User12760_2_t Mike Jaquish Keller Williams Realty, Cary, NC
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Today I went with a Buyer client to his home inspection on a project home under contract, and we discussed some of the repairs and upgrades he could do on the home.

It looks like there is enough margin in the job to really do a sharp job on the house, and make it very appealing.

We talked about several items, and I developed a recurring response and input:

"Eliminate items that may initiate discussions with potential Buyers."

If you can foresee that an item may develop into an issue, take it off the table.  Proactively avoid the conversation.

Even if it is still working, is it worth it to try to resell the home with a rusty water heater?  Make the issue go away.  Replace it.  And put a blanket of insulation on the new one.

Is the wet spot on the plywood in the attic rotten?  "Well, you are spending $5,000 replacing the roof.  Don't skimp on a $40.00 sheet of plywood, a $40.00 item that if unreplaced says you might have cut a corner.  Take that issue off the table, proactively."

The Buyer's "Wow Factor" is dependent on maintaining the "Wow" throughout the entire viewing of the home.

"Wow!"

"Wow!"

"Uhhh....Inn-Tresting..."  Not good.

More than one "Inn-Tresting?"  Not good at all.

Repetition of "Inn-Tresting" is usually synonymous with "No Sale."

Work your project thinking about eliminating gigs that the next Buyer's Home Inspector might find.

Buying the property "right" includes budgeting for repair of unforseen issues.  Also know as "crying money."  If the money isn't in the budget...You'll be crying.

And crying isn't Inn-Tresting...

 

7 Comments on Cary and Raleigh, NC Real Estate: Fix and Flip? Don't skimp on "Fix!"

Exactly that is what I am talking about and looks like you are the choir.

11/08/2007 09:33 PM by Susan Trombley Re/Max Broker Raleigh NC & Surrounding Areas (Re/Max Hometown)


I am so with you on the "fix" portion of the flip! It's amazing how many "investors" who are so worried about how much money they're going to make - and they forget about spending the necessary money to fix the property right.

11/08/2007 09:35 PM by Darleen McCullen, Broker-Raleigh, NC Real Estate (Keller Williams Realty - www.darleenmc.com)


Susan,

Am I singing your song?

LOL

Darleen,

They forget that it has to be SOLD before there is a profit!

11/08/2007 09:37 PM by Mike Jaquish Keller Williams Realty, Cary, NC (Keller Williams Realty)


Mike,

I have been through too many poorly done remodels - people can smell cheap a mile away.  You don't need to use the most expensive materials but the cheapest ones will often cost more in the long run.  I guess we are all part of the same choir!

11/08/2007 10:14 PM by Rita Taylor | Sanford NC Real Estate & Homes for Sale in Sanford North Carolina (Strother Real Estate)


Rita,

They can smell "dumb," too.

Thanks for coming by, and I wondered where you have been lately.

11/08/2007 10:37 PM by Mike Jaquish Keller Williams Realty, Cary, NC (Keller Williams Realty)


My best advice to anyone is to make sure you get a home inspection. I know investors that will renovate their homes and do a great job, but most of their buyers are not represented by an agent and the inspection gets undone. I do ask them if they plan to do one, but not being an agent, I can only push that so far.

Especially with rehab homes, an inspection is vital!

11/09/2007 07:50 AM by Charlotte Home Loans - Your Charlotte Mortgage Lender (The Ed Nailor Mortgage Team)


Ed,

You are dead right.

Inspection is vital on any "rehab" property.  "Ugly" houses too often stay ugly under the skin.

11/09/2007 01:38 PM by Mike Jaquish Keller Williams Realty, Cary, NC (Keller Williams Realty)


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Real Estate Agent: Mike Jaquish Keller Williams Realty, Cary, NC (Keller Williams Realty)
Mike Jaquish Keller Williams Realty, Cary, NC
Cary, NC
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Keller Williams Realty

Cell Phone: (919) 880-2769
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Musings and meanderings around the North Carolina Triangle area, with pithy stuff about the Raleigh and Wake County area, particularly Cary, and thoughts about the Real Estate industry.


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