Drawing inspiration for your rehab project can be a challenge. There are many decisions to be made in regards to the materials you choose and the overall aesthetic you want to achieve. In the end, you want a cohesive and attractive design while keeping your buyers in mind for every step. Consider the neighborhood comparisons while selecting materials for renovations. Choose neutral paint colors, select a unified design scheme, and draw inspiration for the project from wherever you can find it. Developing a vision for your flip involves getting creative without breaking the bank. Here are a few tips to help you get the ball rolling.
Style by Inspiration
A fun way to start off your rehab project is to select one item of decor to inspire each room or even the whole house. Use an antique lamp, fabric swatch, or artwork that speaks to you and consider this item with each design choice. You may have an item that you draw your color inspiration from, a texture like satin or shag that can drive your design, or a photographic print that you can use to guide your vision. Take the item with you when selecting materials to remind you of the desired outcome for the project (or a picture of the item will work if it is too large to bring). Interior designers often create inspiration boards as well to nail down some of the choices and provide guidance for the final result.
Whether this is your first flip or your hundredth, you will want to take a look at other houses for sale in your neighborhood that go for the price you will be looking to sell at. Visit the property and take note of the finishes, the quality of the craftsmanship, and the materials selected. You are likely to notice that empty houses for sale will feature a neutral color palette, and few bolder colors or design choices that may turn some potential buyers off. Staged houses have a real opportunity to enhance the design with furniture and decor to make the space flow and feel more real. Evaluating your comps will allow you to make decisions during the process accordingly. You don't want to go over the top and waste money, but you also want it to look better than the other houses on the market.
Achieve a Cohesive Look
Make sure you've selected a theme for your design. Do you want your flip to be industrial chic, French countryside, or maybe old world traditional? You need to decide the look you are going for before you begin the project. This will help guide some of your selections. Let's take one of these styles and apply it to a kitchen project as an example. Industrial chic combines urban elements with raw, weathered woods, exposed beams, and stainless steel accents. This kitchen style example would likely include: modern cabinetry, hardwood countertops, a stainless steel range hood, and simple yet elegant decor. Industrial chic aims to blend the worlds of modern sophistication and reclaimed, vintage charm. This style is becoming popular for urban and rural properties alike. Bottom line - pick a style and stick to it throughout the whole flip.
Get Your Hands Dirty
You probably already know that property rehabs are hard work. Be willing to get your hands dirty and get involved with everything from choosing paint colors to hanging vanities. If you have the budget for a skilled craftsman, there's no better way to get the job done, but be prepared to step in and do some of it yourself. There is nothing more inspiring than seeing the final outcome and then reaping the rewards of your own blood, sweat, and tears. The more work you can do yourself, the better.
So you've got the guts to pull off a flip with a major renovation project. Have you got the creativity and vision to nail it? There are many ways to stay within budget while also achieving the look you want, and even being able to splurge on those granite countertops and fabulous crown molding that you're just dying to install. Remember that inspiration will come, and don't be afraid to change something out that just doesn't look right. Search for good deals on paint and flooring, don't over-personalize the space, and keep in mind your competition.
After you have purchased that diamond in the rough, you'll need to find inspiration to achieve an exceptional look. Focus on the final product. Each and every piece you select to get there has to fall in line with not only what you want, but primarily what the buyer will want. For help funding your next fix and flip project, contact us today!
Fixing and flipping homes is all about finding the best deal. HGTV shows can make it look easy to find, fix, and flip a home. They make it seem like every investment will earn you big bucks, but that's simply not always the case. To make money fixing and flipping, you have to make wise and calculated decisions. One of the first decision you have to make is which house to invest in. While many homes are listed on MLS, some of the best deals are located "off-market." Experienced flippers know how to find these hidden deals. Below you'll find a few helpful ways to find these hidden treasures to make your business more profitable.
It's smart to get your foot in the door before homeowners decide to list their home on the market. Those homeowners who are mulling over the decision might be more interested in selling if they're presented with a great opportunity. By advertising through direct mail, postcards, or local newspapers, you present an offer that might make homeowners who were "on the fence" take that leap and sell their home. You'll be the first (and only) person in line to buy their house, presenting them with a way to avoid the hassle of having to list.
Make and Use Contacts
Estate Lawyers are great assets for those in the fixing and flipping business. With their connections, you will learn about properties that may become available in the near future. Again, it's a great way to make sure you're at the front of the line, and in the door, before other potential buyers come looking around. You can join local networking groups to ensure that you're well connected and on the mind when new properties show up.
