How to Find a Team to Outsource Your House Flipping Tasks Effectively
House flipping can be a very lucrative side hustle that many individuals run on their own. A DIY house flipper can generally do one or two houses per year, and the profits made on those two houses can get close to the six-figure mark before taxes. With that in mind, creating a team of flip-savvy folks can result in those two houses being ten or twelve, with profits getting bigger and bigger. Learn how to successfully outsource your house flipping tasks.
If you’re someone who already has a firm grasp of house flipping and a few years of experience, it might be time to turn your side hustle into a full-fledged business, and every successful business starts with a solid team. Each industry has different parts to the whole, but for house flipping, if you can find qualified and hard-working individuals to fill these four roles, your flipping hobby can become a flipping business in a very short amount of time. These individuals may not be classically employed, but even as third-party vendors, their juice will be worth the squeeze.
Tip 1: Hire a Contractor Coordinator
Finding a reliable group of contractors can save a lot of headaches, and even more money, and should be on the top of your priority list even before you purchase your first home to flip. As your growth continues, you’ll most likely find that some contractors are great at certain things while others are great at some different aspects of a flip. Hiring someone who knows the contracting lingo (a former contractor is a great bet) and understands which teams bring the most value to a given situation means a streamlined flow of high-quality, fair-cost work will be getting done on all of your properties, and consistency is a great way to make a quality name for your brand.
Tip 2: Hire a Lender/Consultant
The dream for all flippers is to eventually have enough profit to fully invest it into a home and no longer need to depend on lenders to fund your projects. However, it’s human nature to always want to “go bigger,” especially in the very lucrative house flipping market. With that in mind, even if you get to the point where you do have the overhead to finance most jobs, having a trusted ear to share ideas with is important. And before that overhead comes, a steady relationship with a given lender can result in that lender occasionally floating houses your way to see what you think, saving you time and effort on the front end.
Tip 3: Hire an Insurance Professional
Most contractors have insurance policies, but at the same time, many horror stories exist about an injury or something of the like happening on a job site and the person in charge of the flip having to front the bill, which can knock some people completely out of the house flipping business. Employing an insurance professional who can discuss things with contractors and also set up policies on the homes being flipped (for fires, or natural disasters) is money well spent on peace of mind.
Tip 4: Hire an Attorney
No matter how good you are at the physical process of flipping houses, paperwork woes can still cause as much trouble as a broken pipe or faulty electrical system. It’s highly recommended that house flippers find a real estate attorney they can trust and discuss all walks of flipping with. Ones with a lot of experience can prove to save you much more than they cost you, with tips on how to cut costs, how to properly tax income and spend, and how to protect yourself against any potential lowball salespeople on the real estate side. Real estate agents often have their own go-to attorneys, and asking around will probably give you a good idea of which ones in town specialize in helping flippers get the most out of their work.
Continued Growth With Outsourcing House Flipping Tasks
If your flipping company continues to grow, there is a lot of money to be saved by cutting out middlemen. All of these positions above can (and should, at the beginning) be third-party business colleagues, but if you progress far enough where the profits allow you to legitimately field a full-time team of flippers, that you should definitely consider it as an option!
Choosing the right team of house flipping contractors, such as painters or remodelers, for example, is an important decision when it comes to your investment. Our course will teach you how to find a team who can work with you and help make your House Flipping business successful. We’ll explain what questions to ask potential candidates before hiring them, and share our best tips on managing these relationships once they’re in place. Remember that time is money – so if you want success in this industry, it’s worth investing in our course!