The general rule of thumb for budgeting CAPITAL on your House Flips is loosely based on an 80/20 rule (for the nerds out there: the Pareto principle). Much of your profits are generated from the renovations you do on each House Flip project, so we recommend keeping 20% of a project's budget reserved just for renovation and staging jobs.

That means if you have 100,000 in CAPITAL, you should keep 20,000 in CAPITAL available for renovations leaving you 80,000 in CAPITAL for the initial house investment. Keep in mind, some projects require a LOT of work and may need more CAPITAL to flip well!