Fix & Flip
Fix & Flip is a quick-win investment strategy: You buy a property cheap, renovate it a little, and then sell it directly for a higher price. The profit goes straight to your account. This strategy increases your equity reasonably quickly, allowing you to, for example, finance the next property.
However, the real challenge is finding suitable properties. The purchase price has to be significantly below the market price for it to be worth it after you've paid all the ancillary costs. Depending on the loan, your lender may also charge a prepayment penalty if you terminate the contract early — something you have to consider in your calculation.
Our tip: Always talk to your tax advisor before you decide to go through with a flip. There are rules and deadlines when fixing and flipping you need to be aware of.