Category: Real Estate

Wholesaling real estate is a phrase you may have heard before if you’re interested in real estate. If you’ve considered getting into real estate investing, you’ve likely seen this term here and there, but for beginners, you may be unsure of what this means.

Troy Kearns is a real estate investor and mentors various services for individuals looking to find financial freedom. In this blog from his network, you’ll learn more about how real estate wholesaling could be a good route for becoming a real estate investor.

The Basics Of Wholesaling Real Estate

If you’re interested in real estate at all, you know that house flipping has become a more mainstream source of income. With so many popular television shows featuring house flippers, many Americans have seen how a fix and the flip project can lead to extra income and help them save money for the future.

But, while flipping houses can be an excellent real estate investment for some people, it’s not suitable for everyone. However, the housing market is rather hot right now, and it’s in favor of sellers. So, if you do have the means to start with real estate investing, you could likely make a profit if you get into flipping houses.

Specific Steps That Will Lead To Success For House Flippers

If you want to make a good profit from flipping, you’ll want to keep a few key points in mind. We will go in-depth on five key factors to keep in mind. Here’s what you need to know about each.

Step One: Do Your Research Before you Start House Flipping

To be a successful real estate investor, you need to plan ahead of time. You’ll want to research the real estate market in the area you plan to buy and flip. The more you know about the city and the real estate markets, the better. Keep in mind that while you might be able to calculate the repair value of the property itself that the general location is also essential. You’ll need to factor in the desirability of the location and then compare other flips in the area.

Step Two: Find The Right House Or Property.

When choosing a home that can be your fix and flip project, there isn’t a one-size-fits-all approach. There are some excellent ideas you can try, however. Some ways to get started include:

• Look around neighborhoods you think are hot in real estate and try to find homes that aren’t as kept up as they could be.
• Networking with another real estate agent or real estate broker to find potential properties.
• Using the multiple listing service(MLS) to find homes in poor condition but with a lot of potentials.

Once you think you’ve found a good property, you’ll want to know more about it to determine if it’s a good purchase for house flippers like yourself.

Step Three: ARV And The 70% Rule When Flipping Houses

While finding a home that is a fixer-upper in a good location is critical, it doesn’t mean that every property in your local real estate market is right. Even homes that look like they’d be a good investment need to be evaluated to ensure you can turn a profit.

The ARV

First, you’ll determine the After Repair Value or the ARV. If you’re working with a real estate agent as a first-time real estate investor, you can have them help you compare recently sold homes in the area that are similar to your property once you finish repairs. You are basically comparing market value.

This number will help you calculate how much you’ll make on the sale relative to how much money you spend on repairs.

70% Rule

Next, use the 70% rule. You’ll take the ARV and multiply the amount by 70%, then subtract that number from the cost of estimated renovations. To have a successful flip, you don’t want to pay more than 70% of the After Repair Value.

This is a general rule of thumb, and there can be some slight variations depending on the property. House flippers just want to ensure that the purchase price is low and the selling price is high.

Step Four: Get the home inspected.

Whenever anyone buys a home, it’s crucial to have the home inspected, and this is especially true when you’re in the business of flipping houses. You’ll want to ensure there aren’t any significant problems you didn’t anticipate. And, if you’re not one of the more experienced real estate investors, you’ll need to be honest about how many repairs you can handle.

If you’re willing to do a complete gut job and know you can do so, you might be able to have successful house flipping properties others would avoid. But, for most who are getting into real estate investing, you’ll want to start a bit smaller so you don’t spend more money than you can make.

Some potential deal breakers could be foundation cracks, black mold, old wiring, or a broken chimney. These issues could be signs of a bad real estate investment.

Step Five: Find a trustworthy team to help you with flipping houses.

The final step that will help you succeed when house flipping is to put together a team to help you with the renovations and then finally sell the house. The more of a network you can create, the better. You’ll want to find reliable contractors, inspectors, lenders, brokers, and even lawyers to call on.

Tip: How Many Renovations Do You Want To Make?

If you are utterly new to renovations, you’ll especially need to find a general contractor who has good referrals and is known for being timely. If you’re flipping houses for the first time, getting names from other real estate investors or real estate agents will be vital.

Finally, you may need a real estate agent when you’re looking to sell your home. It’s sometimes difficult to find an agent who understands house flippers and their needs, but there are some out there. On the other hand, you could also reach out to a real estates mentor like Troy Kearns, who provides valuable real estate investing content and mentorship services.

How Troy Kearns Can Help You With Flipping Houses

If you’re new to the real estate game, you’ll want help from people who have been in your shoes before. Troy Kearns has video content and his book, Millionaire Mentorship, is meant to help people find success in real estate investing. He wants to help you save money. Reach out today to order the book or learn more about mentorship services. 

No matter what kind of business you run, you’ll need a website to find potential clients. While some websites direct customers to a storefront or to reach out about services, many companies require a website that leads to sales from the page. But, regardless of what actions you want someone to make when they visit your website, you need to make sure they follow through. Conversions are simply when visitors to your webpage complete something you want them to do, such as buying something or leaving their contact information.

