is paid a small fee for finding the property.  The fee is small because he has virtually no risk in the transaction.

Position #2 – The Dealer

Much like the information gatherer, this type of house flipper will also look for prospective transactions in [Profile.market2] for other investors.  Through what is known as a purchase contract, he will actually control the property where the information gatherer or the scout did not.  The dealer may put down some money on the property in [Profile.market2] but usually does not because the deal may or may not come about.  This type of position will assume more risk, but can also make more money.

Position #3 – The Retailer

The dealer usually sells the transaction or property deal in [Profile.market2] to the retailer.  The retailer is the one that will have the funds to fix up the property in [Profile.market2] and then turn around and sell it at full price to a buyer.  The retailer is the one person that will absorb the bulk of the risk, put up the most money and in the end will make the biggest profit.  This position is also the one that will take the longest time to make the profit.  The dealer will often get assistance from a real estate agent like [Profile.full_name] at both the beginning of the transaction to assess what the home will sell for when rehabbed and also at the end to sell the property.

There is a lot of free information available to you about buying, selling or investing in [Profile.market2] real estate.  For complete information about the Cape Coral Real Estate market including current homes for sale, property values and more please visit the most complete websites online at www.livingincapecoralnow.com and www.dancraddock.com. Please feel free to contact me with any of your real estate related questions and I will be happy to answer any of your questions. Call me on my cell at [Profile.cell_phone] or email me at [Profile.email_link].

Have a Prosperous Day!