Posts Tagged: ‘rehabbing’

Tips for Beginners on Rehabbing a Home

January 20, 2012 Posted by admin

We tend to get over excited on new things. We want to drive a new sedan for a whole day immediately after we bought it; use a personal computer for hours after we get out of the box; always look at the time in a new wristwatch. The same thing happens when we are rehabbing a home for the first time.

When too much excitement sets in, we tend to think in haste and lose focus. That is why it is important that we try concentrate, have a plan, and follow this plan. To better help you with your first rehab, here are a few tips you might find useful.

  • Hire a professional home inspector. Unless you are a licensed home inspector, it’s better to hire a professional for your first project. A home inspector is a preventive measure against unexpected repairs and expenses. He will be able to give you a clearer view of the house and its state and give you opinion on whether it will take a fortune to rehab that property. He can save you from rehabbing a home that will require you to make major repairs that are actually not that obvious to the common eye. An example of these is the movement of a house’s foundation. What’s a few hundred dollars for the inspector if that’s what it takes to avoid buying a bad property to fix and flip?
  • Set a schedule. Before you get on with the gutting of the property, make sure you have an idea on how long it will take you to repair and improve that house. A schedule will give you an idea where you are in the project and if you will be able to achieve your target on time. If you have a contractor, sit down with him and set a target date if completion. In between the first and the last days of repairs, make sure you have intermediate goals. What other rehabbers do is pay contractors after each goal they accomplish. You can also use this system.
  • Take note of personal preferences. When we are rehabbing a home, it is natural that we incorporate personal preferences. However, an excess of these preferences can lead to a ballooned repair budget, which then translates to less profit. Don’t forget that you will not live in that property. Therefore, there’s no need to satisfy all your wants. Do not imagine it as your dream house. Otherwise, you will over spend on it without you realizing it.

Rehabbing a home can be fun and profitable at the same time. Just make sure you are armed with the right knowledge to avoid making terrible mistakes. Visit rehab-real-estate.com today to learn more on how to fix and flip houses.

Article Source:http://www.articlesbase.com/investing-articles/tips-for-beginners-on-rehabbing-a-home-1615668.html

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Rehabbing A Home For Bigger Profits

January 12, 2012 Posted by admin

Rehabbing houses is one of the hottest trends in real estate today. As compared to other real estate venture, rehabbing a home requires a relatively lower capital. The idea is very simple. You purchase a home sold at a good value, you rehab the property and then sell it at a much profitable price. In this article, we will share with you tips on how to rehab houses and maximize your profits.

  1. Find the right property – Finding the perfect property to rehab is very important in determining how much profits you will get in the end. The financial meltdown has resulted to hundreds of houses on foreclosure. Take advantage of this situation and find one sold at the best value.
  2. Choose a property, which requires minimal remodelling. A lot of experienced rehabbers say that a good property for rehab is one which needs minimal renovation. If you can find one which merely requires cosmetic rehabbing, the better. Cosmetic rehabbing includes repainting, flooring repair, quick ceiling fixes and the like. If you plan to rehab a home which involves structural repairs, be ready for the risks that come with it. Such repair can be very costly thus, reducing your profit potential for the project.
  3. Find the perfect timing. Rehabbing a home is also about finding the right time for everything – the right time to purchase the property and the right time to sell it. Timing is very important. While there are a lot of homes facing foreclosure, take this as the perfect timing to scout for properties which may be a good candidate for rehabbing. Some investors buy properties one at a time. Others buy by bunch. This will depend on how much money you have for capital.
  4. Be the best sales person you can be. To be a good sales person, you need to have a huge network. If you are a beginner, join REI clubs. Your contacts will be able to coach you based on their first-hand experience. Aside from expanding your network, you also need to have a witty knack for advertising and marketing. How do you advertise your property? Or, will you hold an open house instead?

Rehabbing a home becomes easier as you go along. As you progress from one project to another, the more that management becomes lighter. If you want to know more tips on rehabbing houses or on real estate in general, go to www.rehab-real-estate.com.

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What Repairs to Do First When Rehabbing Houses

January 6, 2012 Posted by admin

Taking the first step, they say, is always the heaviest. But once you get the hang of it, once the momentum is there, the remaining steps will be lighters and easier. Rehabbers are facing the same problem. Most of those who are inexperienced scratch their heads on what to do first. Rehabbing houses could be a headache if you don’t know where to start. To save you from all that stress, here’s a lose list of what repairs you must do first when rehabbing houses.

