There are three key differences between flippers and iBuyers.
What is the difference between an iBuyer and a flipper? Many people think they’re the same thing, but they’re not. There are three key things that set them apart:
1. Risk profile. iBuyers don’t want to take on very much risk. They’re dealing in a high-volume business and they’re looking for properties in a certain price point that require as few repairs as possible. Flippers can work with properties in a range of price points and are more often willing to take on risk.
2. Repairs. Flippers will take on almost any repairs they come across, but iBuyers don’t typically want to tackle anything more than painting or carpet.
3. Money. As institutional buyers, iBuyers have a lot of money. Flippers typically keep an eye out for big price discounts so they can save their pennies.
If you have any more questions about iBuyers and flippers or anything else to do with real estate, please reach out to me. I’d love to hear from you.