![]() In fact, for most land flippers, they look at the presence of other competitors targeting the same area as a good thing. ![]() When it comes to buying and selling property, because you can essentially do this business anywhere, it’s rare to run into other land flippers targeting the same leads as you. Most people haven’t even heard of this model of land investing and they don’t understand how someone could make legitimate money from it. I’m normally a lone wolf in the crowd, and I get funny looks when I tell people what I do. This is the story almost every time I attend a real estate networking event. There were several wholesalers, rehabbers and buy & hold investors in attendance, but no one else flipping land. Out of 60-80 people, I was the only person doing the land business. I recently attended a real estate meetup in Chicago, IL. Most land flippers are buying properties between $1,000 – $5,000 each, so as you can see, it’s a lot more affordable! 4. If we use $15,000 as our example, and say we buy 10 deals, that’s $150,000 in acquisition costs alone! On average, we bought properties between $15,000 – $35,000, per deal.Įven at these kinds of prices, there are still a lot of costs to figure out. Going back to my wholesaling days – Indianapolis is generally considered an inexpensive market. Deals Are WAY Cheaper To FundĪnother big pain point in real estate investing is determining how you’re going to finance your operation. RELATED: 8 Land Investing Myths Debunked 3. As long as I have mail out there, I’m getting deals. In my business, I see 1-2 deals per every thousand letters I send.Īs crazy as it sounds, it’s like clockwork. In contrast, with land flipping, it’s considered spending BIG money if you drop more than $2,000 on a single direct mail campaign. In addition to this, we still had to use online advertising, work with other wholesalers and a number of other strategies to try and get deals. When I used to work for a large wholesale operation out of Indianapolis, IN we used to spend tens of thousands of dollars in direct mail marketing, EVERY SINGLE MONTH. ![]() ![]() The thing with land flipping, however, is that finding deals is the easy part – the bottleneck of the business is in selling properties (more on this in a minute). One of the hardest things in real estate investing is finding deals on a reliable, consistent basis. It’s INSANE what’s possible in the land flipping business! 2. He bought a property for $500 and sold it for $25,000! In this quick video, I showcase one of my recent deals: It’s not uncommon for an investor to make over 100% ROI in one land deal.įrankly, that doesn’t exist in any other asset class in real estate. When you sell a property, there are only 3 steps to consider (maybe 4):ħ Reasons Flipping Land Is Better Than Every Other Real Estate Strategyīelow I take the 7 major reasons why flipping land is better than every other real estate business model in existence – let’s dive into it! 1. When you buy a property, there are essentially 5 steps to consider: There are two “arms” of the land business: Seth Williams has done a fantastic job explaining it in detail in this blog post, but at a high level, all you do when you flip vacant land is buy a parcel at 5-35% of market value and then turn around and sell it at a significant markup, usually 50% – 80% of market value.Īs with everything, this business model is a lot easier said than done and I don’t want to make it sound like it’s push-button easy.ĮVERYTHING worth doing takes a lot of work to accomplish.įlipping land is really simple, and I’d make a case that it is, in fact, easier than most other real estate strategies. What Do We Mean By “Flipping Land”?įlipping land is a pretty simple concept. I’ve seen most of what’s out there there i s simply nothing better than flipping vacant land. I also work full time for an incredible community at and, naturally, I’m always on the hunt for the next best thing in real estate, so our audience can benefit from it. I’ve worked for BiggerPockets, been involved in hundreds of house wholesaling transactions and interviewed some of the greatest minds real estate has to offer. I know this is a bold statement but when it comes to investing in real estate, I’ve been around the block. Flipping vacant land is one of the most overlooked and misunderstood ways to make money in real estate.
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