Fix & Flip - Where can you lose out? Part - 2

Fix & Flip - Where can you lose out? Part - 2

This one is big because if you fall in this trap, you can lose out huge. So, this trap is the code violation or possible code violation on that property.

So what happens when you buy a property, make sure that the title company is doing a detailed lien search and you go through the lien search page by page to make sure there is no violation on that property.

And secondly, when you are inspecting the property or you are visually checking the property, make sure that there is no structure on that building or on that property can get a violation. Because, sometimes the property may have four bedrooms and you see the 4th bedroom looks like the walls are not concrete. Normally in South Florida, the external walls are concrete, concrete brick walls. And if you see it's stucco wall, it is different from the main house. So there will be a "Question Mark" there.

So what happens? Some cities, they're very helpful. They will cooperate with you and then whatever the regular expense. Sometimes it could be a big expense. But some cities, or unincorporated cities we have here, we have a lot of bad experiences for our clients, with those inspectors and they do not help. You will be in a Rut wheel, just kind of like moving and moving run around. Do not fall for this.

So the violation, possible violation on the property, because the liens get paid at the closing, or do you know how much is the loan amount.

So if you're buying the property at a better price, you can always negotiate that and pay that off. But violations are possible violations are very important to look for before you purchase the property or before you close that transaction. Do not fall for that.

Hopefully this video will keep you safe and help you make money through Fix and Flip not to lose money. Feel free to give me a call if you have any questions. I definitely can help you.

Shawn Bhakta from RE/MAX Presidential - South Florida Home Finder Team.