Let’s immediately clear things up before we go any further. We’re not talking about literally and physically flipping vehicles – though perhaps you could make money putting on a sort of circus show like that! No, we’re talking about the vehicle equivalent of property flipping.
For decades, savvy real estate investors have been purchasing old properties, doing them up, and flipping them for profit. There’s always been a debate over whether or not you can do this with vehicles, considering the value of a vehicle goes down the moment you use it. Here’s a little secret for you…it is possible to make money flipping vehicles. This might seem unbelievable, but it’s entirely possible – provided you follow these tips:
Purchase used vehicles
This a fairly standard tip, but it should be mentioned just in case. After all, you can still flip a brand-new property for profit. This is probably not possible if you bought a brand-new car or motorcycle. Instead, you want used vehicles that are as cheap as you can possibly get them.
Find highly-coveted vehicles
As you search for affordable used vehicles, you should specifically look for highly-coveted ones. These vehicles are ones that have a rich history and are known to be popular amongst enthusiasts. For cars, it can mean looking for old Mini Coopers, or BMW 3 Series. Both are highly-coveted older vehicles that you can bag very cheaply. For motorcycles, find a used Harley Davidson motorcycle dealer and pick up some cheap, iconic, motorbikes. If there’s already an interest in the vehicle, it’s much easier to flip because of the demand.
Ensure there’s room for improvement
Next, you have to check that there’s room to improve your used vehicles. There’s no point buying something that’s borderline perfect – how are you going to add value to it? A few ways you can improve a vehicle to make it more valuable include:
- Fixing any damages/technical faults
- Upgrading the interior/upholstery
- Respraying the vehicle
- Modernizing aspects of the vehicle
Yes, this can mean that buying a broken vehicle could be profitable – it depends on how much it costs to make the improvements. The whole idea is to purchase something and make cost-effective improvements that upgrade it. This means you can list it for a higher price and receive a lot of interest.
Spread the word
After making your improvements, the next step is to spread the word about your vehicle. Post it on as many sites as possible to make people aware of it. Consider going on message boards or Reddit forums full of enthusiasts, notifying them of your vehicle. Put it on Facebook & other social media – you should even advertise it for sale in real life.
The idea is to generate as much interest as possible, which drives more demand for the vehicle. If ten people are interested, you can sell it for way more than if one person is interested. People will compete to try and secure this car, meaning a bidding war helps you drive the profits through the roof.
Just like that, you’ve made money flipping a vehicle. It is slightly harder than property flipping, but vehicle flipping is definitely something to consider. If you’re an auto-enthusiast that’s looking for ways to earn some extra cash, give this a try.
