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Top 5 Things To Do When Getting Started Flipping Houses

by Danny Johnson

How To Start Flipping Houses

I have been getting a lot of emails and calls from people asking for the best way to start when learning how to flip houses.   There is so much information out there and it is hard to determine where to begin.  How do you get into this game?  I’ve given it a lot of thought and decided to post what I think are the top 5 things to do to get started and to succeed at flipping houses.

  1. Develop the Right Mindset

    It is very, very, very important to develop a positive attitude and align yourself with success.  You have to be prepared to receive the opportunities that will come to you.  Some people have deals coming their way left and right but just are not seeing them because they are not prepared to deal with them.  They let fear takeover and they are so frozen that they just cannot act.  Your level of desire has to be higher than your level of fear. You will be afraid.  Fear will keep you from making some big mistakes, but don’t let it stop you from ever doing anything.  You have to be willing to get out of your comfort zone.  After a while you will look back and wonder what you were so afraid of.

  2. Get Educated

    How are you going to be prepared to receive the deals that come your way, if you do not know how to analyze them?  How are you even going to find the deals that are out there?  There are deals everywhere, how are you going to uncover them? You can learn a lot from the awesome online forums available at BiggerPockets.com and FlippingHomes.com.  These are great places to learn anything and everything related to real estate.  It really helps to make it a point to visit often and just read over what is being discussed to get a good idea of how investing works and some of the issues people are having. It’s definitely a good way to learn from other peoples mistakes as well.

    I also highly recommend getting a home study course on wholesaling/rehabbing. Some people steer people away from doing this as a lot of these courses cost a small fortune and they say that everything in the courses can be learned on the forums. That may be true, but there is so much information it’s hard to digest it all and put things in the right order. It’s easy to get side tracked and overwhelmed. A good course can show you the ropes and show you step by step how to flip houses. Good investment courses can be bought for under $200 on Ebay. Go through the course several times and visit the forums to fill in the gaps and clear up anything that might be confusing.

  3. Start Doing

    You will never be completely prepared for every single ‘what-if’ your mind can conjure up. Do not let your fear keep you from taking action. People become real estate investing course addicts and buy $50,000+ worth of courses because they feel like they don’t have all the information they need to cover every possible situation. Don’t get caught in that trap.

    Take action. Start marketing even though you may feel that you are not prepared completely for taking the calls. Start taking calls and learning from them. You really do retain more when you are actually doing than you do from just studying. Even if the first calls don’t sound like deals, go and visit the seller and ask questions about the house. You will be a little less nervous if you go into it not worried about whether you will buy the house or not. This is the best way to gain experience. You will learn very quickly what questions you will need to be able to answer. Be persistent and take action.

  4. Find A Mentor

    Nobody cares until you start caring. You have to show that you are different than the 95% or greater of other new investors that never make it. This is why I put ‘Start Doing’ before finding a mentor. Having studied a course and the online forums and actually done some marketing, taken some calls and visited with some sellers will make you stand out. The people that are experienced enough to be a mentor will stop and listen to you and give you the time of day. You’ve already shown that you have a burning desire and will do what it takes to be successful at flipping houses. You will have intelligent questions to ask them by this point.

    You can find a mentor by networking with other investors in your area and at your local Real Estate Investor Association meetings. Ask around. Chances are you will need to do a lot of leg work and busy work for your mentor in the beginning. You really have to be willing to give in order to receive. Don’t expect everyone to stop what they are doing and be excited about helping you for nothing. It’s not going to happen.

    Really work at finding a mentor. Don’t give up easily. Maybe it will take a couple wholesale deals before someone will finally give in and work with you. So be it. Are you willing to put forth the effort? I know it was worth it for me to give up 50% of all profit for the deals we did with my mentor in the beginning (He put up all of the money and we did all of the leg work. This is an excellent way to start with no money of your own, so don’t let that be an excuse.). Honestly, I don’t think we would be where we are today if it weren’t for him. I’ve heard many others say that most of the really successful investors have had a mentor. That’s probably true for any business.

  5. Don’t Give Up

    Build momentum by continuously and persistently taking action. Set small goals for yourself each Monday and try to accomplish them by the end of the week. Put in the extra time at night and on the weekends. It will get easier. Most investors will tell you that the first deal is the hardest to find and it becomes exponentially easier from there on. Stay focused on the type of investing you choose to do and don’t get wrapped up in trying to learn every single niche. Become an expert in the one you choose and then slowly add the others. Have faith and believe that you will achieve success. As Henry Ford said, “Whether you think you can or you think you can’t, either way you are right.”
















