If flipping houses was such a guaranteed moneymaker, the Contractors would be the ones buying the houses and renovating them at cost and making a ton of money.
Contractors have waaaaayyy too much on their plate to deal with flipping. It’s one thing when the customer is paying but another when the contractor has to fork out cash for the property, expenses, materials, and their own employees. That’s extreme capital to put at risk!
@@midlifecrisis7888 in a way, house flipping is kinda speculative, isn't it? you buy a house that, when you touch it up a bit, you expect it to sell for more, giving you profit. And Blackrock is a scaled up (by many orders of magnitude) version of it. and then yeah, there's the interest rates as well.
Funny you should say that. My dad sold (streetcsign buyer) his house (circa 1952) way under market because he wanted a quick sale. His house was then sold less than 30 days later for +$170k, then it was flipped, put on the market for $949k, listing removed, put back on the market for $999k sold for $949,027, it is now back on the market for $989k, all of this in the span of 13 months. From the pictures it was modernized and added on to, but still has no garage, sqft 2048.
Most common flipper mistakes; 1. Paid too much for the house. You make your money on the buy, not the sell. 2. Over personalizing the house. For flipping, the most generic popular fixtures and colors work best. 3. Poor workmanship is rampant in flips. House probably looks like crap.
I agree other than the colors. New homeowners will paint to their preference, so for staging keep it neutral and add sparks of color in towels, pillows, a bowl of fruit, a small accent wall. If every room is painted and potential homebuyers hate it, they will consider painting a burden but if just left neutral painting it, as the new owners, becomes an adventure.
You often see these flips sit on the market for long periods of time. Usually they have a fatal flaw, like only having one bathroom, or an awkwardly laid out very small kitchen, or all of the bedrooms are be way too small. They are basically situations where any reasonable person would need to basically finish the job and blow out a wall or two to reconfigure the floor plan in a better way, and the clientele of homebuyers who are interested in flips don’t want to do that, they want a move in ready house.
Spot on. Why would I as a buyer pay more for a “flipped” house that I ultimately will have to put more work into, when I could skip the middle man, buy a home that is in obvious need of some work for less, and then spend the extra money on doing things the way I want. I know where the mentality of a flipper lies…and it’s not on ensuring the best work possible is done to the building….
@@DB-bw5fz Especially when buying it involves being stuck with someone else's design. Repainting is easy, but why should I get stuck with a newly remodeled kitchen that I wish had been done differently. Much better to buy a fixer-upper and spend the money to fix it up exactly the way that you want it.
@@treasurethetime2463 I agree. The problem though is that most flipped homes don’t have well though out and executed renovations done to them. They are done with the sole intent of getting a good return on their investment, so appearance and cost outlay will have a large effect on the work that is being done. Buying a turn key, fully renovated house is likely the better way to go…but buying a house in obvious need of work and paying to do the work is likely to be the better way to go over buying a “flip”.
In 2020, I sold a couple of properties and now I'm patiently waiting for a potential decrease in housing prices so that I can purchase a property at a more affordable price. In the meantime, I have been considering investing in stocks as an alternative. Do you have any thoughts on whether it is a favorable time to make a purchase? I often hear people describe the current situation as chaotic and unpredictable. However, I also come across articles where individuals claim to have made over $225k in trades within a week. I'm curious to understand how this is possible.
I sold a couple of homes in the Tampa area for pretty good cash and I'm thinking to just leave it in stocks while waiting for a house crash to happen and as well avoid inflation, but is this really a good time to buy stocks? I hear it's a madhouse right now and I still hear folks are raking in huge 6figure profits by the weeks and I'd love to know how.
look at it this way, while some folks are waiting to make minimal profits when stocks recover, some others folks already know where to look and what to do to make hefty gains in these times, so yea, it all boils down to knowledge to risk mitigation.
