What’s the difference between Flipping and Wholesaling?
I’d like to know too!!!
They mean pretty much same thing…which would you rather use?
I like to think of flipping as buying property and selling it fairly quickly for profit.
Wholesaling as property below market value and selling for less than retail value. This is aslo done fairly quickly.
Some investors will buy properties below value, complete part of the repairs or renovations, and then sale to another investor.
I have been given many different explanations but I will take a stab here:
Flipping is when you buy a home and sell right away.
Wholesaling is when you flip a property right away and sell it wholesale
i.e adding a few thousand to what you paid for and usually by reassigning the contract to another investor before 30 or 60 days where you would have to close.
But if you buy and close or have a double closing that still would be flipping and I think that would still be considered wholesaling .
I am about a month into rei so dont take my word for it but since no one is answering I figured I would and if I am wrong then someone experienced will without a doubt post and then we will all know…LOL
assigning is neither wholesaling or flipping…you’re not buying or selling property. However, you should get paid for making the deal happen.
ok so what is assigning??
Here is where you would present an offer to purchase property w/ some legal clause giving you the right to assign the “contract” to another party. Another party would most likely be one of the investors that you work with…or some other interested party.
Just talked one of my investors I bird dog for.
He gets on average $3,000 to $7,000 per Wholesale, always assigns never has had to close (loan,etc) but adds he is lucky to have such a huge wholesale buyers list.
Even then He would still consider it a wholesale deal, and considers all to be under the term “flipping”