NINJA Tools for the House Flipper

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“With the RIGHT Tools of Success… it’s Virtually IMPOSSIBLE for You to Lose!” -Daniel Wiafe

 

1. FREE Comping Tools

When you get properties under contract… you want to know what the comps (comparable values) of the subject property (the house you’re getting under contract) is.

Comps are largely based off of the PRICES that past properties have sold for… in the general vicinity of the subject property.

It is generally BEST for you to get your comps off of MLS, RealQuest or FreedomSoft… but if you don’t have access or the money to get these tools to get accurate comps… the NEXT BEST thing is to use the wide variety of FREE online comping sites out there on the Internet.

What you will do is get the comps from 3-5 of the separate sites listed below… and average them out… and you will use that for estimating what the ARV (after repair value) of your subject property is.


Address of Your Subject Property:


1. Zillow.com - Click Here >>
Value of the Zestimate: $

2. RealQuest Express - Click Here>>
Value of the RealQuest Express: $

3. Eappraisal.com - Click Here >>
Value of the Eappraisal: $

4. Trulia.com - Click Here >>
(**go to the 3rd tab in the middle labeled address**)
Value of the Trulia Estimate: $

5. RedFin.com - Click Here >>
(**only available in limited markets across the U.S.**)
Value of the Redfin Estimate: $


6. YOUR ESTIMATE OF THE ARV: $

Take all the comps from above & average them out, and this will be your ARV. If you are mathematically challenged (LOL)... to get an average... you add up ALL of the numbers that you want to average... then you divide it by the total number of items you averaged.

So if you had 3 values -- $55,000, $60,000 and $62,500... you would add them all up ($177,500)... and divide it by the total number of items (3)... and your average would be $59,167.

NOTE: If you have a value that is WAY off of the rest of the numbers... (for example you get estimates of $55,000, $60,000, $65,000 and $87,000)... since the $87,000 is WAY off of the rest of the numbers... throw it out and don't include that number in your average.

 

how to flip houses

2. How to Calculate How Much I Should Offer a Homeowner for their Home

It’s generally agreed upon by most investors… that 65% of ARV minus REPAIR ESTIMATES minus YOUR ASSIGNMENT FEES is a good solid calculation to use.

This will be different in different markets. You may be able to offer a higher percentage up to 80-85% in some markets that are HOT (like Phoenix, AZ and Las Vegas, NV).

You may have to offer a lower percentage in other markets that suck (like Detroit, MI). It’s always BEST to try and get that figure from other investors & wholesalers in your local area.

 

REPAIR ESTIMATES:
A good, quick way of estimating is to take $8-$10 and times that by the square footage of the house (if the house only needs moderate repair). So a 1,200 sq. ft home that you are flipping would have a repair estimate of $9,600 to $12,000.

If a house is a TOTAL dump from head to toe… then take $12-$15 and times it by the square footage. So that same 1,200 sq. ft home would have a repair estimate of $14,400 to $18,000.

 

YOUR ASSIGNMENT FEES:
On houses that I will wind up flipping for UNDER $25,000… I generally try to attach up to a $5,000 spread for my assignment fee. Remember, when you get your cash buyer to buy your property from you… they will ALMOST always try to negotiate price. So that $5k spread… might wind up only becoming $3k for you after negotiations.

On houses between $25,000 to $100,000… I try to attach no less than a $10,000 spread for my assignment fee.

Over $100,000… try to attach $10,000-$15,000+ for your assignment fee.

ALWAYS strive to make sure that even with your assignment fee calculated into the total price and investor will buy your property for… that they are getting a slamming deal. Generally you want to have your assignment fee be no more than 1/3 of what the total profit potential in a house is.

Meaning if there is a total of $45,000 to be made on a deal… leave $30k for the cash buyer… and take no more than $15k for your assignment fee.

 how to flip houses

3. Get a Satellite View of Your House

I absolutely LOVE Google Maps… because it allows me to see a satellite image of the house I’m aiming to get under contract… as well as allowing me to scroll the neighborhood and see what it looks like.

Click Here to Use Google Maps >>

 how to flip houses


4. Untrackable Phone Numbers

Part of being a NINJA… is having plenty of discretion. This comes to play when you get phone numbers for your motivated sellers to call you back on.

You definitely don’t want your victims (or the local bandit sign police)… to be able to Google your number & track your phone number down to your name & home address… and hand you down NICE, $500+ code violation tickets for placing your ugly signs all across town.

a. Google Voice
The BEST and the FREE solution. Pick a local number… and have it either ring directly to your cell phone… or have it ring straight to voicemail.

Only thing that sucks about Google Voice… is that you can only have 2 Google Voice lines ring to one phone.