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{ 20 comments… read them below or add one }

Brooks May 12, 2011 at 1:46 pm

Great tips! Even after a few years of investing it’s a great reminder. Thanks Danny.

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Brian May 27, 2011 at 12:35 am

great article. the right mindset is key in everything you do!

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Nancy June 9, 2011 at 5:37 pm

Great article, Danny, I agree with your points and especially about not letting fear immobilize us, and finding a mentor.

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Elizabeth Blazina June 13, 2011 at 9:32 am

Hi Danny, I have been really enjoying your blog and would like to know what “Wholesaling/rehabbing home courses would your recommend? Are their certain authors you have used?
Thanks Liz

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Danny Johnson June 13, 2011 at 2:47 pm

Elizabeth,

There is one that I really learned a lot of from and actually enjoyed listening to. It was Ron Legrand’s Cash Flow System (wholesale – retail). You can probably find it on Ebay for pretty cheap. While a little outdated, the concepts are still the same and I would recommend it.

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Chris November 1, 2011 at 1:46 am

Danny,

I really enjoy your insights, honesty and straightforwardness…..rare qualities in people these days. Keep it coming and I wish you all the bleesings and success that you so deserve.

Chris

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Danny Johnson November 1, 2011 at 9:00 am

Thanks, Chris. I really appreciate it.

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terence November 2, 2011 at 4:54 pm

Hey Danny,
I’m totally new to real estate and I’m loving your blog. I’m starting out from scratch with no money in the Atlanta area. I’ve always had a desire to get into flipping houses and would appreciate any advice you can give me. If you have any contacts in the Atlanta area that maybe I could talk with and possibly learn from please help me out.. Thanks..

Reply

Danny Johnson November 3, 2011 at 12:40 pm

Terence,

Glad to see that you are getting into the best business in the world. The best advice I can give is to follow along on this blog and see what is producing the best for me and attempt to do those things. Just keep in mind that it takes time to build up but once you get things going, it becomes much, much easier.

I’m sorry, but I do not have any contacts in Atlanta.

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Shane Woods in TX November 3, 2011 at 1:59 pm

@Terence & Danny

Don’t forget about J Scott. He’s in the Atlanta area (burbs) and I’m sure would have plenty of contacts by now. I won’t post the link Danny, you can if you feel it appropriate.

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Danny Johnson November 3, 2011 at 2:12 pm

Thanks, Shane. J Scott is a great guy and he has a great blog as well. His blog is 123Flip.com. You should check it out for sure.

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Tom Tarrant December 11, 2012 at 10:14 am

My plumber Scott just moved to Atlanta and he is trying to get work, hes really good and has worked for some of the best San Diego rehabbers. Good prices too. His email is scott.paradigm@gmail.com. I’ve worked with hundreds of sub contractors and this guy is one of my favorites. Sorry to see him move but my loss is your gain.

Sorry to hijack your post Danny, haha hope you dont mind

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Sam Dragoslavic December 18, 2012 at 11:39 am

Thanks for the great advice!

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Danny Johnson December 18, 2012 at 11:36 pm

No problem.

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Jamil M. February 10, 2013 at 9:01 pm

Thanks for all the great motivational info Mr. Johnson. I’m currently residing in Chicago, yet with the way my current company is going (USPS) i’m contemplating a move out to Sarasota, Fl. I have family out there that moved there about 8yrs ago from NYC. My father, brother and I are really setting our sites into the house flipping endeavor. I may be able to transfer out there with my job so that should help and staying with family would allow me to save for a great start. Any advice or contacts/mentors i can link up with in the florida area would be greatly appreciated. Thanks again and God bless.

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Danny Johnson February 11, 2013 at 5:54 pm

Thanks, Jamil.

Unfortunately, I do not have any contacts there to recommend.

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Janice February 18, 2013 at 2:26 am

Before I do my first wholesaling deal “DO I NEED A LLC?

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Danny Johnson February 18, 2013 at 10:43 am
nicotine July 31, 2013 at 5:25 pm

Nice answers in return of this query with firm arguments and describing all
concerning that.

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Danny Johnson August 6, 2013 at 9:38 am

I get a kick out of some of these comments. A genius must have written this one, or a spinner did a horrible job.

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