The whole point of real estate investing by flipping properties is to do projects and make money – so not doing a great deal because you are out of ready cash defeats the purpose! But where is this money-tree that can expand your business and your profits?

Unless you just sold a project, as a flipper you are likely to consider yourself constantly “broke”. Flipping is a cash-eating beast, even if the end of the project has handsome rewards for having the fortitude to complete it. Especially if you are doing more than one project at a time, active flippers are typically cash-poor with thousands of dollars tied up in down payments, rehab costs, and the monthly drain of utilities, insurance, etc.

Feed the cash-devouring beast with one or more wholesale deals every month. If you have a nice project property but you can’t start work right away, sell it on to another investor and keep a few thousand for yourself. Even if your crews are up to their ears in projects, keep working the auctions, watching the ads and following up leads. Keep an open mind about the wholesaling possibilities before you pass on a promising property.

One wholesale deal a month can give you $3,000 to $10,000 extra cash, or more. That’s handy for picking up new deals or meeting your personal expenses.  One to three wholesales a month will significantly increase your annual income – think $25,000 to $120,000 annually, or more. Pay bills; do more flip projects; grow it and in a few years send your kid to Harvard.

The key is to maintain your golden list of real estate investors hungry for deals. The more you pass along profitable projects, the more interest they will have in your next deal. Hone your valuation and rehab assessment skills, apply your best negotiating, grab deals wherever you can and assign them to another hungry investor.

A combined strategy of flipping and wholesaling can become a powerful real estate investing machine. Your flipping business won’t lack for cash. Remember that wholesaling requires little or no cash in the deal so long as you turn a property around quickly.

Wholesaling is a flipper’s golden opportunity to stay in the game, expand their business and even to enjoy an extra boost to the checking account.  Put in a little work for a lot of wholesaling rewards!

What’s the most you’ve made on a single wholesale deal? How fast did you turn it around?

Want to earn money with little or no investment of your own? Keep an eye out for my upcoming ebook explaining wholesaling and how to make it work for you!