Flipping a Home: Smart Strategy or PCS Headache?

Potential Benefits of Flipping

Equity Growth

Buying a home below market value and renovating it can create equity quickly. Even if you don’t sell right away, you may have a valuable asset for the future.

Income Opportunity

If sold after improvements, a flipped home can generate a profit. Some military families use this strategy to build a nest egg for the next duty station or retirement.

Skill Development

Taking on a fixer-upper helps you learn renovation and project management skills. Families that choose to live in the home during renovations can also save money on rent or a second mortgage.

Hidden Costs and Challenges

Flipping rarely goes exactly as planned. Unexpected costs and delays are common.

• Material costs: Lumber, flooring, and fixtures add up fast.
  
• Professional labor: Contractors, electricians, and plumbers often charge more than expected.
  
• Permits and inspections: These are mandatory in many areas and can delay progress.
  
• Carrying costs: Mortgage, utilities, taxes, and insurance continue while renovations are underway.

Military families who live in the home while flipping face additional stress. Daily life in a construction zone brings dust, noise, and disruption. For families with children or pets, this challenge can quickly outweigh the financial upside.

PCS Orders and Timing Risks

Military life doesn’t always run on your schedule. You may receive Permanent Change of Station (PCS) orders earlier than expected. A home mid-renovation is much harder to sell. Buyers often prefer move-in ready properties, and unfinished work may scare them off.

Even if the home sells, the timeline could cut into profits. A rushed sale often means accepting a lower price. For families relying on a predictable timeline, flipping may carry too much risk.

DIY vs. Professional Work

Another key factor is how much of the work you plan to do yourself.

• DIY approach: Saves money but requires time, skill, and tools. Mistakes may cost more to fix than hiring a professional from the start.
  
• Professional help: Provides expertise, ensures code compliance, and speeds up the project—but reduces profit margins.

Many families choose a hybrid approach: DIY for cosmetic updates like painting, flooring, and landscaping, while hiring professionals for electrical, plumbing, or structural work. The balance depends on your skills, budget, and available time.

Is Flipping Right for Your Family?

For some military families, flipping can work. Those with strong DIY skills, flexibility in their orders, and a willingness to live through construction may see a profit. A short-distance PCS move or an assignment with a longer timeline makes it more realistic.

For others, the challenges outweigh the benefits. Early PCS orders, hidden costs, and family stress can turn a profitable plan into a financial burden. In many cases, buying a move-in ready home or focusing on long-term rental investments may be a better fit.

Final Thoughts as a Real Estate Professional

Flipping can be profitable, but it requires realistic expectations and a clear-eyed view of the risks. Military families should plan for the possibility of early orders, budget for hidden costs, and decide honestly how much work they can take on.

If you’re considering a fixer-upper, please reach out to me and lets have a conversation about market trends in my area. Understanding resale values, renovation timelines, and neighborhood demand can help you make a smart decision that aligns with your goals.

The NextGen Home Group

6140 Tutt Blvd, #100

Colorado Springs, CO 80923

719-249-2905