True, I was in dilemma myself due to this chaotic market, wasn't sure if to sell or just wait a little longer, 75% of my portfolio was tanking and in the red and the economy isn’t looking promising, but I began gaining clarity and have more confidence in my investment through an investment adviser, I know most DlY investors like me would say advisors aren't essential, but come to think of it, they're better trained and equipped at this and if I have to give just a little amount in fees for me to be able to net $650K in less than 8months like I did this year, I truly don't mind.
@@p.for_peaches7397 Omg 650K this year? that’s neat, I was actually reading an articles this morning on Bloomberg about techniques to gain in this dip, but I’m just a noob so i don't understand most of it, who is this adviser that guides you, I’m having serious troubles with my portfolio
Sharon Kay Hanna is actually the one that guides me, she’s a highly-sought out adviser, so I’m not certain she’s accepting new intakes, but you can give it a shot. It wouldn’t be proper to just Leave her number Lying around, but she has a webpage you can look at if you google her name.
“I don’t know why it’s not selling.” Another reason why it’s dangerous to do this. You took a risky bet in an industry that you don’t have experience in and clearly don’t understand well. You didn’t know about contracting, how to sell a house, etc. like Buffet says, the most important thing in making an investment is UNDERSTANDING THE BUSINESS.
That's what especially struck me too. He got into flipping and has no knowledge of why it's not selling??? what?! Why take such a risk if he didn't understand the business at all....baffling.
I'm a contractor, I can tell from this fellow that he cheaped out on EVERYTHING! He lost contractors because he was constantly trying to do the absolute minimum in spite of professional recommendations. I imagine the people who come to see the house bring their own inspectors who tell them STAY AWAY. Like Dave said, he saw people on TikTok or any HGTV show making tons of money and he thought that he could do that too.
My brother just bought a house and the homes he looked at you can tell a flipper was involved because all the materials the floors counters etc have this trendy modern cheap junk look to it nothing is quality material
They do a cheap job on those shows and make it look fast and easy. I would never buy a flip. I want quality, not a cheap job and problems they slapped a band-aid on.
We looked at a house like that. It was a run down house in a high priced neighborhood and we'd looked at it when it was for sale before being flipped. It needed work but the structure was good and it still had all the original woodwork, stained glass lighting fixtures, etc. We looked at it again after a flipper bought it and fixed it up. Woodwork ripped out, poor job of sheetrocking, cheapest possible fixtures, all work poorly done. Hardwood floors (if they were still there) covered up with cheap carpet. House was on the market for ages and I suspect it sold for way less than the initial price.
@@xlerb2286 That’s heartbreaking. It’s criminal to rip out woodwork and replace it with cheap, trendy stuff, because the craftsmanship to build such a house no longer exists.
Never mind flippers, I've bought houses from regular people who lived in their places for years and never bothered to maintain them. Utter garbage and the real estate agents advertised then as "immaculately maintained." Absolute lies.
I had prospective buyers tell me that they didn't like the kitchen, hated the layout, thought the garage was too small, etc. The realtor is saying what they are because they don't want to lose you as a seller. You need to find out why the people who didn't make an offer why they walked away.
I'd say having new houses nearby is a detriment, not an advantage for comparing prices. A LOT of people would rather have a NEW house regardless of the quality of the renovation. If the builder is offering financing that's very appealing for first time buyers.
Agreed. A lot of people will pay more to get a brand new house versus a rebuild if the prices are in the same universe. If I can get a new home for let’s say $260K like the price he mentioned versus $217K for his I’m going for the new one I’d guess. In my area that mortgage would be around $300 different and I think a lot of people are going to spend that $300 more every month to have brand new over the rebuild. It would need to be significantly cheaper I think to be worth passing up on the new house or at least it would need to be for me. The same reason why I didn’t buy a condo a number of years ago and bought an older home with some improvements made to it instead. I liked the idea of a condo and having all new everything at a price I could manage but someone quickly pointed out to me that there is no resale market here for them and often you’re lucky to get out even because they build condo complexes so often that there’s almost always a brand new one near whatever yours costs and when the costs are close more people will elect to go for new. This dude dived into something he didn’t have a clue about and it blew up on him.
