When you purchase a fix and flip property, there are certain types of renovation projects you should focus on to increase the value of the property and maximize your profits. Fixing and flipping properties require a lot of resources including time, money and energy.
Therefore, in this article we’ve highlighted the most important aspects of the property for you to allocate your resources to get the biggest bang for your buck.
A New Front Door
Is extremely important because this is the first thing a potential buyer sees when he/she is approaching the property and curb appeal is everything. This can be the difference between someone entering the property and not even wanting to go inside. A new front door adds character to the property and just by adding a new front door you can add approximately $1200.00 more to the resale value.
Are considered the most important upgrades of the entire property because it’s usually the most expensive. Having an updated kitchen increases the marketability of the property and also the price. Adding new appliances to your newly renovated kitchen is a great way to attract potential buyers and seal the deal.
Is another very important aspect of remodeling your fix and flip property. Bathroom remodeling may consist of changing out the vanity, purchasing new toilets, removing and replacing the tubs, re-tiling or sometimes a complete gutting of the bathroom. If you’re lucky you may only have to do a few changes to the bathroom but if you’re not these costs can add up.
Are ideal to home buyers especially as more and more millennials are moving back in with their parents these days. The basement of the property can become additional living space for kids, grandparents or even a “man cave” for dads. So, having a finished basement is an additional benefit when trying to flip a property.
24 Renovation Projects To Avoid In Your Fix and Flip
Now that you have a solid idea of the types of renovation projects you should consider to increase the value of your fix and flip property, let’s look at the renovation projects you should avoid at all cost.
- Investing In High-End Features
- Homes With Roofing Issues
- Using Expensive Hardwood And Other Flooring Material
- Using Colors That Are Not Attractive
- Making The House The Best Looking In The Neighborhood
- Over Emphasis On The Landscape
- Upgrades That Are Not Visible
- Extra Features In The Living Room
- Installing Flashy Appliances
- Adding A Steam Room Spyglass Lending
- Busy & Overwhelming Finishes
- Investing In A Theater Room
- Buying New Cabinets
- Buying A Home With Damaged Siding
- Too Many Fitting And Fixtures
- Homes With Major Structural Problems
- Using Granite Counter Tops Instead Of Laminate
- Buying A Property On A Road With A Lot Of Traffic
- Buying A Property With A Poor Design
- Adding A Home Office
- Forgetting The 80/20 Rule
- Investing In A Swimming Pool
- Taking On Projects You Don’t Know How To Do
- Designing Based On Your Personal Taste
10 Best States To Flip Properties In The U.S.
- South Dakota
- North Carolina
The Right Renovation Projects Leads To Higher Return On Investment
Fixing and flipping properties can be a very rewarding experience and becoming successful at it can increase your income and eventually your wealth. There are no easy ways to go about doing this and there are no short-cuts. You must have a clear idea of all the cost associated with each flip and timeframe to complete them. So, as you are considering your next investment opportunity you should also be considering your financing options as well.