Matthew Stone offers the following royalty-free article for you to publish online or in print. Feel free to use this article in your newsletter, website, ezine, blog, or forum. ----------- PUBLICATION GUIDELINES - You have permission to publish this article for free providing the "About the Author" box is included in its entirety. - Do not post/reprint this article in any site or publication that contains hate, violence, porn, warez, or supports illegal activity. - Do not use this article in violation of the US CAN-SPAM Act. If sent by email, this article must be delivered to opt-in subscribers only. - If you publish this article in a format that supports linking, please ensure that all URLs and email addresses are active links. - Please send a copy of the publication, or an email indicating the URL to [email protected] - Article Marketer (www.ArticleMarketer.com) has distributed this article on behalf of the author. Article Marketer does not own this article, please respect the author's copyright and publication guidelines. If you do not agree to these terms, please do not use this article. ----------- Article Title: Why Flipping Houses Is Dangerous, And What To Do Instead Author: Matthew Stone Category: Real Estate, Entrepreneurship, Career Word Count: 605 Keywords: flip that house,flipping,flip houses dangers,flip home,flipping houses dangers Author's Email Address: [email protected] Article Source: http://www.articlemarketer.com ------------------ ARTICLE START ------------------
In the brief amount of time that home flipping has been a real estate fad, much has been written about both the positives and negatives of this business. If done correctly and with a huge amount of luck, home flipping can be a viable way to make a living, assuming you enjoy 18 hour work days and an unbearable amount of stress in your life. However, the overwhelming majority of home flips turn sour for a number of various reasons. While the following list is far from complete, here are just a few of the top reasons why flipping homes is dangerous and wholesaling homes is a far better idea. Cost Overruns Just like with any business project, when you decide to flip a home, you start with a set budget and you do everything you can to stick with that number. However, flipping a home is almost like doing drugs. You swear that you aren't going to do any more, but you are always left thinking: if I put in better quality tile in the bathroom, we can ask for more money, make more of a profit and come out of this in better shape. The problem is, there is no guarantee that these cost overruns will actually translate to a higher profit or if they will impress prospective buyers like they impress you. You are gambling with your future and with your investment money. With wholesaling, all you need to do is connect motivated sellers with motivated buyers and the rest is simple. Can't Find a Buyer Perhaps the single biggest nightmare for any home flipper is not finding a buyer for a property that you are ready to sell. Every day that that home sits on the market, you are responsible for paying a mortgage payment that eats away at your profits like a hungry pack of piranha. You might have to lower your asking price to attract a buyer, and that eats into your bottom line profit, as well. It can really feel like the whole world is working against you when you flip a home, and often times, it is. With wholesaling, you don't have to worry about your profit being nibbled away since it is pre-negotiated and doesn't change. You get peace of mind and assurance that everything on your end is working out. You Bought a Lemon Hollywood has had a lot of fun at the expense of young couples who buy what they think is the home of their dreams only to find out they bought a money pit. When you take responsibility for a property for the sole purpose of fixing it up and selling it, you are buying into the great unknown. The seller may not even know of half of the problems you could uncover as you knock down walls, lay fresh tile and update the plumbing. There is always a chance that no major problems exist, but that's just not realistic to expect with every home you would flip. When you choose to wholesale homes, you simply connect buyers with sellers and collect a commission. You don't even have to get grout under your nails. Contractor problems One problem that most home flippers don't ever take into consideration is how much they are going to have to rely on other people with different work ethics and schedules to complete their flip. Contractors often run into scheduling issues, permit issues, not to mention personality conflicts. Any number of these setbacks can ruin your flip completely. With home wholesaling, you don't have to count on anyone but the buyer and seller, no middleman, no contractors, just a straight line between you and profit. FREE VIDEO: "How to Get Rich From Real Estate the 'Lazy' Way and Never Be Humiliated Because It's 100% Risk-Free" Click here to watch the FREE video: http://www.BeginnerRealEstateWealth.com ------------------ ARTICLE END ------------------ [Non-text portions of this message have been removed]
