Is that a dinosaur?

That is a dinosaur, yes.

What is the dinosaur's name? That dinosaur is called frugalsaurus. What does frugal sorris think about living flips? I mean, is he approved? Did you approve? He helps. Did you know that you can flip your home and make a lot of profit from the house you live in? Well, that is what we're going to talk about today. And I have some people who've done that to introduce you to in a second. And they're going to explain how it worked.

Hi, I'm Chad Carson. You can call me Coach Carson. I'm here with my friends, Carl and Mindy Jensen.

Welcome. Thanks for having us, Chad. Thank you, Chad. Nice to see you again. We are at live at FinCon. So this is a conference for financial nerds, basically. That's the best way I explain it. People like to blog and write and, you know, podcasts and YouTube about finance. So we're here in the background. You see, you hear some noise. This is a conference of other financial nerds. When I thought about doing a video on the live-in flip, I thought about my

friends, Carl Mindy, because they've done it. They've done a lot in their life. And they're going to

explain to you what it means, what it's all about. But I want to ask you, first of all, if you're

new to this channel and you want to learn more about real estate investing, financial independence, doing more of what matters. Subscribe, click the bell, and you'll be notified of anything that

comes down, new, new videos that are coming along. So we're here today to talk about real estate,

big surprise, right? And we're talking about the live-in flip. So maybe you can explain what this is,

first of all. So the live-in flip is a flip or rehab that you live in while you're working on the rehab itself. Yeah, your primary home is basically a construction zone, but don't run away in terror yet. This is going to be, this can be a good thing. All right, so you live in a home, and a lot of people know what a flip is, but if they don't, You know, if you watch the HGTV, you see people fixing up houses, flipping them, making big money.

The live-in flip, and a lot of people know what a flip is, but if they don't, you know, if you watch the HD TV, you see people fixing up houses, flipping them, making big money. But live in flip, the difference is you're living in this house. And so what are some of the benefits? Why would somebody, why is that any better than just living in doing a normal, normal residence? Because you get to live in chaos. No, that's not a benefit. But that's actually one of the detractors. The benefit is the cold, hard cash that you get at the end of the flip when you sell it. If you follow the right

rules, you will make up to $250,000 of tax-free money if you are single and up to $500,000

if you are married. And we're married so we can flip a house and make $500,000 in profit and pay $0 in capital

gains taxes to the government.

Thanks to a law from 1997 that says your primary residents can increase and you don't pay

any capital gains taxes on it, as long as you live there for at least two of the last five

years. I've always thought about that as like the best code or law on the tax code. 250,000 tax free. If you're single, 500,000 if you're married. Your first condom, Indy, you figured out, all right, this is a concept that has legs. I'm going to do this again. This is great. How did you even, like get your head around fixing up the house. Yeah, the truth is we did not know how to do anything.

So one day our sick faucs started leaking and I called up a plumber and the guy came over. He's like, okay, I'll charge you like $150 to fix a slinky fos. I'm like, okay, great. He's like, I'll be back the next day. So then he didn't show up, and it kind of made me a little bit mad.

I'm offering to pay this guy that you wanted cash, so there's probably some bad things going on there. But anyway, I checked out a book from the library, and I learned that it was a dollar 50 washer, and I didn't really know what I was doing, but I just followed the directions on how to take this thing apart. An hour later, it was fixed. I was so

amazed at myself. It was something I never thought I could do. So after that, I started thinking,

if this basic plumbing fix wasn't that difficult, maybe I should at least try other things.

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