Make More Money On Every Deal With These 7 ROI-Boosting Tips (From Private Money Lenders For House Flipping Philadelphia)

As a Philadelphia-based flipper or rehabber, what’s important to you? Probably return on investment (ROI), right? If you can acquire a great property at the right price, add value efficiently and affordably, and sell for the highest amount you can, you’ll generate a higher return.

So, we’ve collected our favorite ROI-boosting tips to help flippers and rehabbers like you to make more money on every deal…

#1. Don’t drive from store to store.

Many rehabbers will look for discounts on supplies and materials and then drive from one store to another to get the deals. However, that doesn’t always make sense because of the amount of time and fuel you’ll burn doing it. You may spend a few more bucks at one store but you’ll save money by saving time.

#2. Shop online and pick-up.

Not all stores offer this but if you can find a store that does, use them! Shop online for your materials and pick it up. Let someone else take the time walking around the store to find what you need. You’ll save time and turn your flip around faster.

#3. Don’t do it all yourself.

While you might want to do some of the work yourself, a flip is a business, and it’s no place to learn whether or not you can do plumbing and electrical that is “up to code”. In the long run, you’ll save time and money and stress by doing some of the work yourself but hiring a licensed contractor to help you with the complex stuff.

#4. Create a plan and stick to it.

Nothing ruins a flip faster than emotion. You are not building your dream house, you are building a house that you can rent or sell. Create a plan and stick to it and you’ll maximize your ROI by spending less. (Remember: YOU might like a marble countertop but does it make sense in a property you’re going to sell if it doesn’t give you a higher return?)

#5. Build relationships, don’t burn bridges.

One of the biggest errors we see investors making is that they work with contractors and grind those contractors down on price. While that can boost ROI in the short-term it also limits the contractors you can work with and burns a lot of bridges. In the long-term you’ll hurt your reputation and your ability to find contractors who will do the work.

#6. Find the worst house on the street and turn it into the best house on the street.

This is a simple “rule of thumb” that can help you create great value and a higher ROI in your deals. When you find a property for sale, see if it is the worst house and see how you can make it the best house, and build your plan around that.

#7. Build a relationship with private money lenders for house-flipping Philadelphia.

Some investors just show up to the door of a hard money lender and ask for money, and they can potentially lose deals if they have to go through the lending process. Before you even start looking for a property, why not introduce yourself to a few private money lenders for house-flipping in Philadelphia and let them know that you are about to start the process. A simple introduction can start the process and move things forward faster when you find a property.

Use these tips to start making more money on every deal!

Leave a Reply

Your email address will not be published.