Buy at Auction
It's important to be quick, well researched, and fully prepared for auction day. Come equipped with knowledge of the neighborhood, the property itself, and the amount you're willing to spend. Auctions are great ways to find foreclosures, short sales, and other great deals, but it isn't ideal for the impulsive. You don't want to buy a property for more than it's worth, so don't get so excited that you get sucked into a property that you haven't fully researched. Know in advance which homes you're interested in and keep a firm budget that you will stick to no matter what. Use sites like Auction.com to find potential deals if you feel like auctions are a good fit for you.
Talk With Local Builders
Again, having connections pays off. Local builders have knowledge of unfinished projects. Sometimes a person isn't able to complete a project because of finances or other complications. Depending on how much work was left undone, these houses could be a great opportunity for investors to swoop in, finish the project, and make a great profit. Unfinished houses won't be listed, obviously, so the only way to find these potential treasures is to establish the right connections.
There are several tricks to making a fix and flip as profitable as they can be, and one of them is definitely getting your foot in the door early. By finding these hidden treasures before anyone else, you eliminate competing offers. This will help you get the house for the best price. So, the next time you're looking for the perfect fix and flip property to invest in, try using some of these helpful tips and tricks to make sure your efforts pay off. When it's time to finance your next fix and flip, contact us. We are here to help make your fix and flip experience as easy and profitable.
Selling a home isn't like selling a toaster oven or a pizza. Not just any interested person off the street makes a good buyer. You need someone who will love the home you've worked hard to renovate who also has the financial capability to take on the mortgage and the personal organization to handle their half of the paperwork. While you may have a real estate agent on the job of finding, vetting, and guiding buyers through the process, sales are not always instant. While you're waiting, the house you've invested in is sitting empty, unloved, and more importantly unprofitable. Except that it doesn't have to be. If you've been deeply immersed in the real estate business, you may not have noticed that the sharing economy has gotten remarkably diverse and there are several ways to put your renovated home to temporary profitable use without compromising your opportunity to sell when the right buyer finally makes their appearance.
Airbnb, Even If It's Empty
You may have come to think of Airbnb as a way to share hotel-quality furnished properties and cozy spare bedrooms, but the service and desires of your potential customers are much more diverse than that. People rent out their yards to campers, their garages to RVs, and even completely empty houses with great success. Many travelers value a private bathroom and fully functioning kitchen over little hotel soaps and even furniture. They're more than willing to bring sleeping bags and their own towels, and all you have to do is let them in or give them a temporary code for a smart lock box.
Because you can designate when your property is available for guests, you can manage both your potential buyer viewings and your bookings so that the two never overlap. When you do finally have a buyer ready to complete the process and take ownership, simply take down the Airbnb listing and perform a final inspection to make sure your guests didn't leave anything behind.
Rent Out Your Parking Spots
One of the stranger sharing economy trends that has recently popped up is the ability to list just your parking spaces for the paid use of drivers in need. If you live in a busy area where parking can be hard to find, you could easily be making over a hundred dollars a week renting parking one hour or day at a time. Even if your property is in a less densely packed region, there are always a few special events like a local football game or large family gatherings that need overflow parking for out of town guests that will gladly pay a small fee for safe (and legal) nearby spots.
If you're not comfortable letting unknown guests into the house you've worked so hard on, that's okay. You can still make a little money just by opening up your backyard to campers. Almost all sharing economy hospitality sites will allow you to list your backyard instead of the house itself for campers and some sites specialize in it. These campers will bring their own gear and just need an inexpensive place to stay along their travel routes. The nicer your yard is, the more you can ask from the occasional camper. You can even start renting backyard space before renovations are complete because campers don't need to go inside the house.
No matter how much fun the process is, you flip to make money. Why leave that philosophy behind just because you don't have a buyer ready to take over right away? Through the sharing economy, you have the opportunity make the use of any spare space you have, no matter how short term the situation may be. Rather than let the house sit empty while you wait for the right buyer, put it to good use through online sharing economy listings. For more helpful flipping tips and tricks, contact us today!
There are two major factors that influence what home buyers are looking for each year. There's what each individual person or family wants and needs from a home and there are the popular trends that have caught the public imagination. Where once all home buyers would be looking for a jacuzzi tub in the master bedroom and two separate living rooms (one for entertaining and one for the man-cave), once again the public sense of style, design, and comfortable living have changed and a new set of preferences takes the lead. Here are five of this year's top design trends in the housing market.
1) Open Living Areas
One thing that's become abundantly clear both in new home constructions and popular renovation designs is that closed-in floor plans with several separate living areas are out. Way out to be exact. Families and individuals alike are now looking for open, versatile living areas that can allow a family to comfortably share a big space or repurpose the area into something unique.
The primary key to this design is to have the kitchen open up without much in the way of walls or obstruction to the living area so that even the chef can be a part of family time. Oversized livingrooms, often taking up the square feet that might have once been used for a separate sitting room, study, and media room now becomes a big shared family room residents can open or segment at will, or possibly even transform into a home gym, shop, or dance studio instead.
