Regardless of how tight the housing market is and whether there is an inventory shortage, the fix and flip equation remains the same: Find a property, rehab it well, and sell it at a profit. So while initial investments are likely to be higher, the potential profits should be correspondingly higher—and ultimately, that’s what will convince lenders to finance your projects.
With all of the work and expense to make the fix and flip project a success, it really comes down to making it stand out in the crowd. There is a balance between leaving some open room for customization for the buyer, and having a move-in-ready turnkey project. As far as staging a property goes, here are a few ideas to work toward for the open house:
Timely, quality renovations are the key to any successful house flipping endeavor. Once you’ve hired a reliable contractor and/or subcontractors, it’s advisable to proactively manage them during the rehab phase. That way, the project is less likely to get off track and exceed the allocated time and budget. Keep the following tips in mind:
There’s no disputing the value of curb appeal. Various experts estimate a 5% to 20% increase in a property’s value from improving the landscaping alone. So how can we leverage this powerful selling tool? Better still, how can we increase curb appeal on a tight budget? Take a look at the proven tips below.
The high expense areas of fix and flip or rental renovations need the most attention. Repair or replacement of roofing materials, exterior coverings such as vinyl siding, plumbing and other infrastructure repair, and flooring are among some of the most critical and expensive.
As a real estate investor, a large part of your success depends on your contractor and subcontractors. Unfortunately, it’s not uncommon for investors to run into problems with contractors. Here are some of the most common issues—and some useful suggestions for solving them.
If you’re just starting out in the rental property business, you might not have sufficient funds to hire a full-service property management company.
To save money on electrical fixtures, use the tips below. Buying it yourself, buying quality, buying wholesale, buying locally, and paradoxically buying more expensive wiring are all great ways to save real money on electrical products. See below for a list of tried and tested vendors, too.
Should you hire a property management company? Any real estate investor asking that question is most likely fed up with managing her own rental units, screening tenants, and dealing with leaky toilets and complaints about loud music. But will a property manager eat into your profits?
When you’re starting out as a fix and flip investor, you’ll need to decide how to finance your projects. Two of the most obvious options are hard money loans and bank loans. However, before you decide which one is right for you, it’s best to know how they differ. Here’s what you need to know.