Why Successful Rehabbing is Not All About the Repairs
One of the most popular ways to invest in real estate is to do rehabbing projects. Using this type of real estate investing, which is also known as fixing and flipping properties, to earn money is a dream-come-true for those people who are knowledgeable at handyman jobs. It is because they get to earn tons of cash and while doing the job they love the most.
To become a successful rehabber of fixer upper homes, there is a simple formula that you should always remember: all the repairs you made on the property should significantly raise its market value. However, there is more to rehabbing than refurbishing and beautifying an old house. While doing repairs on the investment property is very important, it is but a single aspect of an elaborate process.
Many real estate investors believe that they earn money the moment they sell the rehabbed property. Experts in the fix and flip business, however, believe otherwise. According to them, you gain profit when you buy the investment property. Therefore, you have to make sure that the house you will buy has marketability even before you fix it.
You can do this by obtaining fixer upper homes that have great location and make sure that you buy them at below the market price. You also have to make certain that your target selling price can be achieved once you compute repair costs and other expenses.
Having sufficient cash on hand is also an important aspect of rehabbing houses. You shouldn't get ahead of yourself and expect to earn at least $100,000 without spending money up front for your bills. Always remember that the amount of money you possess will determine the type of investment property you buy and the quality of repairs you make.
If you think the process of fixing and flipping properties is over once the renovations are done, think again. You have to sell the house, remember? Therefore, you need to have a sound marketing plan to catch the attention of buyers. Let the people know that you are selling a rehabbed property by running an ad on the newspaper or online, as well as by distributing flyers.
Although some rehabbers warn against advertising the property if the repairs are still incomplete, another good way to catch the attention of potential buyers is to prioritize the renovations on the property's exterior. By fixing up the house's walls, roofing, and siding, you are giving passersby a "subtle hint" that you are a rehabber and that you want them to contact you as soon as the repairs are done.
Indeed, being a successful rehabber is not just about putting up a good handyman job on a property. It requires research, a lot of preparation, and a great deal of patience and dedication on the investor's part. Meanwhile, if you want to know more rehabbing tips, you can log on to REIWired.com, a website that features top-notch real estate write-ups and videos.
To become a successful rehabber of fixer upper homes, there is a simple formula that you should always remember: all the repairs you made on the property should significantly raise its market value. However, there is more to rehabbing than refurbishing and beautifying an old house. While doing repairs on the investment property is very important, it is but a single aspect of an elaborate process.
Many real estate investors believe that they earn money the moment they sell the rehabbed property. Experts in the fix and flip business, however, believe otherwise. According to them, you gain profit when you buy the investment property. Therefore, you have to make sure that the house you will buy has marketability even before you fix it.
You can do this by obtaining fixer upper homes that have great location and make sure that you buy them at below the market price. You also have to make certain that your target selling price can be achieved once you compute repair costs and other expenses.
Having sufficient cash on hand is also an important aspect of rehabbing houses. You shouldn't get ahead of yourself and expect to earn at least $100,000 without spending money up front for your bills. Always remember that the amount of money you possess will determine the type of investment property you buy and the quality of repairs you make.
If you think the process of fixing and flipping properties is over once the renovations are done, think again. You have to sell the house, remember? Therefore, you need to have a sound marketing plan to catch the attention of buyers. Let the people know that you are selling a rehabbed property by running an ad on the newspaper or online, as well as by distributing flyers.
Although some rehabbers warn against advertising the property if the repairs are still incomplete, another good way to catch the attention of potential buyers is to prioritize the renovations on the property's exterior. By fixing up the house's walls, roofing, and siding, you are giving passersby a "subtle hint" that you are a rehabber and that you want them to contact you as soon as the repairs are done.
Indeed, being a successful rehabber is not just about putting up a good handyman job on a property. It requires research, a lot of preparation, and a great deal of patience and dedication on the investor's part. Meanwhile, if you want to know more rehabbing tips, you can log on to REIWired.com, a website that features top-notch real estate write-ups and videos.