Ellen DeGeneres has been on TV for decades, but the superstar has accumulated wealth from a much less public series of ventures. Since buying her first California home at age 30, DeGeneres (now with wife Portia de Rossi) has flipped at least 15 Los Angeles homes. They recently made an off-market $11 million property sale to Tinder founder Sean Rad. So, how does Ellen do it?
How Does House Flipping Work?
Ellen does not have some magic formula for flipping real estate. Her methods are the same ones as those employed by house flippers all over the country. If a house is desirable and well-chosen, then it tends to appreciate as long as favorable market conditions persist. If the property is sold, then the former homeowner can use most of the money to buy a new home. By working fairly quickly, an investor can string together a series of purchases and sales, always climbing the ladder of appreciation and opportunity.
You Do Not Have to Be Rich like Ellen DeGeneres to Buy Real Estate
If you can afford a cheap house, you can start investing in real estate. It is not so much a matter of buying big but buying well. At 30, Ellen could only afford a $250,000 home. Her last home netted her nearly $4 million, but it took many years to get to this level. Successful house flippers understand how to identify a good deal. An opportunity seized in a good neighborhood and a rising market can yield significant profits at any price point.
No matter when you decide to buy your next home, or for what purpose, consider using Propy’s Transaction Management Platform to bring efficiency, speed, and savings to your transaction. Even saving a few hundred or thousands of dollars is enough to make any real estate investor smile. When accumulated over years and decades, these types of savings can make an enormous difference in an already successful real estate investment career.