| "> | | | | Buy Homes that Only Need Cosmetic Repairs |
| Anyone wholesaling property will want to keep their | | | | You'll want to seek out wholesaling property that is in |
| costs down and profits high. In the business it's all | | | | need of low cost or easy to do cosmetic repairs. |
| about staying within your house flipping budget and | | | | Look at things like yard work and a good coat of |
| the final selling price of the home. So, with the aims | | | | paint. These are the kinds of repairs that a |
| of keeping you, the real estate investor, within | | | | homeowner doesn't want to do themselves, but |
| budget here are several tips towards success. | | | | they can greatly increase or decrease the value of a |
| Don't Buy a House with Mold | | | | property. |
| The average homeowner deeply afraid of possible | | | | Buy the Right Home |
| black mold in a home. Plus, it's really hard to get out | | | | You may be so eager to get into wholesaling |
| of a home once it shows up, meaning more time and | | | | property that you buy the first cheap house you can |
| expense. Mold is a deal breaker. | | | | find. It's about more than just buying a cheap home. |
| Reconsider buying any home that has mold in it. It | | | | It's about finding the right house to flip. As mentioned |
| may not be worth the effort. | | | | above, look at homes that are structurally sound, but |
| Make Realistic Improvements | | | | have unsightly cosmetic problems. It won't cost you |
| Many investors make the mistake of going | | | | a lot of money to invest in and fix up that property |
| overboard in their improvements. They don't take | | | | and you'll still be able to sell it for a great profit. |
| into account the actual selling price of homes and so | | | | In addition, make sure you get a home inspection of |
| invest way more money than needed in a property. | | | | the property you'll be signing papers on. A home |
| This could result in you taking a loss even if the | | | | inspection will confirm that a property is structurally |
| home sells. | | | | sound or that it's not. |
| For instance, there is no need for you to add a | | | | Rehabbing Takes Time |
| miniature water feature if no other homes in the | | | | Rehabbing takes time and can really ruin your house |
| surrounding neighborhood have miniature water | | | | flipping budget. Most contractors have multiple jobs |
| features in the backyard. It increases the price but | | | | going on at once or backlogged. You can't just pick a |
| also requires a lot of care. Water features really only | | | | contractor out of the yellow pages one day he or |
| appeal to a certain select group of homeowners. | | | | she may not be able to get to work on your house |
| Double Your Estimated Budget | | | | for a few days or weeks, maybe even months. If |
| You should always double your estimate for fixing up | | | | you have a property that will need major repairs or |
| a property. When figuring how much you think you | | | | are running short on funds for carrying costs, you |
| can offer to buy a property and still come away with | | | | should keep this in mind. It may be better once you |
| a profit, this is always something to keep in mind. | | | | get low on funds to just cut your losses and sell the |
| Even the most accurate cost of repairs estimate can | | | | property, 'as is'. |
| change over the course of the rehab the final price. | | | | You can keep within that house flipping budget when |
| You automatically create a buffer zone for your | | | | wholesaling or house flipping. You just need to keep a |
| house flipping budget when you double your | | | | few things in mind. Plus, it never hurts to double your |
| estimates. Its just more profits for you if you come | | | | budget and work within that framework. |
| in under that amount. | | | | |