Podcast Summary: The Entrepreneur DNA – Episode 76: The New Flip Model: 30-Day Turnarounds Without Contractors | Thomas Lehman

Release Date: June 16, 2025

Introduction

In Episode 76 of The Entrepreneur DNA, host Justin Colby engages in a dynamic conversation with seasoned real estate investor Thomas Lehman. With nearly two decades of experience in the real estate flipping arena, Thomas introduces a transformative approach to property flipping that diverges from traditional methods. This episode delves into Thomas's innovative strategies, the challenges he faced, and the insights he offers to entrepreneurs aiming to scale their real estate businesses efficiently.

Traditional Flipping Challenges

Thomas begins by reflecting on the conventional flip model prevalent before 2022. Typically, this involved an acquisition company sourcing properties through constant communication channels like calls and texts. The process included purchasing, renovating, renting, or wholesaling homes. However, rising interest rates in 2022 significantly disrupted this model.

"2022 changed all of us, didn't it?" [00:58]

He shares a pivotal experience where a mobile home he intended to renovate was vandalized by squatters, extending the renovation timeline from a typical duration to an excruciating 18 months. Despite the delays, the project yielded a modest profit of $11K. Reflecting on this, Thomas highlights the inefficiency of traditional methods, particularly the high payroll costs associated with maintaining multiple contracting teams.

The New Flip Model with Manufactured Housing

Faced with escalating costs and economic shifts, Thomas pivoted to a novel flipping model centered around manufactured (mobile) homes. This approach emphasizes simplicity, scalability, and reduced reliance on contractors.

"We saw a way to get rid of [contractors] because how many setup companies… we don't need to have contractors, so to speak." [02:46]

Instead of traditional flipping, Thomas's model involves purchasing brand-new manufactured homes, which allows for a streamlined and predictable renovation process. By focusing on standardized projects with a fixed set of 22 line items, scalability becomes achievable without the complexities of variable renovation tasks.

Simplifying Processes and Contractor Management

A significant shift in Thomas's approach is the elimination of traditional contractors. By operating with 1099 contractors, he maintains flexibility and ensures that only reliable partners are involved in projects. This method drastically reduces expenses and mitigates the risks associated with contractor reliability.

"We have a sheet, it's 22 lines. It never changes. It's always these same items." [03:21]

This standardized process ensures consistency across all projects, allowing for rapid turnaround times and maintaining high-quality outcomes without the unpredictability of traditional contractor engagements.

Enhancing Scalability and Efficiency

Thomas underscores the efficiency gains from his new model. Historically, flipping projects could take up to 78 days post-delivery, but with the new approach, this timeline has been slashed to approximately 24 days.

"From the day it was delivered. 24 days later. We have now our CO [Certificate of Occupancy] and we can… We've already had it on the market. Now we can close." [26:44]

This reduction in turnaround time not only accelerates profit realization but also enhances the ability to undertake multiple projects concurrently, significantly boosting business scalability.

Financing and Cost Management

Addressing financing concerns, Thomas clarifies that modern manufactured homes are entirely financeable, debunking prevalent misconceptions. With options like conventional loans, FHA, VA, and USDA loans available, financing these properties is more accessible than ever.

"We sold 76 last year. Two conventional loans. The rest, FHA, VA, USDA. What are you talking about?" [21:44]

Additionally, by owning manufactured homes outright and utilizing construction loans, buyers can minimize out-of-pocket expenses. Thomas emphasizes that securing land with city water and sewer connections can further reduce costs by avoiding hefty impact fees.

Partnerships and Collaboration in Real Estate

A recurring theme in the discussion is the power of collaboration over competition. Thomas advocates for building an ecosystem where expertise is shared, and partnerships are formed to enhance business operations.

"But why do it then, when I can partner with people?" [33:28]

He highlights successful collaborations with professionals like Alex Cassetta and Brandon Schwab, underscoring how strategic partnerships can lead to mutually beneficial outcomes and business growth.

Addressing Affordable Housing Needs

Thomas's model not only offers a profitable flipping strategy but also addresses the critical need for affordable housing. By focusing on manufactured homes priced under $270K in Central Florida, his approach ensures that properties remain accessible to a broader demographic.

"We're 270 and under. Okay. Because we've took our volume and we negotiated prices. This isn't 2021 anymore where you couldn't do that." [12:54]

This commitment to affordability reinforces the societal impact of his business model, positioning it as a solution to the housing affordability crisis.

Misconceptions about Manufactured Housing

Throughout the episode, Justin and Thomas address and dispel common myths surrounding manufactured homes. Contrary to outdated perceptions, modern manufactured homes offer quality comparable to traditional houses, with customizable interiors and efficient designs.

"People think the old mobile homes and how they look. Yeah, right. They're way different today." [06:31]

Thomas illustrates this by sharing successful projects, including an Airbnb setup that showcases the versatility and modern appeal of manufactured homes.

Conclusion and Resources

Wrapping up the episode, Thomas provides valuable resources for listeners interested in adopting his flipping model. He directs them to PropertySolutionStreamDealership.com for more information and encourages entrepreneurs to leverage his expertise in transforming their real estate ventures.

The episode concludes with a strong endorsement of the collaborative approach, reinforcing the idea that success in real estate flipping is attainable through innovation, strategic partnerships, and adaptability.

Notable Quotes

• "2022 changed all of us, didn't it?" – Thomas Lehman [00:58]
• "We have a sheet, it's 22 lines. It never changes. It's always these same items." – Thomas Lehman [03:21]
• "From the day it was delivered. 24 days later. We have now our CO and we can… We've already had it on the market. Now we can close." – Thomas Lehman [26:44]
• "We sold 76 last year. Two conventional loans. The rest, FHA, VA, USDA. What are you talking about?" – Thomas Lehman [21:44]
• "But why do it then, when I can partner with people?" – Thomas Lehman [33:28]
• "People think the old mobile homes and how they look. Yeah, right. They're way different today." – Thomas Lehman [06:31]

Resources Mentioned

• Thomas Lehman’s Social Media:

  • Instagram: @LehmanRealEstate
  • Facebook: Lehman Real Estate
  • TikTok: @LehmanRealEstate
  • LinkedIn: Thomas Lehman

• Website: PropertySolutionStreamDealership.com

Takeaways

Thomas Lehman's innovative flip model offers a compelling alternative to traditional real estate flipping by leveraging manufactured homes, simplifying processes, and fostering strategic collaborations. Entrepreneurs can glean insights on reducing costs, accelerating project timelines, and meeting the growing demand for affordable housing through adaptable and scalable business practices.