I’m glad people like this guy are having a hard time. Fix and flips are a part of why housing prices are out of control. This guy most likely did cheap work and expected a high return, don’t buy a house unless you intend to keep it for a while.
Prices are determined by what buyers are willing to pay; not by what sellers want to ask. Edit: And what buyers are willing to pay, are most closely related to finance terms. If interest rates go down again, and loan terms are extended to 40 years, most people will not tame their desires for more, and will willingly enslave themselves even more - house prices will rise greatly.
No people like this have no impact on the market whatsoever. This guy isn't even a drop in the bucket compared to hedge funds, and institutional buyers like Berkshire Hathaway and Blackrock. You really think someone flipping 1 house is driving market prices and not Zillow buying houses unseen?
@@abark Berkshire Hathaway does not buy houses Brother, they just take a fee for selling them. Over 80% of the SFR bidness is small landlords, not Blackrock and other institutional owners, especially 40 miles outside of Austin! Bwaha
I disagree …I’m not a house flipper nor know one , but if the flipper is coming, and redoing a house, making it nicer, and then selling it it’s not driving up prices for other houses. What would drive up prices is the fact you have 100 people looking for a house and there’s 20 available It’s all supply and demand. They help the market by making more supply honestly . I don’t see how it hurts
Many flippers who appear successful on TV have their own construction crews who appear to be available anytime. If you are an independent needing quotes and being scheduled you are already on a losing path.
A house around here listed for 365K in September of last year. It's a good place, but outrageously priced for the area. A couple of weeks ago I saw the price reduced to 200K. It still won't sell. It's a small farmhouse and barn but half an hour away from any jobs. Nobody wants to go 200K in debt at 9% interest when they can rent an apartment close to work for the same monthly payment. In a way, the housing market is crashing due to inflation.
@@KatieBellino Around here the problem is the distance, not so much the time. A 30 minute drive is thirty miles, which in the winter might mean a two hour drive or not making it at all.
@@ifronnin Ah, yes, we're pretty rural in Maine too, but 30 minutes is closer to 15 miles, so an hour if it's a bad winter day. A lot of people go ahead and do it.
I can guarantee this guy got a house in the worst part of town, painted some walls, got the cheapest deals he could get with the contractors, and now he wants to sell a piece of dog 💩 for 217 when it’s worth 100k less than that. People know, people tell. Buyers aren’t stupid, that’s why it ain’t selling. He thought he could do the bare minimum, but that’s not how it works, dude. These are places folks are gonna live in. Also, wife here is not without fault, she went in just as much as he did. She should have said no if she “told him so”
I’m not sure I understand the concept of flipping houses if you aren’t able to personally do a sizable share of the contractor work. The whole point is converting that sweat equity into cash dollars. That also lowers your risk. You’re gonna have additional labor and materials costs, and you probably can’t do everything, but if you’re ENTIRELY going outside, that co tractor margin is just gonna take so much of the profit.
@@marlonyoutube3496 people like me? I don’t flip houses and I just wrote how it doesn’t make sense to flip houses if you’re just going to pay contractors instead of do much of it yourself. Did you learn to read?
Most people have no clue how to do the work, even with instructions. Many even think they do, when they really don't. Even working as your own general contractor, which I have done, takes experience and knowledge including people skills.
sorry this is not true. I'm a contractor and i've literally seen tons of houses sell way over asking and they were done by flippers. if the product is good, and the value is there, the buyer couldn't care less. same on the other side. sellers sell their homes to flippers all the time bc they have cash, even when other buyers will write the sellers personal letters about their family and children and their future life, sellers don't care. 90% time is about money and value, period.
