Tricks to Converting Cheaper Fixer Uppers into Profits

Submitted by: MARV PIRILA
GNL LENDING 

If real estate investments are your thing, you undoubtedly will want to check out the fixer uppers in your area. Fixer uppers, on average, sell for 24% less than other properties (National Association of Realtors). This difference offers a great opportunity to turn a profit if you can find the right one.

You can find potential fixer uppers in the foreclosure market (local paper listings, bank and government websites, or an agent). Unless you're an experienced handyman with various talents, you may want to consider hiring an inspector to check the ceilings, walls, roof and electrical systems. You should also create a budget before you decide to purchase. Get all estimates in writing, then add 10% to 40% for unforeseen problems.

Before you name your price, compare three nearby homes of similar size and style that have sold in the last 90 days. Factor in your your time and costs, as well as the popularity of the neighborhood, to determine the market value after renovations.

Once you've bought your fixer upper, proceed with projects that pay off such as:

• make over you kitchen sensibly focus on the basics: refacing existing cabinets
• install a new wall wall oven, cooktop, and sink new wallpaper and flooring
• give your old bathroon a new shine (new bath tub, toilet and vanity counter)
• siding
• add appeal through touch-ups (garage storage capacity is highly valued). Curb appeal is
  also important (wash windows, trim bushes, recoat your driveway, repaint the front door,
  etc.)

By following these few simple rules, you can quickly become an expert at buying fixer uppers and turning a good profit on the resale.