Wholesaling Vs. Flipping

Can anyone tell me the differences (if there are any) between wholesaling and flipping?

Thanks!!! smile

Comments(3)

  • Birddog14th December, 2003

    its the same thing. Wholesale sounds more professional that flip does.
    [addsig]

  • Bruce5th December, 2003

    Hey,

    "Word, words, words..."
    "The question is whether you can make words mean so many things..."

    They are just words; don't get hung up on them. You can call yourself whatever you want.

    For me:

    Birddog/Scout--person who finds property and owner, but does not enter in to contract

    Flipper--person who enters in to contract, but does not take ownership

    Wholesaler--person who takes ownership, but does not do repairs

    Retailer/Rehabber--person who takes ownership, does repairs, sells/rents to retail

  • DaveT5th December, 2003

    In a broad sense, you are flipping property if you never hold it for the production of income or for future appreciation.

    Property flipping has many flavors. Once you have a property under contract you can:

    1. Assign your contract to another investor for an assignment fee (a contract flip).

    2. If the property needs work, but you don't want to or can't do the work, sell the property to another investor. You discount the sale price to leave enough profit on the table to attract a buyer (a wholesale flip).

    3. Sell the property outright for FMV to a retail buyer (a retail flip).

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