5 Questions to Consider Before Flipping Houses to Pay for College

5 Questions to Consider Before Flipping Houses to Pay for College

By Tina Martin

If you’ve thought about flipping houses to fund your return to education, you might be onto something. Flipping houses can be a lucrative venture, helping you drum up the money you need to pay for college and advance your career. This method of funding college is particularly attractive to adults with established careers and savings accounts. Unlike many of the younger people entering college right out of high school, you likely have access to resources and credit that can help you get your house-flipping business off the ground. Here are some important things to consider as you explore this exciting venture.

Do You Have Real Estate Experience?

Understanding the intricacies of the real estate market, property valuation, and local regulations can significantly enhance your chances of success in house flipping. Real estate experience will help you accurately assess the potential of a property, negotiate better deals, and effectively manage the renovation process. If you’re new to real estate, seek guidance from professionals. Working with a reputable real estate agent, such as Danielle Russodivito, will ensure you have access to valuable real estate insights and expertise. 

Can You Juggle House Flipping and School?

Flipping houses can require a lot of your time. Fortunately, the availability of online degree programs has made it possible to pursue higher education while focusing on your business. Online programs offer flexibility and convenience, allowing you to tailor your coursework around your house-flipping schedule. Not only do online programs eliminate the need for commuting, but they’re also more affordable compared to in-person learning. For example, if you want to earn an advanced degree in special education, look for master's in special education online tools that can help you obtain your teaching license online.

What Renovations Are Right for the Neighborhood?

When flipping houses, it’s crucial that your renovations align with other homes in the neighborhood. Moving.com explains that over-improving a home can lead to a mismatch between the house and its surroundings, potentially impacting its marketability. 

The kitchen is one area that can almost always benefit from a few improvements. For example, adding a range hood can give the kitchen a modern look while serving the practical purpose of venting grease, smoke, and odors to keep the air clean. Other kitchen renovation ideas include painting the cabinets, adding a backsplash, installing new fixtures, or replacing the countertops. Review listings of other homes for sale in the area to determine which upgrades will add the most value and help the home sell faster.

Are You Prepared for the Risks?

House flipping inherently comes with a few risks. Unexpected maintenance issues, market fluctuations, and extended holding periods can hurt your return on investment or leave you on the hook for costs you’re not prepared to pay. Thorough preparation is key to mitigating these risks. Conducting a detailed property inspection before purchasing can help identify potential issues and estimate repair costs more accurately. At the same time, obtaining appropriate insurance coverage, such as liability and property insurance, can protect against potential accidents or damages during renovations. 

Do You Have an Exit Strategy?

An exit strategy details your plan for selling the property when you’re done with your repairs. One crucial tip for creating an exit strategy is to determine your target market and tailor your renovations accordingly. Understand the preferences and demands of potential buyers or renters in the area to ensure that the property appeals to them! Your exit strategy should also include a plan B, in case you’re unable to find a buyer at your asking price. House Flipping School explains a few common exit strategies for flippers, including renting out the home or offering a lease-to-own agreement to the buyer.

With careful consideration and planning, flipping houses could be a great way to pay for college. Seek real estate guidance from professionals, take advantage of online degree programs, and prioritize impactful home upgrades like kitchen improvements. By addressing these key considerations, you can embark on a successful journey of flipping houses to fund your college education!

Are you looking for a real estate agent in New York or New Jersey? Danielle Russodivito can help you find the perfect candidate for your first house-flipping project! Call 845-664-2144 so we can get started!