Flipping houses is an investment option that has been gaining a lot of popularity lately.
Florida real estate offers good opportunities for house flippers. Florida’s growing population and availability of many unused houses that deserve a second chance make it the right candidate for the house-flipping market. Rehab and Flip, a Tampa, FL real estate investment company, provides valuable tips for flipping houses.
1. Do not overspend
Investors should consider the ARV (After Repair Value) before finalizing how much to spend on the investment property. ARV is the estimated market value of the property after repairs and renovations. Looking at the market prices of similar houses in the area will give an idea of how much the house would sell. This information should be kept in mind while planning repairs and renovations on the investment property to make it market-ready. The bottom line is that investors should not spend too much more than the ARV.
2. Do a home inspection
It is a good idea to get a home inspection done before buying the property for investment. Firstly, make sure that the property is on habitable land and in a good neighborhood. Also, ensure that the area is not prone to flooding. It is best to avoid houses that have foul odors and too many leaks to fix. Always choose a home that appeals to the buyer’s market. An ideal “2 bath – 3 bedroom” home for a small family will sell quicker than a larger bungalow. A good real estate firm can guide the investors by matching the investor’s budget with the properties available in the market.
3. Review finances
Investors should choose a house that suits their renovation budget. The best is to start small and give the property a good modern facelift to make a quick, profitable sale.
4. Trust the crew and interior designer
A good investor should hire a good crew and interior designer, as it won’t be possible to get everything done on their own. Also, ensure to act as a team and trust the experts. It is best to not unnecessarily micromanage their work.
5. Plan for cost overrun
Home renovations generally tend to run over the budget a bit. Hence, make room for these extra expenses while budgeting the repairs and renovations.
6. Keep an eye on the market
A good investor always keeps an eye on the market to find the right time to sell. It is also not a good idea to keep the investment property on hold for too long.
7. Keep emotions under check
It is common for investors to fall in love with the property after renovation and not want to sell it. However, to stay in the market, it is best to keep personal touches and feelings at bay during renovation.
Why Rehab and Flip?
Rehab and Flip are industry experts at acquiring worn-down, distressed houses and passing them to investors. They have a decade of experience in Florida real estate. The firm has properties that cater to the needs of wholesale investors as well as newbies looking to make a break in real estate.
Call Rehab and Flip today, for the best deals and unparalleled customer reach in Tampa, Florida real estate, at (813) 321-0049.