So you bought a house for the purpose of selling it? Here are our top 6 tips for selling a house soon after buying.
What is Flipping?
For starters, let’s talk about why you want to sell. Flipping is when you buy a home for a low cost only to turn around and sell it for more and gain a profit. In order to do so, you’ll probably need to put some work into the home. There are secondary reasons for selling a house soon after buying which include a death in the family or a job move but, for the sake of this article, we’ll focus on flipping.
Here are the tips for Selling a House Soon After Buying
Assess the home
The condition of the home will determine how much work you’ll need to do in order to get it ready to sell. Starting from the curb, grab your clipboard and walk through every square inch of the property. Make a punch list of repairs and cosmetic improvements that come to mind. Prioritize these by necessity, followed by cosmetic items that take little to no cost to accomplish but will add to the value or appeal of the home. Using your punch list, write an estimated cost, time frame and resources needed next to each line item.
Make a timeline and budget
Once you have a list of the items that need repair, or a facelift, you can start working on your timeline and create a budget. Most experts suggest a 60-90 day turn-around goal to get your home back on the market. Additionally, you want to make a profit. Create a budget that allows for that. According to Realtor.com, 10-20% is an ideal profit. Always over-budget for supplies and contracting fees as renovations rarely go as planned. Know your spending cap and commit to not go over that amount. If you hire out any of the work, be sure to consider that the timelines of others may not be your timeline. Be sure to get in writing the costs and timeline quoted. Now it’s time to get to work!
Make repairs and renovations
Unless you’re an expert in the field, you’ll want to hire out any structural, plumbing or electrical work. The last thing you want is a plumbing project gone bad on the eve of your first showing because the youtube video you watched promised you could replace the toilet in less than 30 minutes. Be wise in what projects you take on yourself.
Paint can do a lot for a home and it is one of the most cost-effective ways to improve the overall aesthetic. You’ll want to replace all bright and outlandish colors with warm neutrals like beige and cream. Look for areas that need a touch up like the bathrooms and kitchen. Restaining a stair banister is an inexpensive and simple way to breathe beauty back into a home.
Flooring is also a relatively inexpensive way to improve the overall look of a home. Invest in some quality but inexpensive wood laminate in place of carpet.
Do your research.
As you do repairs and renovate the home, take note of what features are “must-haves” based on the neighborhood or community demographic in which the home resides. For example, if the neighborhood is big on being energy efficient, you may want to make your big investment in windows. Ask yourself: “What are the selling points for this particular neighborhood?” It could be a particular type of kitchen counter-top or a walk in closet or a specific type of fence or garage door. Determine that one thing that buyers are looking for and don’t be afraid to spend a little extra to provide it.
Work on the Yard
Curb appeal is huge. Take time to make sure the lawn is properly manicured. This could be as easy as making sure it is mowed and watered regularly. Invest in a few bushes or topiaries and fresh flowers to make the yard look appealing to the eye. In addition, take time to decorate the front entryway. You want prospective clients to feel as if they’ve made it home. Check out this article for more tips on how to improve your curb appeal.
Flipping homes can be a very profitable and enjoyable process if you are willing to roll up your sleeves and put in the work. If, however, you find out that you are a little over your head, Ben Buys Indy Houses is ready to buy homes in AS-IS condition and can take this fixer upper off your hands. Ben is an accredited Indianapolis Home Buyer. We’d love to be here for you when the time is right. Check out what one of our clients had to say about his experience with us!