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Buy to Flip – Let’s Make Some Money!!!

This entry was posted on Wednesday, December 4th, 2019 by Nigel Fitzakerley

So let’s discuss how you make money in the North-East property market.  The easiest and quickest way to make money from property is buying, refurbishing then selling into the open market.  Sounds easy doesn’t it!

It’s not trust me – the key with any property purchase is not looking at the end goal – your final sales price but your starting point, what you’re buying the property for.  You’ll make all your profit on the purchase not the sale.

We always look for properties which look “cheap” in comparison to others around them. This could be because the property is mis-priced, requires refurbishment work or simply needs a little updating. The easiest way to make money in property is the price you purchase it at NOT the price you sell it at.

Once we’ve identified a property to purchase, we negotiate as hard as possible on price to squeeze the last piece of juice from any deal and we also send our refurbishment team around, pre-completion, to screw the bolts down on any refurbishment costs.  All buy to flip deals will require some refurbishment, since realistically this is why the property was cheap in the first place.

So I bet you think this can’t be done?  See below is a real life example of a property we recently bought and sold in Whitley Bay, sourced from Rightmove, it required quite a large refurb of £25k but here’s the numbers and some photo’s for you to look through.

Hastings, Whitley Bay
Purchase Price  £88,000
Agreed Sales Price £129,950
Refurbishment £25,000
Profit £16,950

Bedroom 1 Pre-Refurb

 

Bedroom 2 Post -Refurb

Kitchen Post Refurb – Nice Job!

 

 

 

 

 

 

 

 

 

 

 

 

 

Lounge

 

 

 

 

 

 

 

 

 

 

 

 

 

Bathroom

 

 

 

 

 

 

 

 

 

 

 

 

 

Bedroom

 

 

 

 

 

 

 

 

 

 

 

 

 

This was a really good deal where the investor got in and out very quickly, since Whitley Bay has good demand by residential buyers.  If you’re interested in deals like this let me know.

 

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