@@justincrasi4638 - I've watched a lot of Mike Holmes on Make It Right and its scared me a lot. That's why I mentioned A+ flippers. It someone paints some walls and retiles a floor but doesn't address structural or internal issues such as mold, asbestos, board rot, pests, foundational issues, sewer, flooding, etc... the flipper can do a lot of damage by not disclosing and literally painting over the problems. 2 houses on my block were flipped. BOTH houses had to have very expensive repairs done by the new owners in the first year. Flipper made 200k + on the sales, but likely didn't disclose the structural issues. Home owners should sue, but often don't. I like the GOOD flippers, and what I'm trying to say is that people don't want to buy from flippers that are greedily flipping junk houses and not disclosing the problems they taped and painted over. It has to be a quality A+ job, otherwise buyers are walking away if they see a recent flip. Too much of a gamble to buy a these prices.
This happened to a house around the corner from me they fixed it all up and just missed the market as interest rates sky rocketed. Nobody wanted to buy this overpriced small house so now 3 years later they rented it out i kinda feel bad for the person that owned it they left it empty for over a year hoping it would sell what a time to be alive😅
They rented it out went to the bank the next day the bank gave them a ton of money the renter pays the mortgage and the flipper went and flipped another house happens every day!
As a Realtor here in Florida i see all the time these flippers get a great deal a house then cut every corner and go cheap on the fix then ask 10 to15% higher then every other house in he neighborhood. Be careful buying from flipper investors most are out for the quick buck at the buyers expense.
It’s location if anything, he said he’s an hour outside of Austin probably with nothing much around, people don’t want to do that commute. Houses near me with mold and turds on the ground are gone within days especially if it’s listed in the 200k range.
I read an add for a 1 bed 1 bath for rent in Austin. I had to do a doble take browsing the pictures of the house. One wall had such a bad repair, you could see that there is a huge hole, most likely will need a new sheet rock. They just plastered tape and more tape, about 10 rows on the hole and painted over it. Asking for 1400 in rent. I wonder what other problems the owner tried to cover . God bless the poor tenant that gets into that property.
Being able to say "I told you so" is one of the major benefits of being married. Remember that marriage means finding that one special person who you want to annoy for the rest of your life.
The problem with flips is people skip corners and have so many issues. I got a client under contract right now and the inspection came back with foundation issues 😂😂😂
@adrianmechelle3784 they did really good on the surface but once they got an inspector about 20k worth of issues came up. See flipping works if you do it the right way
100”% !!!! People cut corners when flipping houses because they don’t care about the quality, they just want a quick buck. But good quality houses will sell. Especially in South Florida.
not necessarily true. i do the same thing and all my properties (rentals) are in the sticks about an hour away from the closest major area and i can rent/ sell them all day long. huge market for property 1 hour outside of a place like austin, the prob his he prob overvalued the property when he bought it
@@blackworldtraveler3711Idk abt "FIRE" but I agree with you on wfh. Been homebased since 2014, foubd a small, less expensive town, and stockpiling cash. The idea that people can't work "real" jobs from home is bunk.
@@rickdunn3863 People like this guy who is trying to jump onto the train of SCREWING OVER OTHER people with highly inflated house prices. They're screwing over OTHER people trying to buy a house as a reasonable and fair price.
@@rickdunn3863I don't think they are wishing misfortune. But it's been frustrating over the last few years for people trying to buy homes to see people coming in flipping homes by basically putting lipstick on a pig and then jacking the price way the hell up. Then everyone with a lot of money thought "Hey I'm going to buy some piece of crap and then flip it x3 it's current value". I'm sorry for this person unfortunate situation. But as somebody trying to buy a home I can see where you would see it promising to see situations like this that could contribute to a better supply vs demand situation for the buyers
I mean - caller is actively adding to supply with this listing. The problem is they are in at a bad time and went way over budget. Frankly, the country is in desperate need of more companies looking to fix up deteriorating inventory for residential use. But there’s a huge shortage of people able and willing to take on that risk right now as well.
