If you’re new to fix and flip or a seasoned real estate buyer and seller, there’s one thing everyone loves about a good home buy: the value! If a home is priced great – with ultimate features – there’s something for everyone to love about it. But keeping costs low is one of the most critical things when it comes to a successful fix or flip. You want to upgrade it enough that the property becomes a hot sale, but you need to do it strategically and with cost efficiency in mind.
Here are the best renovations you can make to a property (if they’re needed) when it comes down to resale value.
Start in Your Market
You might think getting right to the list of most-wanted features for a home is the best thing to do but nothing trumps going straight to the local market to understand what buyers in that location are looking for. If you compare a list of the most recently sold properties and what features they all have in common, it will be easy to uncover what renovations you should invest in for your fix or flip. Things like extra man caves or patios are nice-to-haves but they most likely won’t motivate a buyer to spend more over something like an updated kitchen or bathroom. Choose wisely as you make your list.
Kitchen and Bath
We already mentioned it above, but these two features are a given in the fix and flip industry. Chances are if you’re looking to attract buyers for a home these are the main areas where they’re going to look for value. Investing in a home that has a fully-updated kitchen with better countertop and flooring and upgraded appliances will likely be an easy sell. Same goes for bathrooms. If they had a choice, no one purposely wants to purchase a bright yellow bathroom from the 60s with tulip wallpaper!
Think Clean and Modern…NOT Trendy
Trendy might sell to a certain buyer but it’s not likely to bring you the quick sales you hoped for. Even if “farmhouse” is something many people are into, you are going to limit your selling potential greatly if you think about personal color and style choices or anything that’s trendy online. It’s better to keep things open, clean, and crisp when it comes to paint color and staging options. Remember, you’re trying to sell a house to someone else, not to you.
Interested in getting into the Fix and Flip Market? Start HERE and get approved for an equity-based loan with Sachem Lending.