No two flippers have the same strategy. Some choose to live in the house they flip, and others find that strategy to be too stressful. Some flip the house they live in every two or three years to take advantage of a lucrative federal tax exclusion (see ssss1), and others flip a house once every month or two for quick profits. Many investors focus on a niche market, such as foreclosure properties, HUD properties, or For Sale By Owner (FSBO) homes.

 Cash or financing to not only purchase the house but also cover holding costs and the cost of repairs and renovations (see ssss1 for more about financing your flips)

 A plan for repairing and renovating the property (such as buying low, applying makeup, and selling high, or living in your flip while you renovate it)

 A realistic estimate of the costs of repairs and renovations and the monthly expenses for holding the property

 A schedule for completing the project

 Reliable contractors who can begin working on the property immediately

 A date on which you plan to put the house back on the market