The importance of estimating renovation time. He did it when the market was trending up which was ideal for flipping but the time of construction really set him back. Prob would’ve made a profit after 3 months. I prefer the idea of doing it yourself too. No need to make it an LA mansion, just have to make it appealing and marketable.
So glad Dave took this call. This guy needed to be scolded hardcore to avoid further financially daming mistakes. And this is Dave's area of expertise so he's able to facilitate explaining the failure really well. Even with getting to the point on the guy comping a renovate with a nww build.
I don't think Dave scolded him. Dave speaks with a reality tone and people today are so soft that they perceive an honest conversation without flowers as harsh.
This is exactly what I was wondering when I saw everyone and their mother getting in on house flipping and rentals , my family did this in 1980s and they’d buy perfect properties and the profit margin would be around 20% nowadays people buy anything and they go on TikTok and tell people they made millions , sooner or later they’re gonna start undercutting each other because there are millions of them with zero experience and until they learn they gonna ruin the market
The only time I've seen flips work out well is when it's someone who knows how to properly do the work themselves, get the sales on the items for the renos and sell themselves but they have to be good at all of that which is rare. I know someone who has done this with amazing design talent and did 90-95% of the work herself and flip 1-2 houses/year and make $100k+ doing so. This is very rare to see this though so just like Dave talks about with the Airbnb stuff unless you're gonna put the work in yourself the cost of hiring someone is not worth it to do it
I remember in 2018 so many of us around the U.S.A. could not find buyers for our homes. My house, as well as most other people I talked to had our houses on the market for 2 years, even though homes were very affordable at that time.
@@amgooder In my area homes were put on auction in 2018 as well. The homes sold for $7000-$15,000. The highest one went for $60,000 because it had a new basement. Now homes are $400,000-$500,000 here.
Where was this? We bought our first home in 2018 and there were open houses hours after a house went on market and many offers by the end of that night. It wasn't quite the bidding wars of the next years (particularly with the cash offers and bidding going $70k above asking etc), but it wasn't a buyer's market in our area, not at all, and especially in the first time homebuyers price range. Twin Cities, MN.
He is relying on real estate agents to tell him the value. If he doesn't know the value based upon knowledge he personally has; he shouldn't be doing this at all. When I sold my first home (over 40 years ago), a listing agent told me it was worth $55,000. I sold it "by owner" for $65,000. This saved me half of the commission too (I split the commission with the buyer's agent).
😬 people usually say its all about location and workmanship...some "flipped" homes look like they been cleaned...freshly painted old kitchen cabinets and 70's wall panels...pop corn ceilings...wall to wall carpeting to cover squeaky damaged floors...paint color thru out house...white and gray..the new beige..
Way in the green is an overstatement… but most things I own are recovered from 2021 crash. I only threw out SP because it’s a name most people recognize. RECOVERED is better than a loss it sounds like this guy is gonna take.. However, if you continued to dollar cost average and continue to invest through the recession you bought in at some nice low points and have had a good run in the last year. FSELX is one of my favorites. Goes on some nice streaks.
@@dacokc Using an online investment calculator, I found out that $50k invested in SnP back in 2021 would be worth over $58k today, roughly 5% a year. The money would be easy to get at and you would not lose 6% to a real estate agent, money to a title company, loan interest, taxes... Basically, I am agreeing with you, you would be way in the green when compared with flipping.
The truth is that under normal circumstances (>85% of the time within the cycle), ordinary folks do not make money on flips. The only money being made is from being a realtor, contractor, etc., in your flip. In other words, you need to be the realtor and the contractor (at least some of the trades). The flip itself makes no or very little money. Outside of some incredibly lucky circumstance - inheriting property, etc. - you will never get the house cheap enough, understand/time/budget the renovation/repairs properly, and sell the house for high enough. No one does, not even the so-called pro's. What the pro's do different is that they get their real estate license, contractors license, etc., and make their "profit" that way. Its not actually "profit," however. Its just you being compensated for your time and effort just as if you had a normal job. That other 15% or so of the time in the cycle, everyone including the pro's just straight up lose money on flips. We are in that part of the cycle now. This is why inventory is so short. Selling now means you realize losses for basically anyone who has bought a house in the last 18 months. It doesn't matter if you made mistakes, didn't understand, blah, blah, blah. Even if you did everything perfect as can be done you are almost certainly be in the red if you sold right now. Ordinary folks and pro's alike.