Click Here to Get Google Voice >>

b. RingCentral
I have about 10 RingCentral numbers for my real estate business & other business. Beautiful thing about RingCentral… is that you can have an UNLIMITED number of local OR toll-free phone numbers ring to your cell phone.

Plans start at only $19.95/mo. for your 1st line… and $4.95/mo. for each additional line. It’s useful to have a bunch of different numbers (if your budget allows it)… so that you can track your results.

For example… have at least 1 separate number for different campaigns that you do… or different forms of marketing that you do (yellow letter, bandit sign, postcard, website, etc.). This way you can track your results… and see which form of marketing is giving you the most BANG for your buck! Do yourself a favor & get their FREE app on your iPhone or Android phone.

Click Here to Get RingCentral >>

how to flip houses no money down

5. FREE Website for Your Wholesale Properties

So you already know that it’s the 2000’s… and you look like a fool if you don’t have a website. You know this!

If you are broke… or better yet, still a WordPress “virgin”… then try this simple AND free solution to having your very own website.

a. Postlets

I love Postlets… because it’s nice, simple, free and has a clean layout for putting your properties, pictures & description on. Plus it blasts all the details of your properties… to Zillow, Yahoo Real Estate & tons of other real estate websites.

Click Here to Get Postlets >>

b. VFlyer

If you love Postlets… you will LOVE VFlyer! What can I say about their graphic layout…? It’s straight up SEXY.

But with everything in life… if you want the souped up version of Postlets on steroids… you gotta pay. Prices start at $129.50/annual for having up to 10 different listings.

Click Here to Get VFlyer >>

 

 

  Want to learn how to make $5,000 to $10,000+/month flipping houses no money down and using none of your credit? Make sure you jump on my next FREE webinar as I give you a BLUEPRINT on how to createa 6-figure business. Spaces are limited to 100 seats! CLICK HERE NOW TO SIGN UP.

26 Responses to “NINJA Tools for the House Flipper”

Read below or add a comment...

  1. Allen says:

    Great post Daniel. I picked up a few tips here. Got here from the post you made in WHFT on FB. Just wanted you to know how I got here. Marketers appreciate that kinda stuff 🙂

  2. Ocie gibson says:

    Get post thanks for sharing

  3. Jason says:

    Hey Ninja,

    How about some Ninja marketing resources eg: Phone numbers bandit police can’t find, Skip trace services, etc. Love the site, good job!

  4. Hi Daniel,

    Great post. This would really help me out. Thanks for sharing this FREE information. 🙂

  5. Derric says:

    Hey Daniel,

    I wanted to know how you wholesale a house from another city or state if having to see how the inside of the property in some cases other than having them send pictures and or maybe having to show the property? Is there a way you can get around that other than sight unseen flip because not all sellers want to just sell their properties to somebody they do not know unless they are in a different city or state themselves?

  6. Lee says:

    You’re the man bro. Awesome stuff God Bless!!!

  7. Romao says:

    I have a question regarding the Yellow Letter

    Can you use it for Probate Property and if so what would you say on it at this time .

  8. Deen says:

    Wassup man thanks for all the great information. How often are you wrong on repair estimates? I’m just starting out and trying to figure out how much to offer the sellers on their houses but I have no idea to estimate repairs. If you don’t mind, can you elaborate a little more on how you estimate them and what to do if you are wrong? Thanks a lot Daniel.

    • Daniel Wiafe says:

      Hey Deen,

      Great question. You can do $10 x square footage if a house is in decent to good condition… $15 x square footage if the house needs updating or is in okay condition, but definitely needs painting, new floors, etc to make it look good… $20 x square footage if the house needs major stuff done, like new roof, ceiling, it’s in not so liveable conditions.

      Buyers will ALWAYS have their own repair estimates anyways… and many times will try bump up how much they “think” it’ll cost in order to negotiate a better price with you. Even I’m wrong at the estimate… since the house is at 65% of ARV minus repairs anyways… it’s usually still a GREAT deal.

  9. Eric E says:

    ringcentral number did u put it in youre name?

  10. Thanks Daniel for the great content of information on real estate investing. The how to videos needed to start in real estate investing is GREAT !!!

  11. Tim Capitalist Sharper says:

    Thanks for the Great Website, I been using it for at least 6 months to study Real Estate.

  12. Hay man i really enjoyed watching your videos i have been researching for about two months now and i'm ready to jump in remember Action! only i don't see the forms and contracts you said are available on your site please direct me to this information, thanks a million.

  13. Corey Johns says:

    Awesome Information!!! Can't wait to get started!

  14. LaShawn Pant says:

    Thank You so much for providing such valuable information for free to aspring investors. You are really a true example of a man of God, because you have been blessed and you are being a blessing to others. May God continue to Bless you and your beautiful family. I cant wait to be able to give my testimony!

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