Real estate will always be one of the best ways to invest and generate income. When figuring how to get the best bang for your buck, these are some things to remember.
Stick to Homes With Broad Appeal
It might feel thrilling to tackle a unique house with a quirky design, but when it’s time to sell, you’ve likely reduced your pool of interested buyers. Remember that the time you spend trying to find a buyer and close essentially equates to lost money, as you could be spending that time working on your next property. Stick to what conventionally moves in your market to get a quick turnaround.
Focus on the Right Repairs
Cosmetic fixes can be a cheap and easy way to attract many buyers, but they will not keep bright and qualified purchasers from checking for deeper problems. The money spent on professional plumbing assistance or electrical maintenance Van Buren AR can reap significant gains when it comes time to sell. As far as the surface items, your top priority should be curb appeal. Home shoppers tend to use their imagination more on interior decorating and are less likely to settle for large exterior projects.
Use the 70% Rule
This general rule of thumb states that you should spend 70% of the after-repair value (ARV) minus the cost of maintenance. Following this will keep you from sinking too much money into a property and guide you on which homes to avoid.
Research the Local Market
You will be better equipped to run your game plan when you have an excellent grasp of how renovated homes have done in your area. Keep an eye for where commerce and construction are planned to see where communities are headed and where values are rising.
If you put these points into practice, you can count on making more on your flipped properties.