First thing you should do is create a timeline for repairs. If you have a contractor, consult him and set a deadline for repairs. Will the repairs and improvement be completed in three weeks? A month? Once this timeline is in plane, make to finish the project before or on the deadline.

When it comes to the actual rehabbing, you must address problems that demand immediate solutions first. If you are fixing and flipping a property in a state with ample rain all year round, holes on the roof are problems you must swiftly address. You don’t want further damage on the interior of the property due to leaks. This is also for the safety of your crew. Accidents can happen when the house is slippery and wet. Another example is termite infestation. If a portion of the wall is already being eaten up by these pests, take out that part to prevent other parts from being infected as well.

Next comes the gutting. This is the stage where you clean the property. You take out anything that can hinder you and your team from properly rehabbing that house. Those old cabinets will have to go. All appliances must be taken out of the property. If these are still working, you can sell them to surplus shops or neighbors.  The proceeds will go to your repair budget. If the old paint needs to be scraped, then it will go as well.

Major repairs come next. Remember, rehabbing houses means you are operating with a tight budget. That means you must prioritize repairs that will eat up most of your money. Structural repairs, although shunned by rehabbers, must be done first. Cosmetic repairs will then follow. Correction of a house’s foundation, total roof replacement, and rebuilding of a wall or beam are considered structural repairs.

The HVAC (heating, ventilating, and air conditioning) will be carried out next. Plumbing and electrical systems must be updated if necessary. Cosmetic repairs or beautifying improvements will follow. Installing new lighting fixtures, applying paint, and replacing doorknobs are examples of cosmetic repairs. Want to learn more about rehabbing houses? Go to rehab-real-estate.com today.

REI Wired is the pinnacle of real estate education by serving high-quality content through high-quality videos. Sign up only takes a minute and you can start right away! Learn More

Article Source:http://www.articlesbase.com/investing-articles/what-repairs-to-do-first-when-rehabbing-houses-1576699.html

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Rehabbing Made More Rewarding

December 22, 2011 Posted by admin

Now more than ever, rehabbing houses is thriving. Despite the recession and the ill effects it brought to the economy, rehabbing continues to attract investors. Just what is it with this form of real estate investing that investors are crazy about? Read on to know.

There are many reasons why investors are venturing into the business. The main reason for this is the rare opportunity to buy properties at bargain prices. Because the economy is still recovering from the ravage of the recession, property prices are still down. For investors, this means a chance to buy more properties with less cash. It’s a chance to save on the capital.

A lot of properties are being sold at very economical prices nowadays. Fixer uppers, which are the usual projects of those in the rehabbing business, are cheap. These properties need repair, which can range from cosmetic to structural. A lot of home owners are opting to sell their homes for under-the-market prices instead of shelling out money for repairs. They then choose to move into a smaller property or just rent an apartment, at least for the mean time.

Repossessed properties are also abundant nowadays. Banks and other lenders are repossessing more homes as more people struggle to meet their financial obligations. Those who want to prevent their houses from being foreclosed are selling them through a short sale. Under this event, the property must be sold immediately, before the deadline set by banks expires.  Owners usually accept the first offer they receive, even if it is below the asking price.

Some properties have already undergone the foreclosure are now swamping bank inventories. Known as bank owned homes, these properties are also affordable as all their liens have already been cleared. These houses are also good for rehabbing as a lot of them are in a good condition. That means you won’t spend much for repairs.

Rehabbing is also a good prospect because a lot of buyers are looking for homes. Even buyers are taking advantage of the current situation. They know houses are selling cheap. You can cash in on this kind of mentality by flipping fixer upper homes. Rehab these undervalued properties and sell them to scores of buyers who want to realize their America Dream of home ownership.

Rehab Real Estate is your perfect guide to the exciting and lucrative world of real estate investing. Whether you’re into rehabbing houses, property investment buying, or fix and flip, we’ll teach you everything you need to know so that you’ll earn MAXIMUM PROFIT in each and every deal.

