Flip That House! 4 Expert Tips You Can Apply
Buying properties doesn’t necessarily have to be for a profit. Whether you are looking to turn up the heat and build yourself a house flipping career or merely make a little side income, you can reach your dreams if you work carefully and follow a few tips.
Do the Major Work First
When you repair houses, you always have a limited budget. It’s also important to remember that everything will cost more than it first appears it will. So if there are bad windows and a bad floor, fix the windows first. If the roof is bad, fix that before anything else. Remember that form follows function, and no one really wants to buy a house where things don’t work as they should. In many cases, you will find that when you fix one major issue the property’s value skyrockets compared to some of the more common changes like new carpet and paint. Most anyone can paint, but tracking down a leak that’s caused mold to grow is a pain most buyers will pay handsomely to avoid.
Image via Flickr by james.thompson
Install a Security System
There is no such thing as a neighborhood that is safe enough to not require some form of security. When you leave tools and materials in the house, which is inevitable, you want to make sure someone doesn’t come in to steal them. In some cases, a thief may even take the copper wires and pipes, as well. Install a good security system, and make sure you and everyone who works for you knows how to use it. Be certain your system monitors every door and has motion sensors in every room, so even a thief entering through a window won’t be able to take his time. For more helpful security tips and information, you can check out HomesSecurity.com.
Look for Motivated Sellers
A motivated seller is a person who does not really want the house anymore. When you buy from someone who loves the place, their hesitation to sell will be reflected in a higher price. You can get the exact opposite of this, however, when you deal with someone who obviously just wants the place to go without giving it away. Often these people can be negotiated with, and you can get lower prices, better terms in the contract and even special extras such as payment for property taxes or repair work.
Look for Undervalued Homes
An undervalued home is one where the neighborhood or the appearance of the property hides great value. In some cases, an ugly shack can be converted into a charming cottage with a reasonably low level of difficulty and expense. This is particularly the case when you are dealing with a good neighborhood and its eyesore. Almost every neighborhood has one, and in some cases it is so obvious and heinous that the neighbors will go out of their way to help you with the purchase and rehabilitation process.
Fixing up a house and selling it for profit is easy if you keep your costs reasonable, secure your investment and do your best to find a diamond in the rough.