So you want to flip houses in Australia. Maybe you've been watching renovation shows and thinking "I could do that." Or maybe you've been crunching numbers on property listings at 11pm, wondering if there's actually a way to make money from buying, renovating, and selling a property.
The answer is yes. I've been doing it for 21 years. It's not a side hustle for me — it's my living. And in this guide, I'm going to walk you through exactly how flipping works in Australia, what it costs, what the risks are, and how to get started without making the mistakes that cost most first-timers tens of thousands of dollars.
What is house flipping?
House flipping is buying a property below market value, renovating it to increase its value, and selling it for a profit. In Australia, this typically means targeting older homes in suburbs where the median price is rising, renovating the kitchen, bathrooms, and cosmetics, and selling within 3 to 12 months.
The profit comes from the gap between your total investment (purchase price + stamp duty + renovation costs + holding costs + selling costs) and the sale price. If a property costs you $480,000 all-in and you sell it for $620,000, that's a $140,000 gross margin — but you'll need to subtract tax, which varies depending on your structure.
How much money do you need to flip a house?
This is the question everyone asks first, and the answer surprises most people. You don't necessarily need hundreds of thousands in cash sitting in the bank.
There are several ways Australians finance property flips. Traditional bank loans require 10-20% deposit plus stamp duty and renovation funds. Joint ventures let you partner with someone who has money but not time or expertise — you bring the deal and the skills, they bring the capital, and you split the profit. Private lending from individuals or small funds can also work, typically at higher interest rates but with more flexible terms.
The minimum realistic starting point for most first-time flippers in Australia is around $80,000-120,000 in available capital (including equity you can access from an existing property). But I've seen members do deals with significantly less using creative financing strategies.
Step 1: Pick your suburb
This is where most flips are won or lost. The right suburb has rising median prices (not already peaked), strong demand from owner-occupiers (not just investors), older housing stock that needs updating, good infrastructure and amenities, and a gap between unrenovated and renovated sale prices of at least $100,000.
Look for suburbs where the median house price is $400K-600K and where a basic 3-bedroom in poor condition sells for 30-40% less than a renovated one. That gap is your profit margin.
Step 2: Find the deal
The best deals rarely come from scrolling realestate.com.au on a Sunday afternoon. They come from building relationships with local agents who call you before they list, targeting properties that have been on the market 60+ days, looking for deceased estates and divorce sales, attending auctions where the reserve isn't met, and driving streets in your target suburb and spotting tired-looking homes.
The numbers need to work before you get emotionally attached. Calculate your After Repair Value (ARV), subtract your renovation budget, subtract your holding costs, subtract your desired profit margin, and the result is your maximum purchase price. If you can't buy it for that number or less, walk away.
Step 3: Run the numbers
Here's a simplified example of how a typical Australian flip might look. Say you buy a 3-bedroom home in a growth suburb for $450,000. Add stamp duty of roughly $15,000, renovation costs of $45,000, and holding costs over 4 months of around $14,000. Your total investment is $524,000. If the renovated property sells for $620,000, and your selling costs run about $3,000, you're looking at a gross profit of $93,000.
Obviously tax will take a portion of that, which is why having the right structure matters.
Step 4: Renovate smart
The renovation is where you add value, but it's also where most first-timers lose money. The key principles are to renovate for the buyer in that suburb (not for yourself), spend money where it shows (kitchen, bathroom, street appeal), and avoid structural changes unless the numbers demand it.
A kitchen renovation using the right methods costs $6,000-10,000 and can add $40,000-60,000 in perceived value. A bathroom renovation costs $8,000-14,000 and adds similar value. Fresh paint throughout costs $3,000-5,000. New flooring runs $4,000-8,000. Landscaping and street appeal might cost $2,000-4,000 but makes the critical first impression.
The goal is to spend $40,000-50,000 on a renovation that adds $120,000-180,000 in value.
Step 5: Sell for maximum profit
You have two options: use a real estate agent (and pay 2-2.5% commission, which on a $620,000 sale is $12,000-15,000) or sell it yourself and keep that money.
After 21 years of flipping, I sell every property myself. It's not difficult — it's a system. List on realestate.com.au and Domain through a private sale platform, run your own open homes, negotiate directly with buyers (they trust you more than an agent), and use a conveyancer for the legal side.
The risks you need to know about
House flipping is not a guaranteed path to profit. Market downturns can wipe out your margin if you're holding too long. Renovation blowouts from unexpected structural issues, asbestos, or termite damage can destroy your budget. Holding costs compound every month a property doesn't sell. Tax implications can significantly reduce your actual profit if you're not structured correctly. And overpaying at purchase is the single biggest risk — if you pay too much, no amount of renovating will save you.
How to get started without making expensive mistakes
The fastest way to learn is from someone who's already done it. Not from YouTube videos (which are designed to keep you watching, not doing), and not from $20,000 guru programs that hide their price behind a sales call.
I built Flip Club specifically for ordinary Aussies who want to start flipping. It's a 12-module course, a private community, direct access to me, and live Monday night calls where members screen-share their deals and we walk the numbers together. Every course and playbook I've ever made is included free with membership.
If you're serious about flipping, the next step is simple: join a community of people who are actually doing it, get your first deal reviewed by someone who's done 100+, and follow a system instead of figuring it out alone.
Join Flip Club — from $47/week
Written by Jimmi Schleusener, founder of Flipping Aussies. 21+ years flipping properties in Australia.
