Flipping Houses For Dummies, 4th Edition
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A key first step to profiting from a flip is not to pay too much for a house. When deciding how much to pay, estimate the amount you can reasonably sell the house for after fixing it up, and then subtract your expected costs, which include the following:
  • Purchase price
  • Cost of repairs and renovations
  • Any back taxes due on the property
  • Holding costs (property taxes, utilities, insurance, interest payments, homeowner association fees, and so on for the time you expect it will take to buy, fix, and sell the house)
  • Any agent commissions and closing costs when selling the house
Aim to earn at least a 20 percent profit after subtracting all costs.

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About the book authors:

Ralph R. Roberts is a master at flipping houses, earning a profit even in the deeply depressed real estate market in Metro Detroit, Michigan. He is the award-winning author of several books, including Foreclosure Investing For Dummies. Joseph Kraynak is a writer who's contributed to several Dummies books, including Flipping Houses For Dummies, Oceans For Dummies, and Selling on Amazon For Dummies.

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