Posts

image of fix and flip for sale

How to Market Your Fix & Flip to Sell Fast!

You’ve got your fix and flipped all fixed — so what about the flip? With a fix and flip, you want to sell as fast as possible. But that’s the rub, isn’t it? How do you sell fast? You can’t control the market. But you can control a lot of elements of your listing.

1. Price your fix and flip properly.

The worst thing that can kill a fix and flip is pricing it too high. Look at the comparable properties and think about your financial situation. If you’re going to be losing a lot of money holding onto the property for an extra couple of months, it may be better to discount the property now and sell it right away. A lot of fast-talking isn’t going to make up for the fact that you’ve priced yourself out of the market. And even a smooth operator isn’t going to be able to defeat most bank appraisals. Price correctly and fight less.

Of course, there’s always the chance someone will fall in love with a property priced over the market; but that’s a gamble. It’s best used when a property has something very unique about it.

2. Use your media wisely.

Video walkthroughs are practically expected now. Spend the time to get a professional photographer and videographer. Have them do video walkthroughs or even 3D walkthroughs. Stage the property nicely. Many people look online before buying a home. A lot of them aren’t even using a real estate agent; they just want to contact you directly after seeing the home. Don’t bother trying to obscure things about the property, such as making it look bigger with a fish-eye lens; that’s a waste of your time and theirs. You want the property to shine, not be misrepresented.

3. Invest in content marketing.

A blog and social media account is a great way to start reaching out to people. People who are looking to purchase a home in a year might follow you today, but that can secure a sale in a year. The more people you have exposure to, the more likely you already have a buyer watching. And content marketing pays for itself over time; though it may take some time and money to build it up now, it’s going to start bringing you in more people as you scale.

4. Build your following.

The more followers you have, the more exposure you have. A lot of people ignore followers because it’s not likely that they’re going to build a house. But build a following of real estate agents and professionals, and you’ll be in direct contact with people who are looking to buy properties. You can network with real estate professionals in your area and find out more about what their clients are looking for. And that’s only going to help you in future, because it also means that your renovations are going to be more applicable to the desires of the market. The more you can connect with people and interact with them, the more ammunition you’ll have.

What about showings? The truth is that open houses and scheduled showings really don’t matter as much as they once did. Often, people already kind of know what property they want (from all their research online) before they even take a look at it. So, don’t rely on the traditional methods to help you sell your fix and flip. You’ll need to be using the new media and reaching out to a broader audience if you want to sell.

What House Flipping Mistakes Are Costing You Money?

According to a study compiled by ATTOM DATA SOLUTIONS, the house flipping report released in 2020 showed the highest rise in the industry since the second quarter of 2006. As more and more entrepreneurial-minded investors turn to house flipping to pave their way toward financial freedom, it becomes increasingly important to avoid some of the most common house flipping mistakes.

We’ve compiled four key house flipping mistakes that fix-and-flip enthusiasts around the country are commonly falling prey to. With knowledge comes power as well as a larger Return-on-Investment!

Understand Your Budget + Renovation Requirements

First and foremost, house flippers need to approach each project with the right mindset by understanding their budget as well as the renovation requirements in front of them. A common mishap that newcomers and veterans alike will experience, underestimating your renovation budget can lead to a loss on your property and a blow to your morale.

Work with a budget-repair worksheet to properly track the necessary renovations for the flip to become successful. Consider hiring a professional home inspector to look over the property for the most accurate information.

Common Ways to Blow a Budget: A Leaky Foundation, Termite Infestation, Asbestos.

Avoid Overpaying For a Property You ‘Like’

House flipping professionals need to quickly learn to divorce their feelings from their work. Buying homes can become addictive, and it is easy to create an attachment to them. However, these attachments can hurt our bottom line by influencing our willingness to overpay for a property that we enjoy.

Aspiring house flipping professionals will learn early on to avoid letting emotions cloud their judgement. Stick to raw numbers offered by appraisers and home inspectors. There are always new opportunities on the horizon so long as we are smart with our investments.

Lackluster Property Location

So you’ve found a gorgeous home with pristine wooden floors, an extra bathroom, and a sprawling backyard. The only problem? It’s in the middle of an area that is seeing depreciating home prices. The wrong location can quickly derail a property investment. Before signing on the dotted line regarding a property purchase, make sure to take the surrounding areas into account.

Talk with a realtor or search up comparable sales in the area to see how much a property is being flipped for.  Look at how long houses sit on the market, how close the nearest grocery store is, and the proximity that a home is in relation to a school. Every little thing matters.

Avoid ‘Over Improving’ a House Flip

Finally, house flipping pros need to learn early on that they can’t over-improve every property they invest in. Over-improving properties can include adding amenities, upgrades, and materials that don’t mesh with the value of the home.

Instead of focusing on flourishes of wealth, make sure your rehab has all the necessities upgraded to compliance with modern standards. An improved AC system will sell your home faster than a granite countertop.

Budget For Success With a Loan From Hard Money Lenders, AZ

When it comes time to find the hard money loan for your next house flipping project, make sure to turn to a team that you can trust to get the job done right. Hard Money Lenders AZ is the top-rated Arizona hard money lender on Google and the #1 destination for Arizona-based fix-and-flip housing projects.

Contact Hanson Capital at your convenience on their 24/7 line to get funded, today!

How Arizona Fix and Flip Loans Work

Popular shows like Flip or Flop and Fixer Upper are viewed by millions of people each day. After just a few episodes, it is evident that in the pursuit to make a profit, “flippers” do not always know what is lurking behind the walls and in the crawl spaces of the properties they buy. In order to mitigate these types of risks, it is best to devise a business plan. This plan should always ensure that enough money is being borrowed to cover the costs of any necessary renovations.

In order to invest in a fix and flip that is worth your time and money, you must first determine if it can be bought below market value. To increase the value of the property, you would then perform a rehab that consists of making improvements and repairs. Once the updates and repairs have been made, the goal would be to sell the property at a profit.

With the market full of great opportunities for fix and flip projects in Arizona, many investors look to an Arizona FIX AND FLIP LOAN. The loan does not follow customary financing and the funds received are secured by the value of the property. The loan is financed using the foreclosure of the property as collateral.

A fix and flip starts with finding the property you want to invest in. From there, you start devising a plan on how you will finance the purchase and rehab costs. This will include financing for the purchase price of the property, the holding cost, the cost needed to rehab the property, and any closing cost. Due to not meeting FHA guidelines, Fix and Flip loans do not qualify for traditional financing, and rarely do banks take part in such loans.

Unfortunately, with the level of risk involved and the speedy turn around time, you should expect to pay higher interest rates on Fix and Flip loans.

Numerous options are available to acquire an Arizona FIX AND FLIP loan, but most property investors know that the easiest and most straightforward route is to find a hard money lender. Arizona hard money lenders are individuals or private investors that know your success means translates into their success as well. With lower qualifications and a quick approval and funding process, many people have found success through a hard money lender.

The good thing about an Arizona fix and flip investment is that you don’t have to have an excellent credit score or even a down payment. With a good business plan, a carefully-planned strategy, determination, and good work ethics, you can take advantage of the great fix and flip market in Arizona. Contact Barrett Financial Group now to learn more about Fix and Flip hard loans.