How to Profit from Short Sales in Real Estate Investing

TL;DR

Yes, you can flip a short sale, but there are two main obstacles you need to overcome - replacing the buyer and dealing with the 90-day restriction imposed by banks.

Transcript

big of a deal I can easily get around to it if you're gonna make at least a thirty to fifty thousand dollar profit it makes sense the fun so the ninety days is the biggest obstacle so how do you overcome that if you're buying it okay guys it's Rick again with flip with Rick and in this video this is a two-part series this is section number two shor... Read More

Key Insights

• 🐬 Flipping short sales can be profitable, but it requires expertise and knowledge of the process.
• 🥳 The two main obstacles in flipping short sales are replacing the buyer and working around the 90-day restriction imposed by banks.
• ❓ Partnering with an experienced individual or joining a training program can greatly increase your chances of success.
• 🐬 Having control of the owner, realtor, company, and negotiator is crucial for a successful short sale flip.
• 🤑 It is possible to legally work around the 90-day restriction by finding a money partner or using alternative funding sources.
• 🐬 Proper paperwork and legal procedures are essential in navigating the challenges of flipping short sales.
• 🍰 Short sales can be time-consuming, but the potential for significant profits makes it worthwhile.

Questions & Answers

Q: Can short sales still be flipped successfully?

Yes, short sales can still be flipped successfully, but you need to know what you're doing and have the right strategies in place. Partnering with someone experienced in the process can greatly increase your chances of success.

Q: What are the biggest obstacles in flipping short sales?

The two main obstacles are replacing the buyer, which requires legal and correct procedures, and dealing with the 90-day restriction imposed by banks, which limits the resale of the property for a certain period.

Q: How can I overcome the 90-day restriction on flipping short sales?

If the profit is within a reasonable range (20-30%), you can work with your title company to legally navigate through the restriction. Partnering with a business partner and using private or soft money can also help overcome this obstacle.

Q: Why is it important to have the right knowledge and training for flipping short sales?

Flipping short sales requires specific strategies and skills. Without proper training, you may encounter difficulties and potential losses. Partnering with someone experienced and joining a training program can provide the necessary knowledge and support.

Summary & Key Takeaways

• Flipping short sales can be profitable, but it requires expertise and knowledge of the process.

• The two main obstacles in flipping short sales are replacing the buyer and working around the 90-day restriction imposed by banks.

• By mastering the four keys to a successful short sale flip and partnering with someone experienced, you can navigate these obstacles and make significant profits.