FLIP THAT HOUSE...Right Here in Lafayette & West Lafayette!
O.K. Our Market has been saturated with foreclosure in recent years, and this is a perfect opportunity for those who are handy. And I mean HANDY! I'm sure you've seen the TV shows that make it seem like the home is renovated in 30 minutes, from drab to fab...it's not that easy!
However, if you are skilled with manual labor or just have a design sense with enough money to hire your help...you're in luck! Remember that we're not in California where you can flip a home and make millions. Keep the pricing in perspective with our local market. You will definitely pay alot less than people do on the shows, but you will make alot less.
With the climbing rate of foreclosures here in Lafayette and West Lafayette, you can easily purchase a home for very little. There are several properties on the market now, just waiting to be flipped!
Once you have been approved by a local lender, you're ready to start the journey...
1. Your first step is to find a trusty Realtor. (Your Real Estate Specialists Group will work perfectly) Make sure you choose a Realtor that has experience with Investors, and with Flips. It is even a great idea for them to supply you with data from past flips that they were part of. Qualified Realtors will be more than happy to show you how much money they've made for their Investors!
2. Search the MLS for investment worthy property. Because you have chosen a Realtor that is familiar with what it takes for a successful flip, they will save you alot of time searching for the right project. Foreclosures, REO, and HUD properties are usually a good place to start, because of the lower prices. Make your Realtor supplies a detailed market analysis for the possibilities, with active & sold MLS data from the past 6 months. ( no more than a .5 mile radius)
3. Make sure the property is not TOO much of a project. If you're a first-timer, I suggest starting small. A total renovation can become very overwhelming, and the bills add up quick! Assess all repairs needed, and prepare a detailed budget & time line. Always allow for more time & money to be safe. Ask your Realtor what changes they would make for another opinion. They tour homes everyday, and have an eye for what will make or break your flip.
4. 30 day wait, or cash. If you're obtaining a mortgage for the property, it will probably be 30 days before closing. This means you will have to wait a month before you can start working on the property. This is a perfect time to make selections, line up hired help, obtain any needed permits, etc. If you're paying cash, you'll be able to start on the project much sooner! Unless, the bank which you purchase the property from has a minimum on the closing date.
5. Stay Neutral. Keep selections neutral while choosing paint, fixtures, flooring, everything! It's a good idea to tour other homes that are going to be your competition to get an idea of what you're up against. Also, keep the price point of your selections in balance with the price you are working to obtain from the sale. If the home is going to be a higher price point, the fixtures should reflect that. Don't install oak cabinets & vinyl flooring in a home that you hope to sell for $200,000! Keep in mind how many homes are for sale in your same price range, in the same beauty contest. Your home needs to stand out, and go home with the crown!
6. Stick to your budget. And time line. Keep up with your original plans, and don't splurge on unnecessary items.
7. Curb your Appeal. Make sure you pay attention to the exterior of the home, the icing on the cake. So many times, a great flip has a neglected exterior. If you're burnt out by this point, hire the work done or involve friends & family to help you work on your curb appeal. A freshly painted door, clean gutters, plants & trees make a world of difference! This is what is going to initially attract your buyer!
8. Realtor Revisit. Now that you're finished...Congratulations! It's time to invite your Realtor back to the property to asses the project & make any suggestions. Sign your listing contract, have your Realtor take several photographs for their website & marketing, and schedule an Open House.
9. Sit Back & Relax. If you've followed the plan, your flip will sell right away.
10. Repeat Steps 1-9
-Erika Fultz, Your Real Estate Specialists Group
If you or someone you know is interested in flipping a property, contact Your Real Estate Specialists Group. We've achieved great success with past flips, and truly enjoy guiding others through the process. We would be more than happy to help you FLIP THAT HOUSE! http://www.YourRealEstateSpecialists.com