So you want to flip houses without improving them? That doesn't sound like a very successful idea. If you hold the house for 10 years it might appreciate, but you won't make any money buying a house then trying to sell it for more a year later when you didn't improve it. Are you going to use a realtor to sell it? If so, you'll have to pay around 5% of the total selling price in commissions. I think you need to rethink your investment idea, you don't seem to understand real estate.
I will be blunt so there is no mistaking what I write: Everyone wants to buy low and sell high. You are ignorant of all the sweat needed between the start and finish line. You are not prepared to be a landlord nor are you informed of what is required to hold a property and add value to it. Avoid the grief and stress and stick to something you know or learn more about what is involved before you make a big and costly mistake.
Detroit wouldn't be a good market to invest since the demand for housing there is very low. You need to aim for a market when the housing market is high or on the rise.
There are still whole neighborhoods abandoned there? I may be not be in touch with the current market there. Though you might get something dirt cheap, it would take a lot of work to find projections as to the future occupation rates of some of these neighborhoods, abandoned houses in the neighborhood are like anchors bring down the value of all houses.
Detroit launches auction website to help sell abandoned homes
http://www.freep.com/article/20140414/NE...
What you want to do is wholesale properties. In doing this type of real estate investment you would require at least money to control the properties and place them in escrow.
Once you have them in escrow you would need to find a real estate investor that would purchase the property from you. There are many, you would need to develop a method of finding them and letting them know you have properties for sale.
You want to be a real estate investor. It is not easy. It takes lots of reading, learning, desire and knowledge to be successful in this career field. Most successful investors attend and go through the investor school of hard knocks. Once you graduate, there is continued education.
In order to be a successful real estate investor you would need to
#1 Find the local real estate investment group (Google real estate investment group followed by your city and state.)
This group would hold regular scheduled meetings that would offer information about real estate investing, how to purchase investment properties, vendors available in you city that would benefit you in you investment purchases.
To join this type investment group is not expensive, there would be annual dues and probably fees to attend the meetings whenever they are scheduled. (Normally these fees are for the cost of food)
You would have the opportunity to network and make friends with those that are current members. You might even find a person that is willing to take you under their wings and become a mentor to you.
#2. Buy and read as many real estate investment books as you are able. You would be able to find such books from Amazon as well as your local bookstore. Make sure these books are published after or around 2009 for the latest techniques used today in real estate investing.
As you grow and become more successful, you might find a few real estate investors that would assist you in the funding of some of your real estate investment projects.
You might consider buying a 4 unit place as your residence. This type property is considered a single family residence for the purpose of a mortgage loan.
You would need to apply for a FHA mortgage loan. These type of loans have down payment as small as 3.5%.
Of course you would need to qualify for the FHA mortgage loan with 2 years of filed federal taxes, pay stubs, bank statements and would be approved for a FHA mortgage loan. You would be required to use the 4 plex as your primary house for at least two years.
You would be able to collect rent from three potential tenants and live almost rent free.
I hope this has been of some benefit to you, good luck.
"FIGHT ON"
If you could buy them cheap, so can anyone else! Why would someone pay you more than what you paid, if you haven't made any improvements?
I do not have funds to do the needed rehabs, I just want to sell for better/gain,
