Buying a home and then selling it weeks later is called flipping a house. Such homes are frequently neglected in some way by previous owners. They may be lacking in the necessary upkeep that a home necessitates, or they may have more serious structural issues. Flippers seek an undervalued property in a desirable neighborhood with untapped potential that will provide a positive return on investment.
9 Essential Factors to Request Daily Updates On
When flipping a house, there is a lot of overhead since one must establish a budget for the cost of materials required for the house’s repair and renovation. Hiring a contractor is also essential to oversee the repair process and coordinate the movements of all parties involved in the project.
In addition, flipping a house is frequently accompanied by a mortgage. If the project experiences delays, it becomes a problem because the flipper must make a mortgage payment every month the house remains unsold. Finally, inspectors are vital to ensure that the home meets regulatory standards.
We all know that presentation is essential when selling a home, but that doesn’t mean you must use the most expensive products to create a lovely space. When flipping a house, it’s critical to understand what will give you the most return on your investment while also creating a design that will impress potential buyers. Here are nine critical aspects of monitoring and getting daily updates when flipping a house to guide you in making an informed decision.
1. Bathrooms and Kitchens
In today’s highly competitive residential home sales market, you can’t expect to get top dollar for your home if it has an outdated kitchen or bathroom. These improvements are critical for getting a reasonable price when flipping a house and ensuring many potential buyers are interested. Kitchen and bathroom upgrades of high quality will undoubtedly reduce the number of days a property spends on the market.
Not every kitchen or bathroom requires a total makeover, but almost all do require some updating. You can start by examining the existing kitchen cabinetry objectively to ascertain if it is necessary to replace, refinish, reface, or paint the cabinets. Remember that when remodeling a kitchen, it is critical to make it safe and family-friendly. For example, ensure that all electrical outlets are properly grounded and spaced from water sources.
Check that the floor is not slippery and that the counters have rounded edges. In the case of bathrooms, it may be possible to reuse the existing tile while replacing fixtures such as toilets and sinks. Updating a shower door or other room hardware may be a simple solution. Any work done, like in a kitchen, must ensure that the room is safe for the buyer.
Countertops are also crucial in the kitchen and bathroom space when flipping a house, so choose a style that appeals to the broadest range of buyers. It would be best if you also opted for materials, such as quartz and granite countertops which are more durable and preferred by many. Furthermore, granite and quartz can withstand the high temperatures in kitchens and bathrooms.
When flipping a house, it is vital to note applying neutral color palettes and more popular design styles for the bathrooms. Avoid trends, as well as bright patterns and colors. These are ideal for those who want to make it their permanent residence rather than an investment. Conduct some research on options that are popular among the majority of homeowners.
When flipping a house, ensure you check the plumbing before listing it. Many buyers will not be interested if the system requires extensive repairs. When buyers notice plumbing issues such as leaking pipes or clogged drains, it can indicate that more severe problems are lurking elsewhere.
This suspicion may result in additional inspections and a longer sale timeline or less money in your pocket if the buyers request significant repair credits. You need to have a professional plumber conduct inspections to determine if the house has plumbing issues such as a leak or a sewer line malfunction. They will then advise you on the best sewer repairs to fix the issue and ensure the property is ready.
3. HVAC System
Most home buyers want the heating and cooling system to function, so they don’t have to worry about replacing it. Therefore, when flipping a house, it is essential to inspect the system to find out if it’s in excellent working condition. Buyers generally want some warranty on an HVAC system, so make sure it works before closing on the house. An upgraded HVAC system can potentially increase a home’s value.
To establish whether to replace or repair the HVAC system, evaluate the home’s existing system. It’s critical to consider the age and layout of the house you’re renovating. Consider and write down your project’s goals and budget. Therefore, if you find that the system is not operational after the inspection, you should consider a high-efficiency ac installation system that will increase the value by the amount you invest.
If the home has a newer HVAC system, repairing it may be the most cost-effective option. However, upgrading to a high-efficiency system will be the best long-term decision. Repairs typically do not add the same value to future buyers as system upgrades if they cost more than a third of the cost of replacing the system.
4. Water Filter System
Because of its benefits and ability to increase property value, installing a water filter system may appear expensive. Fortunately, many affordable filtration methods, such as activated alumina, distillation, ultraviolet, and activated carbon, are available. The most widely used and efficient method, however, is reverse osmosis, one of the most affordable systems you can install, costing approximately $300 and $3,000.
