The Ultimate Guide to Flipping Houses in Atlanta, Georgia
The real estate market in Atlanta, Georgia, is one of the most talked-about in the U.S. at the moment!
Although investing in real estate in the Peach State might set you back slightly more than your average fix and flip, record-low interest rates, and the city’s relative affordability are attracting more and more buyers. Therefore, you’ll certainly reap long-term rewards if you take the plunge.
Real estate in Atlanta is gaining momentum. For this reason, investors interested in flipping houses in Atlanta should listen up.
Not sure where to start? we’ve put together this ultimate guide to help you along the way!
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Why Should You Fix and Flip in Atlanta?
First up, let’s start off by exploring some reasons as to why Atlanta, Georgia, is a good place to fix and flip right now:
- Rising house prices: Rent and housing prices in Atlanta are skyrocketing at the moment. In fact, house prices are currently higher than the national average. While this may be bad news for tenants, it means that flippers can get higher returns on their flips!
- Population growth: One of the main reasons for rising house prices in Atlanta, Georgia, is the city’s rapidly growing population. During the last decade, the metro area grew in population by more than 730,000, according to U.S. Census data. As a result, Atlanta is currently the nation’s fourth fastest-growing metro area, which means the demand for housing is high.
- Low cost of living: Compared to other major cities in the U.S., life in Atlanta, Georgia, is actually remarkably cheap, and in fact, below the national average. This is particularly the case if you’re living in the suburbs, where utility bills and transportation won’t break the bank.
If you’re considering flipping houses in Atlanta, GA, contact a nationwide private lender to access funding in under one week!
How to Flip Houses in Atlanta
OK, so you’ve decided you’d like to start flipping houses in Atlanta. Now comes the difficult part — getting your head around how to do it.
If you’re a complete newcomer to the industry, it’s a good idea to seek advice from an experienced flipper, but here are some basic pointers to start you off:
Remember that a fix and flip project is essentially a huge investment, and needs a well-thought-out business plan. First, determine your budget.
When flipping, the general rule is to work out the after repair value (ARV) of the property you’re investing in and never spend more than 70% of this price when purchasing it.
If you need help securing funding for your project, your best bet is to contact a private money lender like We Lend, experts in fix and flip loans in Georgia.
Now you’ve established how you are going to finance your next fix and flip project, you’ll next need to track down a property to flip. If you’re struggling to work out where to start, relying on wholesaler networks can be very helpful.
Besides saving time, working with an experienced wholesaler who knows where the good deals are in the local market can also save resources by outsourcing the task of locating properties to flip.
A good way to meet local wholesalers is to join local real estate groups, check out forums on Bigger Pockets, and peruse social media to find out how to start flipping houses in Georgia.
If you decide to seek out fix and flip properties yourself, some of the best deals can be found at real estate auctions. Bear in mind, though, that this will require you to do some research beforehand to ensure you’re not going in blindly.
Another point to factor in with real estate auctions is that you’ll often need to put down at least a portion of the full property price up-front in order to secure your bid. Commonly, this is around 10% of the purchase price.
Location, Location, Location
We’ve said it before, and we’ll say it again.
A strategically located property in a desirable area can make a huge difference for a fix and flip, which brings us to our next point...
Best Neighborhoods to Flip Houses in Atlanta
Because of the high price of homes in the city, it’s really important that as a flipper, you think long and hard about exactly where you are looking for property. Here are some best areas to flip houses in Atlanta for you to look into:
When it comes to strategic locations, flippers probably won’t get any closer to downtown for an affordable price than Reynoldstown. Just a short drive from all the amazing things that Downtown Atlanta has to offer, the real estate prices in this neighborhood are increasing fast, so don’t leave it too long before making your investment.
A clever way of finding an affordable deal without being fooled into paying too much is to try and buy off-market.
Decatur is also one of Atlanta’s most up-and-coming urban neighborhoods, which doesn’t feel overly built-up thanks to its abundance of public spaces and parks. It’s also the second-fastest growing city in the Atlanta metro area, which means rent prices are rapidly increasing.
With lots of construction taking place, this neighborhood is going to be a great long-term investment. Be sure to scoop up those properties and renovate them while they’re still affordable!
Up and coming Adair Park has become a desirable residential location for house-hunters in Atlanta. Home to good schools, this neighborhood is currently the city’s best-kept secret in terms of real estate deals, so make sure you invest before others catch wind of the opportunity!
Local community-building programs have revitalized the once rundown neighborhood of Cabbagetown, leaving it much better placed for flippers on the hunt for their next investment. Nowadays, it’s a vibrant, diverse place to live, filled with mostly young professionals.
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So there you have it.
Flipping houses in Atlanta really isn’t as complex as you might think. As long as you think carefully about which neighborhoods to search in, establish a realistic budget for your flip and contact the right people to help make the process easier, you’ll be underway in no time at all.
Ruben is Managing Partner at We Lend LLC. With over a decade in the real estate industry – acquiring, flipping, developing and financing over $500 million worth in real estate – Ruben has quickly become a renowned real estate expert, speaker, and guide for many professionals in the industry. The most successful time...