Article Source:http://www.articlesbase.com/investing-articles/rehabbing-made-more-rewarding-1540460.html

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The Essentials of Rehabbing Houses

November 14, 2011 Posted by admin

Did you know that rehabbing houses can make your dreams come true? Yup, you heard it right! The business of fixing and flipping properties is one of the most lucrative industries in the world of real estate. With a dose of patience, hard work, and dedication, you can earn big bucks in this type of real estate investing without having the need to obtain a Ph.D. from some fancy university.

As a rehabber, one of your main tasks is to find a property that you will renovate. To do this, you can search property listings or look for homeowners who are eager to get rid of their properties. Also known as “motivated home sellers,” these people are those who are in a hurry to earn cash because they could be facing foreclosures, divorce, or moving to a new city or state. You can get bigger discounts if you will buy an investment property from motivated home sellers since most of them don’t usually ask for a higher selling price.

Next is financing. You have to make sure that you have a considerable amount of cash on hand when rehabbing houses. To obtain financing, you can either apply for bank loans from traditional lenders, such as banks and mortgage unions, or ask the assistance of hard money lenders.

Hard money loans are asset-based, meaning private lenders base their decision to approve a loan on the value of a property, which is being offered as collateral. So if you have trouble securing a loan because of your low credit score, you can definitely ask these private lenders to help you out.

When renovating a property, you can either hire professional contractors or do the repairs on your own. Many investors, especially those who are skilled at handyman projects, don’t seek professional help in order to save money. However, most rehabbing experts warn against doing the repairs by yourself because it could take too much time and effort. In addition, you can’t be sure if the renovations would turn up okay.

One of the most important things to remember when doing fix and flip projects is to create a budget and a timetable. Such a strategy can help you avoid spending too much time and money on the property. It can also help ensure that you’re rehabbing business will run smoothly.

If you want to better understand the business of buying and fixing properties for profit, visit REIWired.com. The website is home to valuable real estate write-ups and videos that can boost your fixing and flipping skills.

Article Source:http://www.articlesbase.com/investing-articles/the-essentials-of-rehabbing-houses-1399819.html

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Tips and Hints on Rehabbing Properties

November 13, 2011 Posted by admin

One of the easiest ways to climb the financial ladder is through rehabbing houses. The business of buying and selling properties for profit is considered a lucrative industry nowadays because despite the ongoing economic downturn, many home rehabbers were still able to earn huge amounts of money.

If you are planning to fix and flip houses to earn money for you and your loved ones, you should choose investment properties that require small renovations and little cosmetic work. Such a move can help minimize your expenses because you don’t need to allocate more funds just to make a fixer upper home look brand new. In addition, sprucing up such a property takes only a small amount of time so you don’t have to wait that long to find your next rehabbing project.

An example of such investment properties is a real estate owned home or REO. Also known as bank owned properties, REOs are houses repossessed by banks and other lending institutions after homeowners failed to settle their mortgages and other payments. These properties are in relatively good condition because most banks and lenders have a special department whose main task is to look after real estate owned properties. If you can’t find a house that needs minimal repair work, however, don’t be afraid to invest your money in an ugly house that has great location. Always remember that location is vital in real estate investing because a house’s proximity to major points of interest in a town or city can boost its selling point.

Securing financing is also a vital aspect of rehabbing houses. You have to make sure that you have a considerable amount of ready money on hand so you can easily finance your fix and flip project. However, you have to create a spending plan or budget so you can control the amount of cash the goes into the property.

To ensure your success in the real estate investing business, you have to avoid pitfalls that will negatively affect your career as an investor. Therefore, you should continue learning new skills and acquiring new knowledge when it comes to investing in real estate. By equipping yourself with the right information, you will be able to spot problems and complications long before they come your way.

For your real estate education needs, log on to REIWired.com. The website is home to the latest and the best real estate content on the Internet. You can read articles, listen to audio files, or watch videos that can boost your rehabbing skills. Visit www.REIWired.com for more details.

Article Source:http://www.articlesbase.com/investing-articles/tips-and-hints-on-rehabbing-properties-1399820.html

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REHAB-REAL-ESTATE: “8 Benefits You Get When Rehabbing A Home”REHAB-REAL-ESTATE: “8 Benefits You Get When Rehabbing A Home”

January 4, 2010 Posted by admin

Rehabbing a home is considered as one of the hottest trends in real estate today. Many individuals have reaped their rewards – both financial and career fulfilment – from the rehabbing business. Many individuals have given up their regular jobs so that they can go full time in the rehabbing industry. If you are one of those who still cannot decide whether the industry is worth a try, we have listed down 8 benefits you get from rehabbing houses.

