Exotic Flip Car-an investment opportunity for enthusiasts

Smart investors have been flipping homes for decades. RealtyTrac says almost 27,000 households were bought, fixed and resold in Q3 of 2014, with an average gross profit of $75.990 per house. But enthusiasts with smaller budgets and an affinity for fixing cars can do exactly the same.

Car dealers and those who try to sell books at the dealerships ' establishment will tell you that flipping car is illegal. Curbstoners-criminals who buy rescued and other undesirable vehicles for cheap and resell at higher prices-should not be confused with fins. Each state has its own laws regulating the business of flipping. But usually, whenever you buy and sell less than five vehicles per year, you will be operating within the law. For example, Georgia law states that anyone who sells five or more vehicles in a given year must have a license.

A large percentage of vehicle repair costs is work. Those who can eliminate this aspect by fixing the vehicles themselves will benefit more. There is a bit of science for successful and profitable car flipping however.

Opportunistic Clean titles

Let's face it: economic hardship forces people to sell goods for cash fast. But as the saying goes, a man's misery is another man's fortune. The idea is to buy exotic vehicles with a discount to resell for a profit.

Craigslist is by far the best source to find cars to flip. The area you can look for is higher now, so, with the lowest gas prices that have been since the end of 2008. Take your time and look for the right deals. Remember that you will only be fixing and selling five or fewer cars per year. Words like "must sell", "Divorce" and "OBO" (or better offer) are what you are looking for. Cars with minor bodily damage or that are in poor condition should also be high in the list of priorities.

Use websites like Kelley Blue Book to find the resale value of the vehicle in question. There is a great debate as to whether Carfax or AutoCheck is the best service to investigate VIN's history of a car. The general consensus is that AutoCheck is more accurate and offers unlimited VIN reports (compared to registration reports through an unlimited number of Carfax) for a one-time fee. Avoid the purchase of any vehicle with suspicious VIN reports.

AuctionZip is a service to help locate auctions in your area. Auctions are a great way to buy cars below the market value. Just make sure you do a VIN check, blue Book check, and be honest with yourself-do you have the ability to address the mechanical issues needed to resell the vehicle?

What to fix

The first obvious requirement, of course, is to get the car in good mechanical condition. Pull the spark plugs and the smell of that burning odor indicating that it is necessary to change. Make sure the brakes are not grinding or squeaking and deal with any noise coming from below.

The vehicle must pass the eye test as well as for potential buyers. Invest in a buffer to shine all your vehicles. Low-range tyres do not match and may cause breakage in buyers ' eyes. Invest in a set of new TireBuyer.com tires and get some new tires. This gives the most aesthetically attractive vehicle. You can increase your selling price by a lot more than you paid for tires and tires. Steam clean the engine and use baking soda and water to clean any surface corrosion. Shampoo the carpet and polish the dashboard. A new paint job sparks can be the final touch.

The resale

Be realistic about resale of the car. Greed will delay a sale while at the same time wanting to obtain a reasonable profit. Use websites like Cars.com and Auto trader to compare what others in your area are charging for similar vehicles.

Fix your price higher than what you really want, so you have room to negotiate. Paste a "sell" sign in the back window and use the online classifieds services to gain exposure.

Finally, keep everything legal. Do not try to float titles (fixing the cars quickly and resell it when it was still in the name of the original seller). Flipping car is not a scheme to get rich quickly. It's not the same as a long-term "buy-and-hold" strategy. But car enthusiasts looking to make fast money with the right deals could take advantage of their exotic interest in a chance to make money.