Recognizing the Proven Methods for Assigning Houses and Assigning Real Estate
There are other meanings that people discuss for flipping. Some refer to it as actually paying for a property, then quickly repairing it to resell it. This is an option you can do but there are also many financial risks that can be an issue, particularly in soft or lingering areas.
While we talk about flipping, we are talking about tying up properties inexpensively and then assigning (or flipping) them to another buyer for a fast profit. When we talk about real estate wholesaling, we are basically talking about finding houses cost effectively and assigning them at a discount to another individual or rehabber; thus the term wholesaling. For additional clarification on jargon, when you assign a property to another person, this just means you are providing the right to them to purchase the house directly from the owner.
When you get a property under contract, you will have control. Then you can wholesale it to another rehabber at retail price or for a flat fee so they can close on it. They take your place in the contract, then take ownership of the house, handle repairing it and either keep it or sell it to another person for a higher price. A method like the one developed by Matthew Sorensen for real estate investing is a great no risk way to create quick cash using little or no cash or other lending techniques.
Since you have neither of these limitations you can also do as a many as you want making real estate wholesaling a great cash flow strategy especially once you have a consistent program working for you!