The timeline for flipping a house can vary significantly based on the scope of renovations and individual circumstances, but it typically ranges from seven to 13 months or more. This time frame includes several key stages, each of which plays an essential role in the overall house flipping process. However, it’s important to keep in mind that the house flipping timeline is largely determined by experience.
Finding the Property (2-3 Months)
The journey begins with identifying a suitable property to flip. The process involves researching the market, attending open houses, and possibly making competitive offers. The time it takes to find the right house can also vary based on location and market conditions.
Experienced investors can add additional value by making cash offers directly to home sellers who inherit unwanted properties.
Obtaining Financing (1-2 Months)
Once a property is selected, securing financing is the next step. It may include applying for a mortgage, securing hard money loans, or using cash reserves. Additionally, the approval process can take several weeks depending on the lender and the buyer’s financial situation.
Professional house flippers have typically developed lending relationships that allow them to access capital in a few days rather than navigating the slow process involved in traditional mortgage financing. While most banking institutions require investors to invest a considerable amount of cash, professional and institutional investors minimize the amount of cash they have to invest.
Renovating the House (3-6 Months)
The renovation phase of house flipping is often the most time-consuming part of the process. The duration depends on the extent of the work needed, from minor cosmetic updates to major structural changes. Effective project management and hiring reliable contractors can help keep this phase on track.
Since flippers add value to houses with construction, the execution of the rehab project often separates the professional flipper from the amateur investor. The competitive advantage of budgeting a project well and knowing how to best motivate contractors can create a great deal of value while helping to minimize risk.
Marketing & Selling the Property (1-2 Months)
After renovations are complete, it’s time to market the property. Selling the house involves staging the home, listing it with real estate agents, and conducting showings. The marketing and selling process will depend largely on market conditions, but having a well-prepared home can expedite the sale.
Here, professional flippers are able to create competitive advantages by following processes to determine the most accurate market value of a property as opposed to relying fully on a real estate agent.