Saterdag 29 November 2014

5 House Flipping Do's

While many people have very specific dreams of enjoying the bountiful profits that can be made from flipping houses very few people put too terribly much thought into the process or any formulas that might be pertinent to success when it comes to flipping houses as a real estate investment venture or for the sake of building a nice comfortable lifestyle or retirement. You will hear a lot about the things not to do when it comes to flipping houses but very few people take the time to mention the things you absolutely must do in order to successfully flip a house and thus begin your ride on the road to real estate investment riches.

1) Do put everything to pen and paper and plan it out carefully before you begin. If you are going to enter into this to make money you need to treat it like a business. This means you need to have a plan of action and make every effort to work towards carrying out that plan.
2) Do establish a budget for the entire project. You need to have a plan for how much money you are willing to invest in the property itself, how much for renovations, and how much money you need to make in order to be a worthy investment for your time and labor. A house flip is a lot of work in order to pull it off successfully. You want to have a good idea of how much homes in the neighborhood are worth, the value of your property as is and the estimated value of the property once improvements are made. In addition you should also have a pretty firm grasp of the costs involved in making the repairs in order to create a realistic budget for the entire project.
3) Do have an inspection. This is the single most important detail that can save you a great deal of time, money, and heartache when everything is said and done. Be prepared to walk away if the inspection determines that there is more work needing to be done than simple cosmetic repairs. You want to make changes that people can see because those are generally the changes that drive up the cost of the house. You want to avoid needing to make changes and improvements that aren't visible but are very necessary. If you need to invest a lot of money and labor into the house you need to seriously consider the realistic profit potential the property offers. If it isn't significant then you need to walk away before the property becomes a real estate investment money pit.
4) Do know the neighborhood and plan your flip according to the needs of the area rather than your personal tastes and needs in a home. This is another thing that many first time flippers forget. This is not a personal project it is a business project and you need to treat it as such. Keep costs down and feelings out.
5) Do remember that you are in the market to make money not waste money when it comes to establishing an asking price for the property. You've poured blood, sweat, and probably more than a few tears into your flip but you cannot set the value of the property by the effort you've placed into it. Have realistic expectations of how much you stand to earn from your efforts and how much you are willing to go down on the price in order to walk away with some profit in your pocket.

You should also take a moment to reflect upon the fact that many first time flippers actually lose money on their first flip. If you turn a profit at all, even a small profit you have learned many valuable lessons that you can carry with you into future flips and make more money. More importantly the lessons you learn from your first flip are lessons that money really cannot buy so it is worth a lower profit or even taking a slight hit if your experience makes you even more money in the future as you continue along your real estate investment path.

Beginners Guide to Flipping Houses

Flipping houses is becoming big business in the world of real estate investment. Unfortunately it takes all kinds of 'flippers' to make the world go around and some of them aren't nearly as conscientious as others. If you are going to get into the business of flipping houses and want to make a living, and build a good reputation, for producing quality results you need to see to a few details throughout the process.

1) Do what needs to be done. Don't cut corners and create situations that will put the family that purchases your home in personal or financial risk. You want to create a safe home for the family or person that ultimately makes the purchase. You do not accomplish this by taking shortcuts and using shoddy workmanship.
2) Avoid spending money that doesn't need to be spent. By this I mean don't spend money creating more work. Many people do this by deciding to tackle additions, rip out walls, or changing floor plans. These kinds of changes are best left to the buyer unless they will significantly improve the asking price you can bring in on the house. Otherwise spend the bulk of your money in kitchens and baths where they are best known for bringing in bigger profits.
3) If it ain't broke don't fix it. There is a lot of wisdom in this age-old saying. There is no reason to go in and fix something that doesn't need to be fixed unless doing so will improve the value of the house to its buyers.
4) Always work within a budget. Most people set a budget when planning to flip houses but very few manage to work within that budget. This is the difference in making the profits you anticipated and putting the entire project at risk.
5) Create a home that the buyer will want to live in not the home that you will want to live in. You should never flip a house or design a flip according to your tastes; it is a recipe for disasters in more ways than one. First of all, it is unlikely that buyers will be able to afford it. Second, it sets you up for hurt feelings if a potential buyer rejects any small details. Third, it often raises the price you must seek for the property in order to cover the increased costs of decorating and designing according to your taste. Finally, it often leads to unnecessary expenses, which defeats the purpose of a quick flip type of project.
6) Time is money. Remember this in all things. The more time it takes to do the flip the more money it's going to cost and the less money you are going to make. Plan small changes that have a big impact and can be done quickly to get the most out of your flip.
7) Never attempt a champagne flip unless you have a champagne budget to back it up. Just as flipping above the market is an unwise move it is equally unwise to flip a property beneath your target market as well. Do not attempt to flip a house in an upscale neighborhood if you can't manage the upscale building supplies and appliances that will be needed in order to make it a success.

