…This three bedroom, one bath charmer. Located on a quiet street near the downtown – walking distance to most everything. This house has updated electrical, new siding, windows, doors, roof, completely remodeled kitchen and bath. It also has all new appliances, flooring, and light fixtures. Features a fenced back yard, storage shed, and new landscaping. All for the price of $99,900.00 It will be on the market 8-8-19. Call 810-908-7155 if you are interested.
If you are interested in flipping a house into a home there are five things you need to know. You (and your partner) should have a budget, a time line, be prepared to clean (demo), keep your eye on the end goal, and location.
In your budget you need to know during the purchase of your flip house you may put in a full price offer, and then have to submit another offer which is your highest and best price within 24 hours of being notified. This is something you will want to plan for before submitting your offer. It is easy to get comfortable when you have a budget for your new project but be aware there will always be surprises. Make sure you set aside 10% of your over all budget for surprises. Things that shouldn’t be surprising are things like a transfer tax, water, sewer, and electric bill. If you are flipping in a cold climate and do not keep the furnace going you run the potential of bursting your pipes. With those in mind you will want to insure your investment with a hazard policy for the time it is in your possession. State and local permits may need to be pulled before making repairs. All of these things cost money but most of them can be included in your budget beforehand.
A time line is important because it gives you a goal. It is important to synthesize the timeline for maximum purpose. What I mean is, if you want to install windows at the end of the month you must order and check on the delivery of those windows at the beginning of the month (sometimes months in advance check with your window supplier). This can be applied to every aspect of a flip. It is easier to put in new floors after painting when possible. Keeping an eye on the timeline is important because if one thing goes wrong it can affect other things on the timeline. Getting things done on time feels good and helps you move your flip.
Cleaning a flip house can be crazy. I am not talking about the “Fun Demo Day” you see on TV but the cleaning filth our of the craziest locations. It can be very bad so be prepared. Make sure you have all the proper safety tools for the job at hand. Wear a mask, gloves, goggles, and your old cloths because it’s going to get messy. It seems silly for me to write so much about this but you don’t want to get hurt and have to take time away from your flip (it will mess up your timeline and budget). Get it done right the first time. Pretend your grandma is moving into this house and clean accordingly. Don’t be afraid to ask google. The correct tool can save you hours of back breaking work.
Keep your eye on the end goal. You are helping someone get a nice new home. I doubt you will get the nobel peace prize but you are doing the community a service. You won’t get a gold star for making sure something is done correctly but that flip will be tied to your name so stay focused on putting out a quality flip and at least you will know you are doing the right thing. It is really hard to see the beauty behind the flip when you first walk in but staying focused on what you want it to look like helps. Know your limits but don’t let them get in the way of seeing your finished product. I don’t do foundation work so any house with foundation issues is off my list. If I had to I would call a structural engineer but would focus on ones that don’t have that type of issue.
One thing you see on TV that is very important in a flip is location. A lot of times you don’t have time to drive around the location of your flip house but I would highly recommend it. This is where a real estate agent comes in handy because they can get quick access to location data. An easy formula is to find the worst house in the best neighborhood and flip it. Life isn’t a movie so it doesn’t always work out like that so be prepared. Check and know off hand which schools are ranked high in the area you are looking to flip (doesn’t matter if you have school age kids). Be aware of local news and politics from a reliable source. You want to find an area that is on the rise. The best time to sell a flip is in April-July not to say other times of the year aren’t good it’s just those are the best.
Those are the top five flipping tips. I did not mention price because it is subjective and vary’s from market to market. If a house is priced to move you may make up some of the costs in not having to pay taxes, utilities and insurance. Having a budget, a timeline, being prepared to clean, keeping your eyes on the end goal, and understand how to use location to your advantage are my top five flipping tips. Thanks for taking the time to read my article. Please feel free to comment and share.
Sincerely,
Ben Anderson
The Drury Group
810-908-7155
Thinking of becoming a snowbird? Check out this gorgeous home in sunny Port Charlotte, Florida! Lovely split floor-plan. Open feeling but also allows for guest privacy. 3 Bedrooms, 2 full Bathrooms. New roof with dimensional shingles 2018, new pool heater, and new granite kitchen countertops are all recently made improvements. Sparkling clean, newly resurfaced (2018) 30’ sport pool!
Fresh paint – neat and clean and ready for you to move in! Enjoy your favorite beverage while relaxing on the spacious lanai. Best of both worlds – located in quiet neighborhood but close to conveniences. This gem is a 5 minute drive to Charlotte Harbor where you can dine on the water, enjoy parks, go fishing, and launch your boat. 35 minute drive to the gulf.
