For vehicle enthusiasts who are also entrepreneurs, buying and selling vehicles for profit is a great income generator. Whether as a side job or doing it full time, flipping cars entails buying a vehicle cheap because it needs a little work and then selling it for a profit.
Since the vehicles are owned outright, there is no carrying cost therefore they can be sold at whatever rate the seller sets for them. If you are mechanically inclined and know your way around a vehicle, this might just be the job for you. It all starts with your first vehicle, and finding that first vehicle is is what follows further on in this article.
Your local newspaper will have quite a few deals to be had for someone willing to get rid of a car. Not knowing what is wrong with it could be a red flag, but not for the vehicle mechanic. Simply buying cars like these for only a few hundred dollars will enable you to pay for the parts to fix whatever issue the vehicle has. If you start with vehicles that are similar, such as fleet vehicles, their parts are extremely cheap as their parts fit quite a lot of models and years. The idea is to get the vehicle as clean as possible as well. Once the mechanics have been completed, send the car to get detailed or pay the neighborhood kid to wash, wax and vacuum the vehicle. A clean car could be all the difference in a sale.
The Internet and Free Ads
With the explosion of the Internet, advertising has never been simpler or cheaper. Your reach now includes miles of territory where before you were somewhat limited to the newspaper in your town. As with all vehicles purchased “As-Is, Where Is,” you should sell them just the same. You have no idea how the next person will treat the vehicle you just reconditioned or any underlying problem that you didn’t detect in your initial inspection.
Make sure you have a sellers and buyers contract that stipulates that the vehicle sold is in AS-IS condition. If you are good with bodywork then you are also in the right market as these vehicles are all over the place. Body parts for these vehicles are somewhat inexpensive and the the vehicle might have minor damage that is easily repairable.
Places to find really cheap cars are police impound lots where auctions are usually held monthly. Also ebay, Craigslist and, believe it or not, new car lots. New car lots get trades that they know they will have a hard time getting rid of. Another great place for cheap cars is insurance companies as they will typically purchase a vehicle from a client when it will cost more to fix than to scrap.