How To Start a Fix-and-Flip Real Estate Business in Arizona

If you’re interested in making cash by fixing and flipping houses, you’re not alone. If you’ve tuned into TV shows lately, you’ll see house improvements that could lead to a five- or six-figure gross profit. For resource investors who don’t mind doing hard work, flipping a house is an amazing opportunity for short-term investment and for starting a new real estate business in Arizona.

We’re here to help you be well-versed with some of the major aspects of house flipping and the first steps to running a successful fix and flip real estate business in Arizona. 

If you want to dig deeper into how to finance Arizona real estate investing, get in touch with one of our loan experts to learn more. 

Write a Business Plan

Before you start your fix & flip business, you’ll want to spend time making a business plan. A business plan is an essential written document that defines a company’s objectives and strategies for achieving them in detail. When you apply for financing, you may need to present your business plan before getting approved for a fix-and-flip mortgage in Arizona.

Your business plan should include the type of property you want to purchase and flip, like single-story homes that are in need of repairs or move-in-ready houses. Your business plan can also contain information on how you’ll generate leads on properties to purchase, whether you’ll use Facebook ads to drive leads or other real estate listings.

Know How To Find and Secure Funding

 

Before you start your fix & flip business, it’s essential to what type of funding will work best for you, considering your credit history, current assets, and the type of property you will be purchasing. 

Not all real estate funding options are right for a flipping business. For instance, if you have a poor credit score, a hard money loan may be a better option.

Also, once you’ve been running your business for a few months, you may need a flexible funding option to buy properties, cover operating costs, or pay for house refurbishments. In this case, you may qualify for a business line of credit. Even if your personal credit score is poor, you may still qualify as long as you show how your business performs.

If you want to know if you’re qualified for an Arizona investment mortgage, contact a mortgage professional for further inquiries.

Conclusion

Keep in mind that flipping a house isn’t easy, no matter how easy it looks on television. But if you don’t mind putting work into it, house flipping can be very rewarding.

If you’re ready to start your fix & flip business, apply for an investment loan with Castle Rock Mortgage.

 


* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.