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Hello! Planning on starting some Flips whilst working full time..


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Hi guys

 

I'm currently working full time in the Milton Keynes area as a category Manager. I'm a new Dad and am looking to get something going on the side. 

I have a good experience in budgeting, finance, forecasting and also a background in Building and maintenance. 

 

I've done a lot of research and flipping properties and am hoping to get started soon. 

 

I'm expecting a lot of hard work ahead of me! 

 

I'm keen to find a template for budgeting for flipping properties if anyone has one? I've built one myself but i'm guessing i'll have missed out some costs.

 

Cheers

Matt

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Still early days. 

 

My main problem right now is that i'm currently doing some budgeting and costing based on imaginary properties. 

It's difficult to calculate risk vs reward until I really have some real time experience. 

 

My feeling is that I may just have to take the plunge on a small project and see where i'm at after my first go round. Real time experience will be key. 

 

I'll let you know how I get on!

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9 hours ago, Ludo said:

Still early days. 

 

My main problem right now is that i'm currently doing some budgeting and costing based on imaginary properties. 

It's difficult to calculate risk vs reward until I really have some real time experience. 

 

My feeling is that I may just have to take the plunge on a small project and see where i'm at after my first go round. Real time experience will be key. 

 

I'll let you know how I get on!

 

Experience of doing it has got to be the key.

 

I as yet have not been brave enough to take the plunge on a flip as not got the cash to be comfortable, but I think when you have done one you will just roll on and on with them because you will know the script better.

 

Good luck and be interested to hear about your progress.

 

Steve

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I've just got the keys today to my first flip property! I started with the idea in February exactly like you Ludo. I wrote down the costs on an imaginary property and that gave me the figures I would need to make a flip work. I then visited some agents and houses and got on Rightmove followed by going to 3 auctions (to watch) and a couple of networking events (and a webinar and the podcasts on here, robs book and a couple of his mags). I explored finance options and had an offer accepted on a property. I nailed down refurb specs more accurately and got better costings for all materials. I set up bridging finance for part cash purchase and 4 weeks ago got gazumped, perhaps only a week before getting keys! Lesson learnt, if it's a repo being sold through an agent the receivers have a duty to accept higher offers. We couldn't match so searched for another property. We got outbid on one at an auction then bought one that didn't sell. It's been quite a journey! Other lesson learnt, there are houses out there we believe will flip successfully for us which we can buy cash: no bridging required. By the way, I was doing this full time.

 

Sorry for no paragraphs, I had to just give you this brain dump!

 

Theres only one way to prove the model and that's to get a house.

 

I hope this helps and good luck,

 

Jason.

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It's great to read experiences of others in the same situation! Please keep me updated on your journey and I shall do the same. 

 

One thing i'm torn on at the moment is what size property to go for?!

 

Option A: Small 1 Bed flat - Bridging loan will be significantly cheaper as will be borrowing a lot less. However the opportunity for increasing value of the property will be smaller, plus I've read that Flats are harder to flip. 

 

Option B: 2/3 Bed Semi - Bridging loan costs will be more expensive, development will cost more but the opportunity for greater profit is there and should be able to sell it with retaliative ease. 

 

I'd be interested to hear anyone thoughts or experiences on this front...

 

All the best

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Hi Ludo,

Sounds like your dead keen to get going.But that can be very costly if you get it wrong.

It all starts for me with the numbers.Get those wrong and your stuffed.

What you can buy the property for,what ALL the costs are going to be,legals in and out,borrowing,refurb,contingency and conveyancing to sell.

Then the comparisons of similar properties in the area and are properties selling?

I would want a good margin,because sods law ,it will always cost more than you think.

Best of luck.

John

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Morning all!, 

 

This is a great feed and its been good to read different people view points about how to go about budgeting for flipping properties. 

 

Below is a few podcasts and resources I think may help. 

 

'How to flip a proeprty'

https://www.thepropertyhub.net/tpp076-flip-property/

 

'How to find the right area for flipping'

https://www.thepropertyhub.net/ask32-how-do-i-find-the-right-area-for-flipping/

 

Anything else you need, just let me know?

 

Cheers

 

Phil

 

 

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Thanks Phil! really useful stuff. 

 

I've been listening to a lot of podcasts about Flipping. I'm a much better listener than I am a reader!

 

Update:

>I've secured investment to use as bridging loan deposit.

>I'm happy that my numbers are as good as they can be at this stage but still not ready to pull the trigger. (thanks for your advice Jonsee18, I completely agree)

 

>Next up...

- Speak to my Broker about bridging loan to get some quotations and agreements in principle.

- Attend some local property auctions to use real properties as case studies for more accurate and realistic costing. 

 

Any tips on the two tasks above would be most welcome!

 

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