Choosing a home to flip, or flipping a home you already have, is about knowing what projects lie ahead of you. Flipping a home usually involves buying at the right price and knowing what improvements to make. Sometimes your flips may require minimal rehab changes like landscaping, carpets or flooring, paint, changing the filters, and re-caulking the windows.
But beyond that, every home can be unique and sometimes it may require a little more renovation work to create a space that’s new and functional to your buyer. And it’s your job as the seller to know which improvements will offer the greatest returns and interest from your targeted buyer.
Today, we’re here to share five of the top projects that promise a reliable return on investment. These are things that your future sellers will care about, and that will notably increase the sale price of a home when upgraded.
1) Opening the Living Space into the Kitchen
In the modern housing market, open living spaces are leading the market. All new homes feature entertainer-style kitchens that open warmly into the living room without a wall in between. The thousands of old-fashioned houses that separate kitchen, dining, and living spaces are less and less popular. But, by knocking out a non-essential wall or two, you can transform an older, more closed-off home into an open space modern home buyers will love.
Many young families looking for a starter home will be far more enthusiastic about an older home if the living area is open so that the family can spend mornings and evenings together in a larger, shared space; especially if you widen a traditionally cramped kitchen into a more inviting area.
2) Full Suite of New Appliances
Appliances can significantly contribute or detract from the final sale price of a home. This is because they contribute so strongly to the quality of life for residents immediately after moving in. An old stove, refrigerator, and dishwasher are much less appealing than shiny new models with decades of good service ahead of them. And a home that comes with a nice washer-dryer is a value beyond measure.
The washer-dryer, in particular, are tempting for first-time homeowners who likely did not have their own sets when renting before the purchase. Investing in new appliances can make a huge difference in how quickly you get an offer and ultimately in your profits when you sell your flip.
3) Curb Appeal
As they say, you never get a second chance to make a first impression. Make sure you have a well manicured yard that welcomes buyers into the home. You want people excited as they drive up to see more. You want to appeal to a larger group of buyers so keep things simple, don’t go overboard with landscaping and allow for the new buyer to add their personal touches. To achieve this, keep entry way, front yard, driveway, sidewalk and back yard clean and add some outdoor lighting, it can be a great dramatic look at night.
Yard work can be physical and time consuming for many people but having a yard that is complete and low maintenance can be a great benefit and improve your chances of getting an offer.
4) Roof Replacement
Roof quality is another kicker when it comes to selling. An old roof is a maintenance liability specially in an older home that has the perfect location or neighborhood. Buyers will see an old roof as a cost in the near future and won’t want to spend that money bargaining for an old-roofed house. But a shiny new roof with all the latest shingle technology and warranties intact seems like an all-in-one deal for buyers in the know.
A new roof is an even bigger asset than an old roof is a detriment, in most cases. So if there is anything wrong with the roof of a home you’re flipping, and you have the funds to invest in a new roof, consider making the upgrade for the good of your final sale.
5) Window & Door Replacements
Quality matters a great deal in cold and stormy regions where the homes are subjected to extreme weather on a seasonal basis. A home with good, strong storm windows and attractive, well-insulated entry doors will stay warm and secure while a home with old, rattling windows will become chill and develop water problems. Smart buyers in stormy regions know that. Renovating your windows and doors not only increases the quality and energy efficiency of the home, but they also likely come with valuable warranties that you will pass on to the buyers, further increasing the home’s value at the time of sale.
Sometimes, the best choices for profits when you sell your flip are real investments. In addition to these five improvements, kitchen and bathroom renovations and patio additions are also among the top ROI projects that you can choose from. Here at Center Street Lending, we know exactly how the real estate market works from investment to return. Let us help you create the flipping budget you need to perfectly reinvent the homes you intend to sell. For more house flipping insights from selecting to selling, contact us today!