In this instructional video, seasoned real‑estate broker and investor Joe Homs walks viewers through a comprehensive, six‑step process for starting a house‑flipping business. He begins by emphasizing the importance of a solid plan that defines investment amount, reserve funds, renovation financing, and project scope. He then stresses building a robust network of agents, wholesalers, contractors, and escrow companies to secure deals in a low‑inventory market. Homs explains how to source properties through MLS access, meetups, and personal connections, and outlines the acquisition phase, ensuring the team and financing are ready before purchase. The renovation stage covers demolition, design choices (flooring, paint, cabinets, backsplashes), and active contractor supervision to keep the rehab on schedule. For the sale, he advises pricing just below the highest comparable to attract buyers, using up‑to‑date comps and market timing to maximize profit. He also notes that flipping is one of several real‑estate strategies, mentioning wholesaling and rentals, and encourages new investors to seek mentorship or professional assistance. Throughout, Homs offers his services, discounts, and additional resources for viewers ready to start flipping.
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The new year is right around the corner, and if you've been waiting to start your dream of becoming financially free by flipping houses, then there's no time better to start planning than now. I'll show you step by step how to prepare for your new life coming up next. Welcome back to the channel. I'm Joe Homs. I've been a real estate broker, mentor, and investor for over 40 years. Make sure that you hit that like button so that you can start creating the life you've always wanted through real estate. Step 1, you need to make a plan. You need to think about things like how much money do you plan to invest? How much money do you want to hold in reserve? Do you have enough money to put into the renovation until you're reimbursed by your lender? And what kind of scope are you comfortable with? These are some of the questions that you need to be asking yourself, but you need to have the plan from the beginning to start with so that you know where you're going to end up at the end of the day. Step number 2, grow your network. And we're talking about real estate agents, we're talking about wholesalers, we're talking about contractors, we're talking about escrow companies, we're talking about really kind of a whole team. And that's what I call a network. And that's where you have to start with your plan. And then once you have your plan, then you start to put this network into play. And then that also includes how to acquire the properties. So real estate agents are important, wholesalers are important. All these people are, are very important right now because we have very low inventory. It's very difficult to get properties, and without having that network of people out there supplying you with leads, you're never even going to be able to start flipping a property. Step number 3, finding that house to flip. I do a lot of networking. I network with other real estate agents, I network with wholesalers, I obviously have access to the Multiple Listing Service myself. So I get leads sent to me all the time from all those sources. I go to meetups, I plan meetups, I have my own meetup, and the more people that you know, the more networking that you can do, the more times that somebody's going to send you a deal that they may not either be able to do, don't have the time to do, don't have the skills to do it, or may not even have the money to do it. Step number 4, buy the house. And you have to be ready at that point. You have to have all your team in place. You have to have everything ready to go. The money, the escrow, the process is moving forward. So buying the house is that next process in the whole process of flipping. Step number 5, now you're doing the renovations. So you're going in there and you're demoing the house, taking everything out and getting ready to put everything brand new back in. You hopefully have your contractor in place. You close on this day, and then the next day the contractor's over there doing their thing. And once everything's out, then you're supervising everything being put back into place. So what kind of flooring you're going to use, what kind of paint color, what are the kitchen cabinets going to look like? What's the backsplash in the kitchen? What's the backsplash in the bathrooms area going to be? What's the flooring going to be? All that needs to be planned up front so that your rehab can go as smooth as, as smooth as possible. Step number 6, now it's time to sell the property. And if you're not a real estate agent, you can get a hold of me. I'm happy to help you through that process. And I'll even discount my commission. But selling is also very important. You may have started this project 4 to 5 months ago. If you're in California, you know, 4 to 5 months during the last summer, it can be a 20% increase in the price from when you originally started. So you have to have somebody that's very experienced at doing comparables for your new property, the way it looks. See what has transpired in the last five months. So there may have been some other closings that may have come in at a higher price than you originally established. So it's very important that you pull the comps a few days before you're getting ready to hit the market. I always like to put the properties at if I find the highest property, highest priced property on the market in the same area. I will put it a little bit lower than that. I know that mine is going to stand out because it's all brand new, but I want them coming over to my house before they go to this house. So the more people that come to the house, the more people are going to put an offer in on your house, and then you're going to just watch the, the prices going up from there. Okay, so that's just a starting point to get the people coming over. If you start it way too high, They're not even going to look at that property even though it may be the best one in the neighborhood. It's just too high for them. So I always like to start it out at the highest price of what's being offered at that point in time, or what I like to do is go on just a little bit below that price so that people see mine first before they see anybody else. You probably have an idea on how profitable flipping houses can be, but you also need to know that flipping is not the only business in the real estate industry. There are several more options like wholesaling, rental properties, et cetera. So make sure you do your due diligence before plugging away. And if you want to start a flipping business, try to do it under the supervision of an expert. If you want to see one of our flipped homes, just click on this video right here. Also, feel free to reach out anytime. I've helped dozens of new investors get through their first flip. As always, I'm here to help.
