One of the first things that you need to do is make sure that the property has no structural problems, especially if you are on a tight budget. Sometimes structural problems can be fixed fairly easily and buildings brought up to code by simply adding an extra support beam to a ceiling, but this is usually not the case.

One of the worst problems that you can run across when you are playing the house flipping game is mold growth anywhere in the house. Have the home tested for mold or moisture issues before you purchase it and if these problems arise, ask yourself just how much of your budget can you allocate to getting rid of this problem.

You may want to pass if the mold remediation will take too big of a chunk out of your budget and move onto the next property. A number of factors will determine if the problem is worth it.

What is the house worth and how much do you expect to earn when you sell it? A $550,000 house you purchased for $400,000 with a $5,000 mold problem is not such a bad thing, but if it is all over the house and you have to tear down all the walls and replace them, you may be looking at much more work than will be worth it in the end.

Is the mold growth isolated to one part of the house? Is it dead? If the mold is dead and you can remove the affected drywall or wood fairly easily, it might be worth it.

You need to look around for water damage in the molded area, though, and determine if there is still a water damage issue that needs to be repaired. The most important thing is to make sure that there are no plumbing leaks in the house.

Know what you are getting yourself into when you make the decision to purchase a home contaminated with mold. If it is only in one room and there do not appear to be any expensive water damage issues to deal with, it might be worth it.

If you think you will make significantly more than the remediation will cost you, go for it. But, if the mold is all over the house and you're on a budget, stay away.