As a first-time homebuyer looking to invest in real estate, how do you know if a home is flip worthy? That’s exactly what we asked our 19,000 local real estate professionals. No one knows the Colorado real estate market better than this network. Here’s what they said.
It is so important to work with a real estate agent who is familiar with the neighborhood you are interested in. In order to determine the potential value of a flipped property, your agent can help you understand the market in your desiredneighborhood and all the neighborhood amenities that will make for a great return on investment.
The Real Estate Brokers of Colorado
Don’t take a risk on your first investment property. Find a property in a neighborhood that has solid interest from buyers/tenants and stay away from structural issues, bad HOA’s and floor plan problems. Flip worthy homes should have dated features that are easy to replace (i.e. tile, bathrooms, countertops, backsplashes, ect).
Christina Freyer Walker
Colorado & Company Real Estate
You must gauge the desirability of the neighborhood, the current average home price, the amount and nature of work needed to bring the investment property to a condition that it would sell at a higher price point. Once you have done your homework, you need to beware over-improving and budget for the inevitable surprise you will uncover in renovating and updating an investment property.
Luxury Homes & Estates, LLC
The bones of a home are the most important consideration. Interior walls can sometimes be fixed but the foundation and exterior walls need to be stable and in good condition. Find a good inspector and decide if the money you will need to put into the home will result in a profit. A good realtor can run comps to give the buyer a good idea of what the home may sell for when and if it is in good shape.
If you’re in the market for a new home, we encourage you to contact one of these experienced professionals. If you like what you read, like us on Facebook so you can always stay ahead of curve with expert, timely insights to help you buy or sell your home.