While these aren't guarantees for success they are solid advice that will minimize the risks you face when flipping properties.

The Risks of Flipping Houses

Real estate investing is a field in which millionaires are made and lost on an almost daily basis. Most of the wealthiest investors in the world will agree that real estate is by far one of the most profitable fields in which you could invest. It also carries some of the biggest risks when it comes to investing at the same time. Real estate investments are large investments for the most part so when you loose on an investment such as this the losses tend to be much greater than when you loose in other investment avenues.

When it comes to flipping houses there are several risks that you should consider before diving in headfirst. While most of the risks are not something you can anticipate or plan for they are risks that you should be aware of and carefully consider before investing in a risky venture such as a property flip.

1) Fickle market. The real estate market is a fickle business. There are countless things that can greatly impact the likelihood that your investment will sell quickly or sit on the market for months on end and most of them are beyond your control Tornadoes strike nearby, crime happens nearby, a big company goes out of business, or a new company moves into the neighborhood. For better or worse all of these things have a profound impact on the real estate values nearby.
2) Neighborhood knowledge. It is very important that you take the time to get to know the neighborhood before you invest in a house you are planning to flip. You want to make sure that your vision for the home fits with the reality of the neighborhood and that the average income of the people in the neighborhood will be able to purchase the home you are creating.
3) Bursting bubbles. I'm sure you've heard all kinds of talk about the real estate bubble and how it seams to be bursting. While I'm not sure I put much stock in that I do know that heavy taxes in an area, new taxes in an area, and the encroachment of crime in an area can give you a sudden stream of competition for low prices while also making it more difficult in general for the property to sell.
4) Underestimating your own limitations. This is a big deal when it comes to risks in the business of flipping houses. You need to have realistic expectations before getting in of the time frame for completion, budget, and what you can do yourself and what you will need to hire professionals to handle. If you don't you can seriously impair your budget and the impact of the work you do as a whole.
5) Underestimating prices. This is another big deal because you need to have realistic expectations when it comes to the price of supplies, tools, labor, and equipment that will be required in order to complete your house flip. Failing to have a reasonable grasp of current prices can have a devastating impact on your budget and how much you can actually accomplish during the course of your house flip.
6) Great profits. While some do not necessarily consider this a risk, excessive profits do work to impair your ability to pull out your wallet at the bank or anywhere else along the way. While we could be all so lucky as to call that a risk it is a very possible outcome of your house flipping attempt as long as you spend at least as much time in planning your flip as you do in executing it.

You should understand that there is no such thing as a no risk flip or a no risk real estate investment. You cannot eliminate the risk all together for the types of rewards that stand to be made through real estate investing and flipping houses. Tread softly, plan wisely, and work diligently in order to make your financial dreams a reality through real estate investing.

Donderdag 20 November 2014

The perfect landscaping tree

There is no better way to spruce up a new home, or an old one for that matter, than to use a landscaping tree or two. These trees can add so much to your home, in fact they can even add to the value of your home for when it comes time to sell. There are many different kinds of tree for you to use when you are in need of a landscaping tree and the choice is all yours.

The best place for you to find out what kind of landscaping tree you should be using is the internet. Online you will be able to find out everything that you need to know about every kind of landscaping tree that there is on the market. Everyone will have a different taste in landscaping tree and that is why it is so important for you to find out what yours actually is. If you do not take a look at all the landscaping trees that are out there, who will you know which one is the right landscaping tree for you?

The kind of landscaping tree that you will choose will have something to do with where it is that you live. