If you’re reading this, you probably already know what the term flipping a house means. If you’re getting into taking out a flip loan and purchasing a house to flip, then you need to know the definition before you go any further. In essence, flipping a house is a slang term for buying a home, then fixing it up to resell and recoup your money, and ideally make a whole lot more money than you put into the house on the sale.
One of the biggest problems that people who flip houses have is knowing what repairs to spend their fix and flip loans in Oregon will bring them the best return for the money spent. The loan you get to repair and flip a home is limited to what you’re allowed to borrow, so you’re going to want to make the most of the money you have since you have to pay the loan back. In this article, you’ll find a few of the most common upgrades for flip projects so that you’ll come out on top when you go to sell.
It is estimated that you’ll recoup around 70% of your investment if you renovate the attic and turn it into a livable room or can be used for any reason. Any private money lender or real estate agent will tell you that potential home buyers are constantly looking for a room to grow in the home they’re considering. Unfortunately, renovating an attic room is also one of the most expensive renovations on this list as well, with the price averaging well above $50,000 to complete. However, you can turn an attic into an extra bedroom, a media room, a playroom, or even an office space; the choice is up to the buyer; you’re just providing the space for it to be done. Any of these will help you make a profit on your flip and then some.
Water Filtration System
Who doesn’t want clean water running through their home? Water filtration systems for home have become extremely popular over the last few years, especially with the shape the environment is in. From pesticides to hard water and from the viruses that some water can carry to the heavy metals found in well water, many people are turning to water filtration systems to ensure their water is safe and rust-free for the families they love and want to keep safe.
Just the fact that a potential buyer can count on good water quality and not have to have a filtration system installed on their own can be a selling point when you’re trying to flip a home. No one wants to buy a home and then find out it has rust in the water or a heavy chlorine smell whenever a faucet is turned on, so installing a water system and getting rid of contaminants before the home is sold is a solid investment in your part.
Another way to get the most use out of your flip loan is by painting the exterior and interior of the home you’re hoping to flip. Paint is an easy upgrade to do, and it’s inexpensive, making it the perfect renovation. It’s best to use earth-tones in a home you’re planning on flipping, because it makes it easier for the potential buyer to see themselves living in the home.
These are just a few of the most common renovations done when you’ve purchased a house to flip. Remember, the renovations you do should help you make your investment back, and then some, not make you lose money when the sale goes through.