Below are links to the house on:
The top five things to do before listing your house on MLS are find a quality real estate agent, locate property records, declutter, clean, and stage.
You want to find an agent (1. Ericson) who best suits your needs. It is easy to think the one who sells the most is the best, but that is not always the case. You want someone who will work for you and take the time to make sure you understand the process. You can look at real estate agents’ listings online (2). Read the reviews – they speak volumes. It is tempting to go it alone, but you can make more money and save time using a dedicated licensed real estate professional (1. Ericson). Here is a good link for finding a quality agent (I apologize for the ads) https://www.forbes.com/sites/forbesrealestatecouncil/2018/07/12/13-tips-for-finding-the-best-real-estate-agent-for-your-housing-needs/#1099a1282403
Locate property records like the deed, home owners insurance records, tax statements, any warranties (appliance or windows) that may remain with the house, and any other paperwork pertaining to the house (3. Gerhardt). If you cannot find the deed to your property it can be located at the court house. Most real estate agents can access deeds through their MLS, in some cases even get it for free. However, if you have any of these documents at the ready, it will speed up transaction. The following link has directions on how to locate property records https://www.wikihow.com/Do-a-Deed-Search
When decluttering your house it is very important to remove (to storage) any personal items, such as photographs. Try to keep the look of your home simple. Potential buyers want to be able to envision it as their place, and this is difficult to do when looking at items that make it look like your home. Sometimes it is best to store your valuables in a secure storage locker. This can be a challenge when you are trying to live in the house you are selling. Personally, I found storage containers to be very useful. At the very least, I was able to remove clutter from the house and store it in the trunk of my car during showing times. To paraphrase the late George Carlin, “My house is a place to store my stuff while I go out and buy more stuff,” (4. Carlin). If prospective buyers can’t see themselves in the house they are less likely to make an offer. They want to see an empty space where they can store, to use Mr. Carlin’s terms, their “stuff.” My wife and I decluttered by creating four piles for your “stuff”: need, want, pitch, and stage. We put our valuables in storage bins then sent them to a storage locker, and our need pile also went into storage bins in the back of our car during closing. It seems crude… but it worked.
If the top three necessities in real estate are location, location, location, then the top three things in selling a house are clean, clean, clean! If you have pets or kids this can be difficult. Over time, our noses adjust to odors to keep the limbic system from overloading. Novel smells still enter the nose but, over time are not passed along to the brain (5.Mag). Painting a house in neutral colors can do wonders for all the senses and the pocket book. My starter home’s prior owner was a smoker. I learned this instantly when viewing it the first time because of the tiny brown dots on the walls and an overwhelming smell. It took a little sand paper, primer and paint to help get rid of the odor. Another thing that helped was replacing carpeting. Flooring can be easy and inexpensive to replace. If you are not prepared to put in new flooring, then steam-cleaning is highly recommended. When it comes down to it, make sure everything is clean (spotless), all screws are tightened down, all outlet covers are covered, all half-finished projects are completed, and the doors all function as they are intended.
To stage a house is like putting an catchy label on a flavor of ice cream; which is more interesting – Cherry Vanilla, or Ben and Jerry’s Cherry Garcia? Highlight your home’s best features to make it more interesting! We all have a friend whose decorating taste we admire – pick their brains for suggestions. The goal in staging is to make a house appear stylish but also simple enough so anyone could make it their perfect style simply by adding their stuff. I believe it’s done with neutral tones and open space. Large tiles in a small room make the room feel smaller, and vice versa. Removing bulky furniture and/or adding up-lights can create the feeling of more space. In any house, you want walking-around room. Minimizing the furniture makes more space and that’s good for selling your house. A few strategically placed plants or fresh flowers can give a fresh look. Additionally, curb appeal can make a house feel like a home before setting foot inside. Fresh plants appeal to our naturalistic side (even real-looking fake plants). Plants improve economics and perceived value according to timber press (6.Timber). When staging a house I start outside with a commercially cut lawn, fresh mulch, and flowers. I also suggest a good power wash for the deck, siding, concrete seams, and windows. We all wake up every day, shower, and go to work – it’s good idea to do the same for your house when putting it to work for you. The following link provides staging tips with minimal ads https://www.moving.com/tips/10-best-home-staging-tips/
To be proactive please visit your real estate agent top get a
Ben & Jamie Anderson Realtors 