Flipping houses isn’t just about buying low, fixing up, and selling high—it’s about creating a replicable system. When you get the process right, you can maximize profits, minimize stress, and scale your business faster than you might expect. Here, I’ll lay out an efficient, step-by-step guide for finding deals, rehabbing properties, and scaling to 10 flips a month. Whether you’re doing your first flip or looking to refine your system, this guide will help you succeed.
How to Find Real Estate Deals
You can’t flip houses without deals, right? But finding the kinds of properties that turn a profit takes strategy.
Networking
Networking is a powerful way to keep your deal pipeline full. Let everyone in your circle know you’re in the business of buying houses. Post online, talk to friends, and make it clear: “I buy houses for cash.” Trust often leads to opportunity; people prefer to work with someone they know or can easily contact.
Wholesaler Events
Wholesaler networking events are another goldmine for rehab deals. Wholesalers market aggressively and lock in discounted properties. They need cash buyers like you to complete the deal. Build relationships with wholesalers so you’re their go-to buyer. Even if you only snag one good deal from a wholesaler, that connection could someday translate into tens of thousands in profit.
Direct Marketing
Running your own marketing campaigns can yield great results, but it’s costly. Don’t feel pressured to dive into marketing straight away if you’re just starting. Outsourcing to wholesalers or leveraging your network might be a better initial move.
How to Evaluate a Property
Not every cheap house is a good buy. You’ve got to know what to look for before putting down an offer.
Understanding ARV
ARV, or After Repair Value, is the cornerstone of property evaluation. To determine ARV, look at recently sold properties near the home you’re buying. Stick to homes in the same neighborhood and compare those that were built around the same time as yours. A 1960 fixer-upper selling for $200,000 isn’t comparable to a modern home built in 2010. Be conservative in your estimates to stay on the safe side.
The Big Three
Three areas typically account for the biggest repair costs:
- Foundation
- Roof
- HVAC
These items aren’t just expensive—they’re critical to livability and resale. Addressing them early ensures you’re prepared for your rehab budget.
How to Find Reliable Subcontractors
When scaling your flipping business, hiring subcontractors directly can save you a huge chunk of money. Many flippers mistakenly believe they need a general contractor (GC) for every flip. Here’s how to cut out the middleman.
Key Hiring Indicators
Look for work trucks or vans parked at active job sites, but skip those with decals or heavy advertising. These are often tied to contractors focused on marketing over referrals. Subcontractors with unmarked trucks and word-of-mouth referrals tend to be both reliable and affordable.
Using Referrals
Ask other investors or friends for trusted subcontractor suggestions. Facebook groups can also lead to quality referrals—though it’s wise to vet anyone you’re hiring. Request photos of their prior work and get clear estimates before signing anyone on.
The Rehab Plan: Step-by-Step
Once you’ve acquired a property, sticking to a step-by-step process is the best way to keep costs and timelines under control.
Step 1: Start with the Foundation
A strong foundation is crucial. Without it, other repairs won’t hold up (literally). Make foundation repairs your first priority.
Step 2: Plumbing
While the foundation is exposed, conduct a plumbing test. If work is needed, negotiate with your foundation team to do the necessary digging. Subcontracted excavation for plumbing repairs costs far less than hiring a dedicated plumbing company.
Step 3 & 4: Electrical and HVAC
Tackle electrical and HVAC systems next. These systems are critical not only for inspections but also for comfort—especially if your crew plans to stay on-site during the rehab.
Step 5: Roof Repairs
Get the roof inspected and repaired before moving on to the cosmetic stages. Any red flags here will cause headaches during buyer inspections.
Step 6: Cosmetic Updates
In most cases, cosmetic repairs are about making the house look fresh, not reinventing the wheel. Don’t waste money knocking down walls or making major layout changes. Instead, focus on the kitchen and bathrooms. Install granite countertops, stainless steel appliances, and modern finishes—these small touches matter to buyers.
Reuse cabinets whenever possible. Sand them down and paint them for a like-new appearance at a fraction of the cost.
Step 7: Paint
Fresh paint transforms any property. It’s cost-effective, creates a great first impression, and gives the space that “new home” smell buyers love.
Step 8: Install Flooring
Leave flooring until the end. This prevents paint drips or dust from damaging new carpets or hardwoods.
Step 9: Final Touches
Once floors are complete, add appliances and final fixtures. At this stage, you’re nearly ready to list!
Staging: Small Investment, Big Returns
When buyers walk through your house, they should be able to picture themselves living there. That’s where staging comes in.
Small Budget, Big Impact
You don’t need to hire an expensive staging company for every property. Instead, rent a small storage unit and fill it with affordable furniture from Facebook Marketplace or thrift stores. A few well-staged pieces in the kitchen, living room, and master bedroom can go a long way.
Listing and Selling
Price to Attract Attention
List your property $3,000–$5,000 below the market’s highest comparable sale. Why? This creates urgency among buyers and attracts multiple offers that often drive the price up.
Use Cost-Effective Listing Services
Hiring a listing agent for a 1% fee is a cost-effective option. Alternatively, platforms like Listing Spark allow you to list for just $7 a day. This keeps more money in your pocket without sacrificing exposure.
Reset Stale Listings
If your property hasn’t sold in 30 days, don’t panic. Cancel the listing, wait 48 hours, and relist with a new broker. This resets it as a “new listing” on MLS, attracting fresh attention without the stigma of a price drop.
Scaling Your Business
Flipping 3 houses a year is fine—but how do you grow to 10 deals a month?
Stop Chasing Perfect Deals
Many flippers insist on buying properties at 60% of ARV, but this can lead to missed opportunities. Focus less on squeezing every dollar of profit from a deal and more on volume. Buying at 80% ARV still leaves room for a solid ROI, and it lets you build momentum, keep subcontractors busy, and close more deals.
Reinvest Your Profits
Resist the urge to cash out early. Reinvest your first flip’s profit into two more properties, then into four, and so on. Scaling requires discipline, but the payoff is worth it.
Value Time Over Perfection
Your time is the most valuable resource you have. Instead of waiting months for the “perfect” deal, aim for consistent flips with good, predictable margins. A $16,000 profit on 10 properties beats $30,000 on two.
Conclusion
Flipping houses is like running any other business: efficiency, strategy, and execution are key. By focusing on networking, building a strong subcontractor team, following a reliable rehab process, and reinvesting your profits, you can quickly scale your flipping business. The road to success may have a few bumps, but with a solid system in place, your flips will get faster, smoother, and more profitable with every project.
