Get to know the market You do not need to be an expert in real estate investment or design, but you must have a firm grip on things like supply and demand.
The first step is determining where the buyers are in Colorado Springs before putting your flip together. It can take time for new developers, particularly start-ups, to acquire financing or complete construction of houses on their assembly lines, so you should be aware of how long it may take for any area to experience greater demand. Ideally, you want properties that fall within this timeline. The next step is knowing when the housing market will heat up. This might well vary from year to year and region to region. What’s important here is knowing your local conditions so that you can have inside information into what strategies are effective in this particular real estate market.
Buy Right
Hiring an experienced real estate agent will be a smart investment for you because they know what questions to ask and how much to bid. A great real estate agent should also have the ability to negotiate on your behalf at the time of purchase while negotiating for repairs, or selling the house within a reasonable period of time so you do not end up spending too much money in overhead.
If we’re going to help you find multiple properties from which to choose, give us a call today. We are experts at locating lots with potential that can bring significant profits for investors like you no matter where they are located in Southern Colorado or the United States! If you need insight into current market conditions within any specific area before shopping for properties, we can provide a comparative market analysis to quickly determine the home’s value.
The Theory of Staging in Design
Our real estate staging services professionals use a combination of design trends, colors and furnishings to create a versatile space that can be configured for various purposes. We will work with your property’s layout to make the most of its space and features. In order for it to appeal maximally to clients, we evaluate decorating styles as well as the condition of walls, floors, and stairs. We would like you to know that we also provide the finest quality home stagers in Colorado Springs.
It is no different when you are involved in a property flip in Colorado Springs. Your first venture into flipping is not the time to express yourself creatively. Another thought is to keep similar color tones throughout the property so buyers will gravitate toward a color that they like and feels good to them. Fresh flowers throughout are also appealing in staging while keeping it simple, two or three vases throughout the home creates a nice appeal as opposed to placing every bouquet in all rooms. Some sellers do well with fresh herbs growing indoors in pots, this adds an element of nature and cleanliness (freshness) while providing pleasant aromas when cooking or baking while trying to sell your property. Foods can also be strategically placed throughout the home to appeal to buyer’s senses and let you know you have food for their imagination…another way of saying “Come on move-in”.
Marketing
The best way to turn a profit on the sale of your property is to attract as many buyers as possible. Offering incentives, such as reduced prices or a free month of rent, can entice buyers who are interested in making improvements to the property. Many home flippers use their existing networks and connections with real estate agents and potential construction workers to find skilled laborers at affordable prices. Consider a second mortgage loan through an online lending company that offers competitive rates when you need additional funding for renovations…read more.
Do the Math
The formula for calculating the yearly cash flow from a property is: Net Operating Income – Debt Service = Cash Flow. The next step involves calculating the Present Value of this annual stream of cash flow. To calculate this you need to use an interest rate that allows you to get at least a 10 percent return on your investment. If the rent from the property pays all of your monthly expenses and mortgage payment, then it is called “self-funding” which means that when everything is paid off, there will be no more payments to make and so there will be no rental income coming in. The reason we are making a note here about self-funding properties is that if you had $200,000 in equity in one of these properties it would make a huge difference.
Strong Support Team
The Right Listing Contract. One of the first things you must learn with any project is how to draft a listing contract. HBR Colorado has a comprehensive list of strategies and tactics you need to realize in order to have your real estate investment work for you. A written agreement will ensure that all parties involved, including buyer and seller, are satisfied and there are no misunderstandings later on down the road. If negotiations one day lead towards litigation, having an excellent contract in place can make all the difference.
Make Sure You’re Legally Protected. It’s also important to know when a piece of property is owned by two parties as this determines whether or not it is possible for either party to claim ownership after a sale occurs regardless
At HBR Colorado, we make it easy to fulfill your goals! HBR Colorado has the best deals on investment properties available right now! Ask about our inventory list! Because of networking, HBR Colorado has an entire team of professionals ready to go, from the initial inspection to a successful property flip in Colorado Springs! Your success is our success at HBR Colorado. Send us a message or call HBR Colorado at (719) 286-0053.