I would never buy a new built. They are attractive but cheaply made and located in a HOA is the same as having a silent partner as an owner given they can foreclose.
Ive flipped several houses and its not for the faint of heart. Sounds like there may be some are some workmanship issues with this property. The huge price reduction is a red flag unless they are trying to use that strategy to drive up the price and get multiple offers. Either way he may be better off renting it out for a while and try to refinance or something to recover some $$$.
Flip mistakes -1 - taking out walls for " open concept " . Original design rarely accomodates it. -2- Granite every surface. Granite takes a crew and $$$. There are other great options. -3- Gutting good kitchen cabinets. New doors or new stain could be all that is needed.
He could go into being a landlord... mitigate the damage by holding on until the market is better. Rental income paying most of the mortgage. Not the ideal solution and it violates the Ramsey plan of getting out of debt ASAP.
If it needs major construction the only people flipping homes are those with the skills to do the majority of the construction work themselves. If you contract the work the only one that profits is the contractor. Otherwise the value would be reflected in the original selling price.
May also be the location? Commuting for an hour can become 2 hours till at rush hour. It's an hour outside of Austin. There are no 200k houses in Austin worth living in.
You can always tell a crappy flip. That's why no one even wants to do a walk-through. Also, Austin is a terrible market for flipping. Demand is too high there to get a good enough deal to make any margin on a flip
Yeah. It’s a bubble. People wanting to retire by flipping a house. Works for a min. But eventually the cost of borrowing money is not worth is anymore.
No one knows for sure what this investor did wrong. Probably a little of everything, but here's what stood out to me. His basis for setting the price came entirely from agent advisement. Agents have access to great information, but they are an unreliable source. Some will want to price aggressively so it sells quick. Others will over-value the property in a sharp-elbow bid to get the listing. You have to do your own research and understand the comparables thoroughly before submitting an offer. A house a block away might be 60 years newer or have two more bedrooms or three more bathrooms or a new roof or a new HVAC or a two-car garage or a pool or all of the above. A house a block away lists for $260k, but he can't sell his for $217k. The market is never wrong. Stop wasting your time calling radio shows, figure it out and move onto the next one if there is a next one.
No one wants to buy into a market that is crashing. Austin has seen home prices fall 14.3% in a year. People need the confidence of stability and predictability. I wouldn't buy a stock or asset that had volatility like that.
There’s this house near me that is listed at $1.3 million that’s been on the market for a month. I had some neighbors 2 months ago saying the construction for expansion was unsafe and not permitted (codes were being violated left and right). The city came out and forced him to take down the “expansion”, so he had to turn the concrete slab into “outdoor pergola area”. We went in their as nosey neighbors and the construction is awful and so is the layout. It looks like quite a bit was invested though. So now I am just laughing as week after week no one is buying. I really despise flipping…homes should be homes and not investments; also give me a home that has Ben loved and has some character
This guy probably listened to the Dave Ramsey episode several months ago where he said real estate prices only go up lol. Flipping is a get rich or get poor scheme.
Hit the nail on the head. He overpaid for his flip. It hurts to walk away from a "deal" but that's one of the most important skills to have as a flipper. I wish I had a nickel for everytime I've gotten excited about a deal and upon inspection, realize that there was no meat on the bone and had to let it go. There's always that one dumb investor who overpays
Never mind flippers, I've bought houses from people who lived in their homes for years and never bothered to maintain them. Utter garbage and the real estate agents advertised then as "immaculately maintained." Absolute lies.
What why would you do a HELOC on your house for this (I mean why would you do a HELCO period)????? Why would you risk your house for an "investment"?? Be careful with flips that you put money into things that will actually add value to the house, and that you do most of the work yourself.
