We’ve all seen the reality TV shows showcasing a happy couple or even brothers turning an outdated home into a real estate magnet. In those 30-minute episodes the flippers can make it appear it’s easy to turn a flop into a flip. Reality check: it’s not as easy as it looks. Below are five inside secrets from experts at Stronger MOMS Properties with twenty years of real estate and house flipping experience.
One: They Sell Their Homes Fast
Everyday the house goes unsold, you lose money and time. You have to price the property according to home values in the area. If you list too high, the house won’t sell. If you list too low, you’re essentially leaving money right on the table.
Two: Add Unique Features That Don’t Break the Bank
Pay attention to the details. It’s the little things that will help a buyer see the big picture of their purchase. Spend your dollars investing in updated light fixtures, kitchen and bathroom faucets and crown molding to add detail.
Three: Hire Good, Reliable and Vetted Contractors
Start looking for contractors and vendors before you find a house to flip. Do your research and make sure to get references to back up the contractors’ previous jobs with photos of completed before and after projects.
Four: Buy In the Right Neighborhood
You might find a listed property that is priced super low and it may seem like a good deal. Before you make the purchase plunge, do your research. You want to flip a house in a neighborhood that is in a safe, good area with property values on the rise and where people want to live.
Five: Don’t Over Improve the Home
You don’t want to be the nicest home on the block, or even in the neighborhood. If the neighbors have laminate countertops, don’t splurge and install marble as the replacement. It’s unlikely you won’t receive your return on the investment. It’s important to stay realistic with the neighborhood property values and flip the home with the appropriate updates in order to gain a profit.