Flipping a house can be exciting, profitable, and even fun—if you do it the right way. The idea is pretty simple: buy a property that needs some work, fix it up, and sell it for more than you spent. But while the concept is straightforward, making a flip successful takes planning, patience, and a good eye for detail. If you’re thinking about jumping into the real estate game, here’s a guide that’ll walk you through how to flip a house from start to finish.
Start with a Solid Plan Before You Flip a House
Before you ever put an offer on a property, pinpoint your goals. Are you trying to flip one house as a side hustle, or are you making this a full-time gig? Either way, your approach should be focused. You’ll need a realistic budget, a timeline, and an idea of how much profit you want to make.
The biggest mistake new flippers make is underestimating the cost of things. Between purchase price, closing costs, materials, labor, holding costs (like utilities and insurance), and agent fees when you sell, expenses add up fast. Build in a cushion. Things almost never go perfectly, and it’s better to be pleasantly surprised than caught off guard.
Find the Right Property
The perfect flip usually isn’t the prettiest house on the block. In fact, you want the opposite. Look for homes that are structurally sound but need cosmetic updates. Ugly paint, outdated kitchens, and worn flooring can scare off regular buyers, but they’re gold for flippers.
Location matters too. You can improve a house, but you can’t change its location. Look for areas where home values are rising, or neighborhoods that are starting to attract younger buyers or new businesses. A fixer-upper in a desirable zip code will always have more potential than a pristine home in the wrong spot.
Know Your Numbers
Once you find a possible flip, it’s time to crunch numbers. You’ll want to figure out the ARV—After Repair Value. That’s what you think the home will be worth once it’s fixed up. Then subtract your renovation costs, holding costs, and the profit margin you’re aiming for. What’s left is your maximum purchase price. If the deal doesn’t make sense on paper, it’s not worth chasing.
Renovation estimates should come from solid research or a trustworthy contractor. If you’re handy and plan to do the work yourself, great—just make sure you have the bandwidth. If you’re hiring it out, get multiple quotes and check references. A cheap contractor who doesn’t show up isn’t a bargain.
Renovate with Purpose When You Flip a House
Once the deal is done, it’s time to get to work. Stick to your plan, stay on budget, and make smart choices. You’re not designing your dream home—you’re creating a house that’s appealing to most people. Neutral paint, quality but affordable materials, and a clean, updated look will go a long way.
Focus on the things that matter most to buyers: kitchens, bathrooms, and curb appeal. New countertops, modern fixtures, and a tidy yard can completely transform a home’s value. Don’t go overboard with custom features unless the market calls for it. The goal is to make the house attractive to as many buyers as possible.
Sell Smart When You Flip a House
Once the renovations are done and the house looks great, it’s time to list. Work with a real estate agent who knows the area and has experience selling flipped homes. Pricing it right is key. If you overprice it, it’ll sit on the market and cost you money. If you underprice it, you’re leaving profit on the table.
Stage the home if needed, and make sure it’s spotless for photos and showings. The first few days on the market are crucial, so you want to make a strong impression right away. If you did the work right, buyers will notice.
Keep Learning and Improving
Even if your first flip doesn’t go perfectly, don’t get discouraged. Every project teaches you something. The more experience you get, the better your instincts become. Learn from your mistakes, build relationships with good contractors and agents, and keep refining your process. House flipping can be a powerful way to build wealth, but it’s also a business—treat it like one, and you’ll see the rewards.
FAQs on How to Flip a House“
How much money do I need to flip a house?
It depends on the market and the condition of the home. In most cases, you’ll need enough for a down payment, renovation costs, holding costs, and a cushion for surprises. Many successful flippers recommend having at least $30,000 to $50,000 available, though some do it with less.
Do I need a contractor’s license to flip a house?
Not unless you’re doing the work yourself in a state that requires it. If you’re hiring professionals for the renovations, you won’t need a license—but your contractors should be licensed and insured.
How long does it take to flip a house?
A typical flip can take 3 to 6 months, depending on the scope of the work and the time it takes to sell. Delays in permits, inspections, or weather can extend your timeline.
Is flipping houses risky?
Yes, like any investment, there’s risk involved. Markets can change, repairs can go over budget, and houses might not sell as quickly as you hoped. But with good planning and the right team, you can reduce those risks and improve your odds of success.
Bronze Star Home Inspections provides home inspections to customers in the Dallas-Fort Worth Metroplex. If you’re buying or selling a property, contact us to request an appointment.