subject: Fix And Flip Rules [print this page] Doing fix and flip projects are your ticket to financial freedom. Because of the abundance of repossessed properties in the market and the growing number of motivated home sellers due to the ongoing economic crisis, it would be much easier for you to find properties that you can renovate for profit.
Also known as rehabbing, the business of fixing and flipping houses can be summed up in three steps. First, an investor buys and old property at a discounted price. Then, he fixes the house up and restores it to a sellable and livable condition. And finally, he finds a buyer for the rehabbed home.
Although doing a fix and flip seemed simple, there are many things that you should and shouldnt do when rehabbing a house. Listed below are some of them:
Make a budget and a work schedule. Having a sound game plan can help ensure that your project is on the right track. In addition, it can help you avoid spending too much time, money, and effort on a single property.
Hire contractors. Sure, you have killer home improvement skills but can you finish the repairs on a fixer upper home on time without the help of others? Always remember that time is a very important for a real estate investor. So if you want to move on to your next project, hire professionals to do the rehab work.
To minimize expenses, find furniture and fixtures that can still be used. For instance, repaint old kitchen cabinets instead of replacing them with new ones, which can cost you a few hundred bucks. Just make sure that the old cabinets are usable and still in a good condition.
Never make unnecessary repairs. When dong a fix and flip project, always remember that you are rehabbing a house because you want to earn money, not to join a home improvement contest. Keep the renovations simple and avoid experimenting on the paint job because what is beautiful for you might not be the same for the home buyer.
Dont advertise the property unless the repairs are almost complete. According to seasoned rehabbers, putting a for sale sign on the yard prematurely can interfere with the rehab work because the workers might get distracted by potential buyers marching in and out of the house and asking about the property.
