Now that you're retired, you're looking to put your do-it-yourself skills to good use, add in your business savvy, and make some extra money. In that case, the house flipping business might be just right for you. But you'll need to plan carefully and proceed meticulously as you start your first renovation project. Read on for some tips and tricks to help you dive in.
Find Your First Project
Your first step is to find your first project house. Contact a local real estate expert like Realtor Emil Ratti to coordinate your house hunt. Check out a variety of properties, some requiring more work than others, to get a feel for how much work you want to do. You should also think about how much you want to spend, the size of house you want for your first project, and the potential resale value of homes in particular neighborhoods.
Get Your Funding
When you've found the right house, you'll need to line up your funding. This may mean taking out a mortgage for the new property, and if so, be sure you're pre-approved before you start your house hunt. Borrow enough money to cover renovations as well as purchase price, and leave yourself some wiggle room in your budget for cost overruns and unexpected repairs.
Renovate for Value
Now it's time for the fun to begin. When the house is finally yours, determine which renovations will add the most value. You might focus on the kitchen and bathrooms, for instance, for they tend to provide plenty of return. They're expensive, though, so plan accordingly. You may also want to reconfigure the home's floor plan, especially if the place is currently choppy and has small rooms.
After you've finished with the major renovations on your project house, you should spend some time on the small touches that will make the property shine. Install new flooring, for instance, or freshen up the home's paint inside and out. Update light fixtures and window coverings, and even add some creative built-ins for a unique feature.
Selling the Property
When the house is all renovated and looking gorgeous, you have a decision to make. You can rent it out, sell it, or choose to live in it yourself. If you decide to sell the property, carefully calculate the asking price to make sure you get everything you put in plus a profit. Again, you'll probably want to work with a real estate agent to market the home, and be sure to play up the renovations you've accomplished, complete with before and after pictures.
Hire Some Employees
Finally, as you begin working on your second project and beyond, you may find yourself needing some extra help, especially if you decide to rent out some of your properties. In that case, you'll probably want to hire a couple of employees to help with rental upkeep and organization. Make sure you have an up-to-date system in place dedicated to running your payroll. Look for a program that provides scheduling, direct deposit, and tax filing options.
Flip Those Houses
With your new business in place, you can focus on renovating and flipping houses and making money. Get started today by checking out Realtor Emil Ratti's website to look for your first project.
Bret Engle | DiyGuys.net