K
evin Hart's journey into real estate investing began with a struggling insurance business. After working as a sales rep for State Farm, he opened his own branch in 2017, accumulating $50,000 in debt and credit card debt. However, flipping homes turned his financial situation around. His first flip, completed in 2019, made a profit of about $30,000, which he split with his business partner at the time.

    Within that summer, Hart purchased two more flips and left insurance to work full-time in real estate. He credits his success in flipping and wholesaling for paying off his debt in just two years. "There's not much else out there where you can make lump sum checks to help you pay off that debt," he said.

    Hart now works with business partner Mike Gorius, who they formed an official partnership under the Joe Homebuyer franchise in 2024. In their first full year together, they completed 50 transactions and own over 20 rental properties in the Louisville area.

    For new investors, Hart recommends starting with a flip for a "quick capital boost to help you get going." However, he cautions against costly mistakes that can lead to financial losses. Two key errors to avoid are hiring an unqualified contractor and taking on too much risk by biting off more than you can handle.

    When selecting a contractor, Hart advises against choosing the cheapest option and instead recommends interviewing multiple contractors, checking references, and reviewing their previous work. "They understand what flippers are looking for," he said of experienced contractors who specialize in working with investors.

    Additionally, new investors should be realistic about the costs and timeline involved in a flip. "Get really good at running your numbers, and be realistic about it," Hart said, emphasizing the importance of building a financial cushion to account for unexpected expenses or delays.