To have a high converting website, you’ll have to consider various factors. Some websites are better designed for conversions than others, and you want to stand out. So, whether you need an entire website for the first time or a revamp of an existing website, there are some tips to keep in mind to increase the conversion rate.

Basics Of SEO And Converting Websites

Search engine optimization is a digital marketing strategy that most people use today. This process involves ensuring your website ranks on the Google results page by appealing to what. theGoogle algorithm wants. To actually get your audience to your site, you’ll need to show up near the top of the rankings on Google in whatever field or area you’re targeting.

Why Does SEO Matter For High Converting Websites?

A good search engine optimization approach is the start of conversions because you’ll need to get eyes on your webpage first and foremost. There are many resources out there that can help you optimize your website and include keyword phrases to improve your “score” according to Google’s ranking system. But, if you already have a search engine optimization strategy in place and still aren’t seeing conversions, there are some other elements to look into.

Five Tips For Designing A Website That Converts

If you already have site visitors and feel like your website is showing up in results, you might be wondering why user engagement is so low. Getting people to look at the webpage is the first part of the process, but you also need them to stick around long enough to learn about your company and connect with it in some way. To keep internet users on your site, there are some steps you can take for conversion rate optimization.

1. Focus on the overall web design: Most people today spend a lot of time online and can spot a badly-designed website right away. It’s usually best to have a simple, clean design that’s easy to navigate and read through. You want the customer journey through the web pages to be sensical and straightforward. Highlight the buttons and pages that take customers directly to the conversions you want.
2. Improve the website speed: Because the internet has gotten faster, most people don’t have much patience for websites that load slowly. If someone on your site has to wait even a few extra seconds than they’re used to, this could increase the bounce rate of your online platforms.
3. Don’t forget about images: Your target audience wants an attractive site. Even if the overall design looks good, poorly chosen images are off-putting to many people. You don’t want to pick something that’s low quality or doesn’t relate to the actual content on the page. You should include images to keep readers’ interest, but don’t overdo it either, as this often has the opposite impact.
4. Include calls to action: This point might seem obvious, but it’s common for people to forget these on their page. You should have a call to action for every single landing page, blog post, and service page on your website. The home page should also have buttons and other easy-to-find call-to-action spaces to increase conversions.
5. Remember mobile: When designing a webpage, it’s easy to focus only on how it looks on a desktop, but the truth is that so many people search online on their smartphones and other mobile devices. You won’t have website conversion or satisfied customers if the website looks weird or wrong on mobile. You need to test that the final website looks good and loads quickly on both computers and phones.

Overall, your website should include:

• a call to action button on every page
• blog posts for good SEO,
• landing pages that lead to conversions

While all of this could seem overwhelming if you’re a small business owner who just launched your e-commerce website, there are mentors who can assist you.

A Few More Tips For Business Owners Looking To Increase Conversion Rates

A stunning website is vital to building your business. Whether you’re in real estate, e-commerce, or any other industry, you have to have an optimized website and increase conversions.

Today, methods like paid ads and similar marketing campaigns can help, but they only go so far. You need potential customers to find your website easy to use and for it to leave an excellent first impression. Much of your success as a business owner relates to your customers. You don’t want them to find your website off-putting as this will impact their overall feelings about your brand. So, as a general rule, include quality content that’s readable and a web design that directs people right to conversion points.

Need Help Making A Website That Converts?

At Troy Kearns, I’ve built my success in real estate by learning many best business practices. My channel and mentoring options are here to assist regular people like myself to find the freedom that comes with getting out of debt and making money. I grew my real estate investments into a multi-million dollar business, and I’m all about sharing what I know with people like you. While I might not be an expert in your particular industry, many of the skills I’ve cultivated apply across the board. Reach out today to learn more about building a great website and growing a thriving business. 

There’s no doubt that real estate is one of the best investments a person can make, especially in the long run. There are many ways to turn real estate properties into your primary source of income or even a side hustle that provides passive income.

But, just like any other investment strategy, real estate isn’t a for sure bet. There are always some risks involved, and not all real estate properties are a good gamble. While there might be some luck and factors you can’t control involved in purchasing properties, there are ways to protect your money and make a good purchase.

One of the best strategies when approaching real estate investing is to know the signs of a bad deal. Read on to learn what to watch out for to ensure you end up with a good real estate investment.

Some Major Indicators Of A Bad Investment

Whether you’re looking to buy rental properties or a vacation home for yourself, there are some overall factors to think about. These include high or low pricing, poor location, shady or pushy real estate agents, on the market too long, and extensive repairs.

We will go into detail about each of these points. Remember that if you’re entirely new to real estate investing, you likely need to start researching now to get a good idea of the market where you’re looking to buy. It also doesn’t hurt to reach out to an expert or mentor.

At the Troy Kearns Channel, I know it can be overwhelming to consider all this, but I’ve found immense success in real estate and want to help others with their own financial journey.

Real Estate Investment Warning Signs In Detail

In this section, we’ll look closely at the five main red flags when looking for your next rental property or house. These tips can help you get an idea of when buying a property means you will lose money.

