The world has changed in the past few decades. We’ve gone from preferring move-in-ready homes to trying our hands at renovation and house flipping. It’s a great investment option, too, with professional house flippers netting tens of thousands of dollars every time they successfully flip a house.
If you think you’re ready to explore the world of fixer-uppers, then you might have questions about how to find the ideal property to flip. Read on for some great tips on buying a fixer-upper home!
Location, Location, Location!
Long before a potential buyer even thinks about looking at a listing for houses, they narrow down their search by a specific location. Plenty of people are more than willing to sacrifice desired amenities inside the house if they are able to get closer to work or in the right school district.
For example, a buyer wanting to relocate to Illinois may only look at these properties for sale in Chicago because they meet their location needs.
As a house flipper, it is up to you to keep your finger on the pulse of the housing market. Which areas are in the highest demand? Which areas are up and coming?
Cosmetic Issues Only
As a fledgling house flipper, you don’t want to bite off more than you can chew with your first project. That’s why it’s important to limit the potential houses to those that only have cosmetic issues.
Cosmetic issues are things that make a house look out of date. For example, the walls might have wood paneling or wallpaper, and the cabinets may be a dated oak.
The structure of the house, however, should be in relatively good shape. Of course, you cannot always predict what you’re going to find when you begin your renovation, but try to avoid houses with glaring structural issues or water damage.
What’s the Layout?
House flippers make money by investing in a house, flipping it, and then selling it as quickly as possible. In order to do this efficiently, their design must appeal to the largest amount of people possible.
This means that you need to choose houses that, at their core, have desirable features and layouts. Most people prefer open living plans, where you can see the living room and dining room from the kitchen. Floor Plans with small, closed-off kitchens are generally less preferable.
If you aren’t sure what local buyers want, try searching through recent home sales in your area to get a feel for what’s popular.
Are You Thinking of Buying a Fixer-Upper Home?
Buying a fixer-upper home is definitely not as glamorous as the professionals make it look on TV. If you’re a novice house flipper, it’s best to start small and purchase a home in a great location that only has cosmetic issues to tackle. Once you become more experienced, you can get to work on bigger and more advanced house flipping options.
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