Water is filtered through one or more membranes in reverse osmosis. This process allows decontaminated water molecules to pass through while preventing residues and dissolved solids from entering your water supply. A water softener containing filter cartridges also removes the odor and taste associated with hard water.
Puronics filtration systems installed are self-maintaining, requiring minimal maintenance besides salt replacement. As a bonus, combine the system when installing new fixtures throughout the house. It increases the property value by several noticeable points and gives the home an updated and modern appearance, making it more appealing when flipping a house.
5. Garage Door
A garage door can take up to a third of the front of a house. When the garage door faces the front (or even side) of a home, an upgraded door can significantly impact the house’s curb appeal and change the overall look and feel of the exterior. When flipping a house, it’s critical to understand which home remodeling projects increase the home’s value and which don’t.
Begin with those that add value, such as the garage door. It’s a simple and quick upgrade that can make a big difference. Curb appeal is fundamental to house flippers because it is the first thing people notice when they see the house. Investing in high-quality garage door parts when flipping a house will impress potential buyers. There are plenty of affordable but appealing styles, materials, and colors. With this one upgrade, you can expect to recoup your investment.
Don’t overlook the aesthetic value that house painting can provide; a fresh coat of paint can make your siding appear newer, casting a new light on your entire house. When a professional painting contractor carries out the project, it will significantly impact the final value. Some significant renovations only provide a partial return on investment; for example, kitchen remodels only provide an average 80% return on investment.
A $10,000 kitchen renovation would only add $8,000 to the value of your home. On the other hand, the exterior paint has a much higher return of 141 percent. If you spend $1,000 on house painting, you can expect a $1,400 increase in home value, equivalent to earning $400 in extra value on top of the job paying for itself.
Exterior paint can significantly boost your prospective curb appeal. Curb appeal sets the right tone when prospective buyers first see your home. andmdash; If they like the exterior, they’ll be far more likely to go inside for more information and have a better chance of actually buying.
The siding of a property is more important than most of its other features. Not only does the color affect how buyers perceive the property, but the style can also influence who is interested in it. Board and batten siding are prevalent, and choosing a color that distinguishes the house without being an eyesore is critical.
Exterior siding installation may be the most effective way to increase the value and restore the beauty of a property. When flipping a house, check that the siding is clean and in good condition. Replacing it is the best option, but if it doesn’t need a replacement immediately, consider power washing the property’s exterior to remove any dirt and pollen.
8. Stone Patio and Driveway
When flipping a house, a higher property value can be a real asset since prospective buyers always look at the outside of a house first. When they see the beautiful walkways, patios, and pool areas, they will undoubtedly fall in love with the exterior before entering the house.
When they see your attractive stone patio driveway, they may decide to buy your home before even getting out of their vehicle. A new stone patio installation will improve the appearance of your home by making the walkway an appealing entrance to the property. Due to the increased value, you will quickly recoup the cost when you sell your home.
A solid foundation is critical to the structural integrity of any building and everything else on top of it, so if the foundation has problems, the house above it will eventually have problems. The state and stability of a home are not features; they are a fundamental expected value. Buyers may be interested in the house if they believe it is safe.
If there are cracks in the foundation, buyers may turn and walk away. None of these red flags will appeal to someone who needs to move in immediately or does not want to finance repairs on top of a mortgage. Very few buyers are lining up to purchase a home with critical issues such as a sagging foundation.
Foundation repair becomes part of the negotiation process at that point, or your buyer may walk away. In either case, foundation issues will cost you money, time, or both. Foundation problems are estimated to reduce the value of a home by 10-15%. Therefore, having the repairs done before listing the home is worth the investment when flipping a house.
What to Do After Obtaining the Updates
When flipping a house, you will need the assistance of a contractor during the renovation process. The contractor will oversee any structural updates to the home, such as electrical, plumbing, windows, or doors. They understand the regulations to follow and how to work with all the different people involved in a home renovation.
After you’ve completed all of the necessary fixes, it’s time to move on to the cosmetic updates. Landscaping and curb appeal are also essential in the flipping puzzle. You can hire a designer or do it yourself, but keeping the home up to date and functional is critical. Know when to splurge on an expensive item and when to save money by antiquing or incorporating a DIY project.
You can contact us to provide valuable information and services to help you succeed when flipping a house. Our team of experts is ready to assist you as they have extensive experience in the industry to offer professional services.