1. Pricing that’s too low or high for the market.

Generally, if something seems too good to be true, it probably is. While most people are hesitant to purchase anything that is overvalued, you should also be cautious about undervalued properties. While they might seem like a great deal, there is likely a reason why the seller is trying to get rid of the place as quickly as possible. There could be structural issues or a shady history to the site. In these cases, do your research. You may need to get the property appraised on your own.

2. The location isn’t ideal.

The most cliche phrase in real estate is “location, location, location,” but there’s a reason it’s so well-known. Even if the potential purchase has everything you’re looking for, the real estate prices might not be worth the cost if it’s a poor location. Potential renters will be harder to find if the place is far away from stores and public transportation. Without renters, you won’t have a positive cash flow.

You’ll also want to consider the neighborhood. If the surrounding properties are poorly maintained, these will lower the real estate values of your investment.

3. You’re dealing with overly pushy agents or brokers.

A real estate agent, their entire job is to sell the property to potential buyers. So, they will try to persuade you to purchase to some extent. However, pay attention to some possible shady behaviors, especially if you’re a new real estate investor. If they won’t leave you alone and are trying to push you to sign fast, consider getting an inspection of the property first. In general, this is a good idea anyway.

4. It’s been on the market for too long.

While every area of the country is different, many places have a hot real estate market where properties are selling quickly. So, if something has been on the market for a long time, it might not be the right investment property. If most properties around you are selling, there’s probably a reason why the one you’re looking at has been sitting there for so long. Do your due diligence to figure out if there’s something weird going on.

5. There are too many repairs.

Some investors enjoy a major fixer-upper. Flipping houses can be a profitable way to make money and lead to significant tax benefits. However, this approach isn’t for everyone. You’ll also need to assess the property value and weigh it against the cost of potential repairs. You need to determine how much time and money you are willing to put into whatever property you buy.

Trust Your Intuition To Avoid The Worst Real Estate Investments

If you’re new to property management and real estate, you might not want to rely solely on your instincts, but this doesn’t mean you should ignore them either. And, the more experience you have in the rental market and housing market in your area, the more attuned your intuition will become. If something doesn’t feel right, it’s best to trust this feeling. You should still do research and run financial calculations, but don’t ignore your gut. Even if there’s nothing particularly wrong with the property, it just might not be the right fit for you.

Let Troy Kearns Help You Buy Properties That Make Sense

Whether you’re completely new to real estate or just looking for a unique investment opportunity, Troy Kearns is here to help. I wasn’t an expert by any means when I turned my debt into a multi-million dollar empire with real estate investing. I am all about helping other people like me find financial freedom through wise investing. Check out my informative videos or reach out for mentoring services.

Negatives Of Flipping Houses

High Start-Up Capital Required

I’ll start by addressing the very obvious elephant in the room, and that’s the amount of capital needed to initially get into flipping houses. The issue is not necessarily having the large sum of money to initially purchase a property, but rather the extra 10-20% capital required to refurbish the property. If you want to make money on a house, chances are you will need to add value to it in order to flip it for more money. This can of course be done very minimally, but for significant value, you will be required to invest some money into the property.

You Can Lose Money

We have all been there, myself included. Sometimes you might invest in a bad property when you’re trying to flip it, maybe it’s in the wrong area, or there are some unforeseen issues. You can very quickly lose a lot of your investment money if you make a bad buy, which could be detrimental to your bank account if you’re new to the game. 

Time Consuming

Flipping houses is a pretty bad idea if you value your free time. It takes up a lot of time, be it running around chasing contractors, sourcing materials, managing your finances as well as communicating with all the various people involved in the process of flipping a house successfully. If you have a young family or don’t have much spare time, many people will attempt to discourage you from flipping houses.

Risky Business

Overall, many people will say that flipping houses is a risky business and will warn you not to get in the game if you don’t want to take the risk of potentially losing out on money and potentially a house, furthermore you also run the risk of ruining relationships with those closest around you thanks to the copious amount of hours required to flip houses profitably.

Why I Don’t Listen to Other People

So, whilst there are many reasons people may say flipping houses is a bad idea, I choose not to listen to them. I make most of my money by successfully flipping houses, I even wrote a book about it. Whilst there are many negatives or reasons that may discourage you, there are multiple benefits to flipping houses as well.

You Can Learn How Real Estate Works

The biggest bonus to flipping houses is that you get to slowly learn how the world of real estate works. This can be increasingly beneficial to you as you progress in your house flipping and will enable you to make better decisions.

Quick Profit

Flipping houses can earn you a pretty quick profit if you know what you’re doing. When I started out, I wished I had a resource like my YouTube channel which contains loads of information on how to flip houses for beginners and how to increase your profits. 

Overall, flipping houses is a good idea if you’re willing to take the risk of potentially losing some capital. However, if you do the correct learning, and follow closely in my footsteps, you can earn a lot of money flipping houses when done correctly. Not only can you make lots of money, but you can also gain an invaluable insight into the world of real estate which will be extremely useful in any future property ventures.

Check out my YouTube channel for lots more helpful information on flipping houses.