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2018 is turning into quite the year for Real Estate in Toronto. Depending on what report you read, the market is either gaining, stable or a mixture of both, but regardless of where you source your news, there is still a lot of money to be made when it comes to flipping a house in 2018.

If you were wondering how to get started flipping houses, I know Chip and Joanna Gains make it seem easy. Dave and Kortney Wilson have mastered the art of flipping while having you thinking you can do it too! And we tend to agree you can start flipping houses for a living.

Flipping houses doesn’t necessarily have to be a teardown. In today’s market, most buyers are looking for a finished product. And with prices soaring, we don’t blame them. But if you’re in the small percentage of those looking to put a little elbow grease into a project, the flipping market might just be for you.

Here are a few of our best tips for getting into the game, and making a nice return on your investment, all while adding credentials to your flipping toolbox.

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Planning, planning, planning


Think about what you want to achieve with your flip – are you looking to gain experience? Make the most money possible? Set yourself up for future flipping opportunities? These are all important things to consider and with most flips, you won’t achieve all of them in one go.

If you’re considering your first flip, you may want to start out with a smaller project – a facelift perhaps, where you won’t make a huge amount, but the experience you get will be invaluable.
Grab a piece of paper and a pen and write it down. Seriously, write it down – this is the first step of many that will set you down the right path. Then, talk with a financial advisor to ensure you can make your flipping dreams a reality.

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On The Hunt - Finding a House to Flip


Once you’ve got your plan, goals and budget all lined up, it’s time for the hunt to start. Remember, the worst house on the street isn’t necessarily the best house to flip. We’ve all seen those homes that would be better suited to a horror movie film set – not the home you want to tackle without some experience under your belt.

Something you should absolutely consider is a condo. Yes, a condo. With the Toronto housing market so far out of reach for a lot of buyers, the demand for three-bedroom, two-bathroom condos with high square footage is on the rise, and at a very rapid pace. The problem is, some of these are so old and haven’t been touched in 20+ years. Think about it – no knob-and-tube wiring, no leaky roof – it’s one of the best options you have for a nice little flip project.

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Celebrate. Strategize.


Once you purchase your flip property take a moment – celebrate! Then roll up your sleeves and get ready to strategize! Sorry, the demo will come later. First – strategy. Just like a business issue, you must look at the overall big picture, get the right players in place, set a budget and stick to it. You’re going to need to think about your improvement priorities – what’s going to give you the biggest bang for your buck, while not over-improving for the neighbourhood.

You’re also going to want to get several contractor quotes. Meet with them and get references. We’ve seen quotes with a swing of 100k – for the exact same work between various contractors. Due diligence may take up some of your time, but it will be well worth it in the end.

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The Highs & Lows - What They Don't Tell You About Flipping Houses


Once the work is well underway, remember to roll with the punches. There will be delays. There will be frustrations. There will also be wins – like when you see how amazing the hardwood is or how stunning the rage hood you splurged on turned out. Enjoy the process and learn from it – remember, you’re adding to your toolbox for next time. And the time after that.

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Finally Selling Your Flipped House


Once the project is complete and your blood, sweat and tears have dried up, it’s not quite the time to pop champagne. This is where your selling strategy comes into play. Your realtor will be able to advise you where the market is at, what’s selling in the neighbourhood, who your competition is and when the best time to list is. This isn’t about sticking the For Sale sign up right away. Take a few days to think about your exit strategy and stick to it.

A final word.

Flipping houses isn’t for the faint of heart, but don’t let the headlines discourage you. Start small. Think facelift, not teardown. Small steps in the beginning can lead to much success for years to come.