  • The business is very lucrative if you hit the right buttons – If you are a beginner, it may take a while before you finally get your first deal closed. The waiting time is worth it because more often than not, a single deal you make is enough to finance a car purchase.
  • You are your own boss – Finally, you do not have bosses to deal with. You are your own boss. You can manage your time and your tasks at your own pace and at your own convenience.
  • You manage your time – If you are an insomniac and you feel most comfortable working at night, you may do so.
  • You meet a lot of people – Real estate investing involves a lot of marketing, sales talk, and creative advertising. This means that you will be meeting people from all walks of life. Take this as the perfect opportunity to expand your network.
  • There are no routines – One of the downsides of having a regular job is that you are left with no choice but to conform to routines. When rehabbing a home, you are free to schedule your tasks any time you want to.
  • No dress codes to follow – You can be as fashionable or as laidback as you want to be.
  • You can sleep all you want – Sleep is a luxury when you have a regular job. In the real estate business, you no longer need to set your alarm clocks. You can sleep as long as you can.
  • You can go on vacation anytime you want to – You do not have to file vacation leaves. All you need is your Internet connection and your mobile phone and then you can continue making money regardless of your location.

Real estate investing can be very profitable. Be sure that you take time to learn at least the basics before finally making your first investment. For more tips on rehabbing a home and on real estate in general, go to www.rehab-real-estate.com.

Rehab Real Estate is your perfect guide to the exciting and lucrative world of real estate investing. Whether you’re into rehabbing houses, property investment buying, or fix and flip, we’ll teach you everything you need to know so that you’ll earn MAXIMUM PROFIT in each and every deal.

Article Source:http://www.articlesbase.com/investing-articles/rehabrealestate-8-benefits-you-get-when-rehabbing-a-homerehabrealestate-8-benefits-you-get-when-rehabbing-a-home-1662539.html

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REIWIRED: The Essentials of Hiring Contractors when Rehabbing Homes

January 4, 2010 Posted by admin

If you want to speed up the process of rehabbing homes and move on to your next project, then you should consider hiring contractors. Although seeking outside help can add up to your expenses, you can save a lot of time and energy that you can use to find good deals.

Although it is not mandatory to hire contractors when rehabbing properties, many seasoned real estate investors are encouraging rehabbers – especially the beginners – to seek professional help. Listed below are some of the reasons why it is advisable to let the others do the rehab work instead of renovating a fixer upper home on your own:

  1. Transforming an old and dilapidated property is a physically challenging task. If this is not your cup of tea, then you better build a reliable team that will do the job for you.
  2. If you insist on doing the repairs on your own, you might be unable to spend more time with your family, especially if you are rehabbing houses part-time. In addition, there is a big possibility that you won’t be able to finish the renovations on schedule in case a sticky situation comes up.
  3. By hiring competent contractors, you can be sure that the repairs are of high quality and they follow the local building code. In addition, it can prevent potential problems with the buyer from arising.
  4. If you don’t have enough experience fixing the electrical, plumbing, and HVAC systems or if you are not confident with your handyman skills, you may end up spending more money instead of minimizing your expenses.

Before you hire contractors for your fix and flip project, however, you have to make sure that the workers you will choose are competent and skilled enough. Failure to do so may cause you mind-numbing headaches and will make you wish that you have done the repairs on your own.

Always ask for references so you’ll know if a contractor and his team are capable of doing their job right. You should also avoid hiring laborers who knock on your door, offering the lowest quotes. According to seasoned rehabbers, these people might be unable to deliver the quality of work you are expecting because of their low asking price. In addition, they could be scammers who would run off with your money.

Thus, if you want to make sure that your rehabbing project would turn out right, hire competent and trustworthy contractors. If you want to learn more nifty hints and tips of fixing and flipping properties, log on to www.REIWired.com.

REI Wired is the pinnacle of real estate education by serving high-quality content through high-quality videos. Sign up only takes a minute and you can start right away! Learn More

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