It’s time to continue on with Part 2 of my series discussing tips on ensuring house flipping is profitable and not risky.
Tip 4: Keep Updated On Current Market And Design Trends.
Current local and universal trends help house flippers know where the biggest bang is for their investment dollars.
What design trends are popular at the time? What design trends are expected in the price range the house will be sold? How do these additions change the character of the home?
For example, a more valuable home is typically expected to have granite countertops and quality flooring. On the other hand, such additions may never offer a return on less prestigious homes at lower resale value.
Another caveat to remember is that people expect stellar bathrooms and kitchens in most cases. Updated kitchens and bathrooms are most always the wisest place to spend the bulk of renovation dollars for significant and immediate returns.
Tip 5: See What The Experts Are Doing.
In considering any flip, investors should ensure they have a firm grip on what it takes to be successful. Books are fine, but the real insider knowledge comes from training seminars. Such seminars allow flippers to learn directly from the pros who’ve built success at flipping houses. Seminars on house flipping can cover everything from the best way to manage contractors to how to get the renovated property sold quickly. It’s a goldmine of knowledge.
Tip 6: Ensure Organizational Skills Are On Point.
Successful house flippers all have one very important attribute – excellent time management. Every single unproductive moment is a dollar going into someone else’s pocket.
Time management isn’t about micromanaging. It’s about setting a schedule to make every second of every single day count. Why sit on a job site running smoothly watching work get done, for example, when a flipper could be searching out buyers and investors, lining up the next phase of the project, or doing market research on their next project?
Tip 7: Practice Effective And Efficient Communication.
• Investors
• Site managers
• Contractors
• Subcontractors
• Vendors
• Suppliers
• Inspectors
• Interior designers
• Real estate agents
• Potential buyers
Flipping a house can have a lot of balls juggling at one time. The flipper must have excellent communication and organizational skills to keep everything running smoothly and on schedule.
In addition to communication needing to be effective and efficient, it also needs to be trustworthy and upfront. Remember, reputation travels quickly in the house flipping circle, and once a bad one is developed from unethical or untrustworthy business practices, it can be a death sentence to any future house flipping endeavors.
In conclusion, flippers can see that this is an exciting side hustle with the potential for excellent profits. There’s a lot that goes into that formula, though. Use the above seven tips to help ensure house flipping doesn’t involve unnecessary risk and stays profitable.