Wednesday, April 6, 2016

Top Tips & Tricks for Renovating a House

Top Tips & Tricks for Renovating a House

Many auctioned homes are sold to individuals or small businesses who want to renovate a home, wishing to bring change and renewal to an otherwise struggling area of their city. These home are also sold well below their actual assessed value, and need a lot of work before they can become a suitable place for a family to live. As a real estate investor, you will spend a lot of time and money on each property, but you will be rewarded with a significant profit because you were able to buy the homes for such a low price on Bid4Assets.

If you are just beginning in the business of renovating homes, there is plenty you need to know. Small mistakes can cost you a lot of money, and wise decisions will increase the stability of your business. This will allow you to continue work you are passionate about, while contributing to the well-being of the neighborhoods in your city

Don’t get started until you have the cash

Remodeling houses requires a good amount of cash, and this is above and beyond what was spent to purchase the homes. In order to make improvements to each home, you must be able to afford supplies and labor out of pocket. If you don’t have the cash to pay for these expenses upfront, consider partnering with someone who is able to help you fund each project.

Create a well-researched budget

In order to make a profit on the homes you are buying and renovating, be sure you are investing less than the potential resale price. Carefully research the area where you have bought your homes, looking into the average selling price of similar properties. Use the information you have gathered to create a strict budget and make all of your remodeling decisions based on the limits your budget creates.

Build strong connections with professionals you can trust

Even if you plan to do a lot of the work on your own, you must have skilled professionals available to help you with projects that are beyond your skill set or to simply lend a hand when you have too much going on. Begin connecting with contractors, other real estate agents, and vendors who you can trust to give you the best price, and the best work.

Move quickly

The more quickly you move forward with a house remodeling project, the more profit you will make in the long term. This is especially true if you use financing to purchase your homes, since you will be making payments as long a you own the home. When you move quickly, you avoid investing excess money into the home and you make more money in the long run.

Brag about your hard work

When you are ready to sell a house, don’t keep quiet about the time, money, and work you have invested. Advertise every major improvement you have made, making sure potential buyers know about the new HVAC system, the new roof, or the aesthetic upgrade made to the house.

When it comes down to it, remodeling a home is an involved process and it requires a lot of education and research to get started. At Modernize, we encourage homeowners and real estate investors alike to consider the energy efficiency of each home improvement they are making as well. If you are willing to invest in efficient systems, you can use the improvements as a selling point and increase the profits you will make on each home.

This article was written by a third-party company who is not affiliated with Bid4Assets, Inc.  Bid4Assets has not evaluated or endorsed the content in this article. To get more great home tips from Modernize click the link below.