House Flipping Basics

If you're like me you see the shows and the HUGE returns people get based off investment properties. Here is a list of things to consider when buying a property to flip.

1. Crunch the Numbers: 

Most of the time you're investment is going to require some work. Know how much you plan to spend and add that into your purchase price. For instance, if you buy a home for $100,000 and put in $50,000 to get it ready to resell you must be able to sell it for at least $150,000 just to break even. Be sure that comparable homes are within the price rage you're needing for a return. As a real estate agent I can help you with that by running a market analysis. You can request a free one here. Also add the interest cost of the loan (assuming you need one), utilities, property taxes, etc. for at least a year to your price. These will be necessary for while your fixing it up.

2. Know the Area:

Become an expert on the area. Know the schools, know the shopping, know the community. Each neighborhood will vary on price and desire. Be up-to-date on the "up and coming areas." The more you know about a specific area the better prepared you will be. 

3. Keep the Buyer in Mind:

Remember this is not a home for you, its for a buyer. Have an idea what people are typically looking for and create that for them. If this is a new development with good schools, your buyer is a young family. Make sure there are enough bedrooms and bathrooms for a family with children. Finish the basement if possible. Mom and Dad probably want their own bathroom. Whatever the buyer market make the home appealing to them.

4. Don't Overprice:

When you finish is easy to see the transformation and take pride in your hard work. You may look back and remember the nasty bathroom you tore out and turned into a fresh oasis. However, your buyer is not seeing it that way. They are comparing the home the way it is now with others on the market. You need to price the home competitively for the current market. 

5. Find a Good Realtor:

Find someone who knows the area, knows the market, and understands how to invest and flip. The more experts you have the more successful your renovations will be.  Having a realtor that is on the ball will ensure you have opportunities for great buys, great financing, and great return.

References:

http://www.cnbc.com/2015/05/27/house-flipping-5-tips-for-big-returns.html

Salt Lake Ranks in Top 10 Best Places to Live

Salt Lake City has once again been placed in the top ten places to live according to Livability. 

Anyone who lives in Salt Lake or has visited cannot deny its stunning beauty and access to recreational activities. There is so much to do no matter where your interests lie. From Sight seeing to hiking to shopping Salt Lake has it all. There is a rich history of the Latter day Saint community and out of towners can visit temple square and all it has to offer.  To see who else made the list, the full article can be seen here. 

This is great news for those of us who live in or near the city and are looking to sell. There is so much that this town has to offer and buyers are looking to settle in such a great place. If you are considering selling your home or would like a free market analysis you can contact me. 

Salt Lake & Ogden make the top 10!

On Tuesday Zillow made predictions of the top 10 housing markets for 2016. Utah was on the list not just once, but twice. 

Others on the list were Boise, Sacramento, Seattle, Denver, Dallas, and Portland just to name a few. According to Chief Economist Dr. Svenja Gudell. "As the job market continues to hum and opportunity becomes more widespread, the best housing markets are no longer limited to the coasts or one-industry tech towns. This year's hottest markets have something for everyone, whether they're looking for somewhere to raise a family or start their career." 

If you would like to read the full article you can find it here.

So if you are considering buying or selling now may be the prefect time. Feel free to contact me with any questions you might have. I would be happy to help you out!