Wouldn’t it make most sense to hold the property for the next few years, keep paying the mortgage, rent where possible and wait until the value increase? Curious why this wasn’t entertained.
Surprised Dave didn’t chew him out on the HELOC. They are very dangerous because the bank can call those loans anytime even if you pay on time. Too risky. Stick with index mutual funds. Out of sight and out of mind.
Flipper homes are junk , they have this trendy modern cheap feel to them, the floors are cheap laminate the counters and cabinets etc are all particle board, vinyl siding everything is just low quality cheap material you can tell homes today that have been flipped
He spent 12 years researching costs to rehab a home, ultimately based on 2019 labor and material costs, but then purchased in 2021 while the socialist government was in the midst of handing out 8 trillion dollars printed out of thin air, thus causing the price of LITERALLY everything you could buy to go up 30-40% from just 2019. So he probably got a decent deal on the house relative to today's values, but the cost of hiring contractors to do all that work while there was nearly infinite demand and 200% increases in lumber and paint prices, destroyed his plans. That's the government that did that to you, me and everyone else though. Socialist policy does not work.
HGTV makes it look so easy double you money on every flip!!lol I know a few people who have done it and they all agree it's a pain and would never do it again!!
I only watch House Hunters. House Hunters International as well since I travel the world and bought a place in Italy. Learned a lot about different types of homes in different areas of the U.S. and other countries including the terminology. Good source of ideas for remodeling. Don’t care for the other shows.
Good. Flippers has made housing much more expensive and taken out cheap housing. There are families who want to rent a sfh thats in bad condition but cheap rent. The more houses getting flipped, the less cheap inventory there is and it drives up rent and housing costs for the whole Metropolitan area theyre in.
After the housing crash in 2008 I flew to four states looking for a second home. Must have looked at over 100 homes that year. Most of the flipped homes were done with low quality and cheap materials for quick sale it seemed. The home I decided on was not flipped and remodeled with quality materials and receipts from the companies,list of materials,and warranty documents to back it up.
@@blackworldtraveler3711 i dont get why people buy a 100 yrs old house thats flipped to current nice standards, the house is still old and wont last another 100 years. Its still fetching top dollar. Its like buying a restored classic car with todays technology and daily driving it.
This is exactly why I don't listen to friends or family who say homes are a good investment, cause they are the type of people who may or would have thought this was a good idea.
Never looked at my homes as investments. Just wanted them paid off place in a nice area I could enjoy with things like river parks,beach,nice restaurants,hiking/bike trails,less traffic,low crime,low traffics highway access to work and international airport,etc.. Wanted to securely lock all of this in first. Once this was done while still being debt free I bought two rentals with cash a few years later as investment and income keep this financially separate from my homes.
@@blackworldtraveler3711 Yeah I tend to look at homes and real estate more like Robert Kiyaosaki does (except for the debt) than Dave Ramsey. But definitely lean more towards Dave on personal finance and investing.
You should never listen to anyone who "tells you" about investing. You should research yourself. I own 6 properties and homes are a GREAT investment.... if you know what you're doing
@@obie1coby I'm guessing that's cause 5 of them homes likely aren't your primary residence and meant to be an asset where they put money in your pocket.
A lot of new builds are giving incentives instead of resell home owners who can’t. Austin housing market is in the dumps. Instead of listening to Dave Ramsey on this I would highly suggest listening to Travis of Real estate mindset on RU-vid about this market. He covers all basis of this Austin, Texas market.
Bingo!!! I've never understood either. The problem I see is you always need the next deal. Nothing, and I mean NOTHING, beats long term cash flowing rental property.
I feel like you should be willing to live in the house your flipping. It's insurance and seems like it wouldn't hurt you as much internally. Should just bite the bullet and sell the personal home and hope over 10 years that he can recoup the value on the filp as homeprices in the area go up.