2) Entertainer Kitchens
Along the same lines as the open living area, entertainer kitchens are the ideal arrangement to involve the family chef in the openly shared activities. The center of an entertainer kitchen is the island, possibly with an integral stovetop, with comfy bar stools arranged along the other side. This way, during meal times the chef takes center-stage, very much like they were running their own personal cooking show with the entire living room as an audience. People sitting at the island can either help out or simply keep the chef company and activities in the main living area flow smoothly from one space to the other.
3) Luxury Showers
Where once a house wasn't considered a home unless you could take a long hot soak in a bath, baths are becoming less and less important to modern homeowners and many are choosing to use the space in an entirely different way. Instead, luxury showers are coming into play. Some tubs are being replaced with walk-in showers which are deep enough to never require a curtain or make a mess while creating a beautiful tile-lined little room to relax in. People with small spaces can get a more luxurious wash from a nice shower stall than they could from a cramped tub, and seniors are choosing shower stalls with benches, bars, and adjustable sprayers rather than risk slipping getting into and out of a tub.
4) A Splash of Color
Of course, not every design trend is one that comes as a built-in part of the home. The modern market is alive with homes painted in ways that are not traditionally salable. In fact, you don't even have to paint rooms all one color anymore. A subtle mix of ivory and blue-grays has become incredibly popular, often accented with one or two rich color walls that make the accents in the interior design pop. When on the search, if you see what looks like an unusual paint choice, consider keeping the home on the list to see if the color inspires your buyer to imagine what they could do with that color or how they would change it.
Whether your client is looking for a new home alone, with their romantic partner, or for their growing family, it's important to understand the modern trends both to understand what your clients will expect and to help them determine what they like best. From a kitchen worthy of a cooking show to using whole walls for accent color, look for a home that lets your client's personality shine through. For more real estate news and for help funding your future fix and flip projects, contact us today!
Setting out on the journey to fix and flip houses is an exciting prospect. Thanks to your new business venture, you plan to be able to substantially increase your income--not to mention developing investments that will help support you and your family long-term. By following these key fix and flip tips, you'll be able to engage in more effective investments that will have a more positive ending.
Tip #1: Develop a Great Relationship with a Contractor
If you're planning to fix and flip houses long-term, you need a great relationship with a contractor you can trust. This should be someone with experience in the area where you're purchasing your fix and flip home who will provide you with accurate, trustworthy estimates so that you can decide quickly whether or not a home is the right investment for you.
Tip #2: Know Your Limits
Many people think that investing a little sweat equity in the house they're planning to fix up is a great way to save some money. After all, labor is one of the most expensive parts of construction. Before you start planning to fix up the house you've chosen, make sure you know your limits. Diving in with a project that's too much for your capabilities can end in financial disaster when you have to pay someone else to come in and fix it.
Tip #3: Find the Right Realtor
You need a realtor who knows the local market and who understands what you're looking for. A great realtor will help you secure your house at a bargain, so that you can fix it up for a higher sale price. Keep in mind that your realtor needs to understand the value of homes and that they might not know exactly what will be needed in order to fix a house up, but they may be able to indicate things that will help it sell.
Tip #4: Have the House Inspected
Skipping the home inspection is one move that can be extremely costly in the fix and flip process. When you opt to have the home inspected, you'll learn exactly what it needs in order to be habitable--and get a better idea of how much you'll have to spend in the renovation process.
Tip #5: Know Your Budget
Before you start an expensive renovation process, you need to know what your budget is going to look like. Your budget for fixing up and flipping a house is different from your budget for fixing up a house that you plan to live in. This is a shorter-term investment than your personal home, so make sure that you can buy the house and fix it up for significantly less than what the house will be worth when you're ready to sell.
Tip #6: Check the Whole Neighborhood
The neighborhood your house sits in can have a big impact on your selling price. You want a neighborhood that is growing: one where many houses are being fixed up and turned around. Ideally, you want a house that sits next to others that have already been fixed up, not one that sits next to the neighborhood eyesore. You should also check to make sure that the neighborhood is not located on a busy street and that your house isn't surrounded by excessive noise: noisy dogs, chickens, trains, airplanes, and more.
Tip #7: Develop Patience
Fixing and flipping houses won't earn you the money you're expecting overnight. There will be delays in the process and times when you'll struggle with having inspections go wrong, renovations that don't go according to plan, or a house that sits on the market longer than anticipated. With patience, however, fixing and flipping houses can become a reasonable source of income.
Learning to fix and flip houses effectively is a process that takes time. By choosing the right properties for all of your needs and forming the right business relationships, you can develop a more effective strategy that will allow you to earn more money. Need help securing the funds for your latest flip? Contact us today to learn how we can help.