Biggest House Flipping Mistake

139 You’re about to discover the biggest house flipping mistake most investors make and how to avoid it.


  1. You are so right. Especially in 2017. Idiot first time buyers want a brand new 30 year old house on the cheap. I tell the sellers to tell the supposed buyers to kiss ass and take it as is. This is a sellers market.

  2. Isn't it sometimes the appraisal that causes a deal to fall through? Should the seller do an initial appraisal prior to putting the house on the market?

  3. Thank you! Really Great Tips! The only suggestion is to change the wording from “Controlling the Buyer” to “Controlling the Transaction” as we can never control another person since they will always have the ability to decline your requests or proposals. Other than that, great stuff!

  4. I'm on my fourth house, but I live in them for several years in between. The last home I sold got tied up for 4 months by an unqualified buyer! That was very frustrating because I was basically homeless (renting a room) and continuing to pay that mortgage the whole time. My agent wouldn't walk away from that guy, probably because he represented them and wanted both sides of the pie. I bought directly from the owner/ seller this time, no commissions to pay, seller got their price and I'm happy because in 5 years this is worth $100,000 more than what I paid. Real estate takes patience. Be tenacious about getting what you want both when buying and when selling. Be willing to move. Buy low, sell high. If you require that nonreturnable deposit, you weed out people that will waste your time.

  5. Phil, do you require a minimum for the earnest money deposit? I think Kiyosaki said he puts down $1 earnest money on a property.

  6. Great video. Adding the clause related to Post Inspection Response also should help Seller avoid liabilities related to making repairs and any warranties related thereto.

  7. I wished I had watched this video before I had flipped a certain house. The roofing contractor did not hire enough labor and had substandard equipment to do the job. ($100 two gallon compressor) A Texas rainstorm came through and flooded half the house. This was two weeks before closing. The roofer was not insured so the roofer had to redo the sheet rock, insulation in the attic and replace the carpet padding. We closed and took a $20,000 loss on the property since we had to fix the foundation, Replace the electrical box, the roof and had to buy the materials because of the flood. Plus $8,000 to the hard money lender since our Real Estate Scout made promises in our behalf to purchase more properties then we had the money to close deals.

  8. Refundable !? we've bought 5, 7 houses if you count one of the properties.. and have always paid a non refundable earnest deposit!
    closing on some land this week! had to put down a 1% non refundable deposit! that's all part of the game!

  9. Phil, you explain like a good professor. Kudos on this amazing video, this is great advice given to us for free… Can't understate the help you've been.


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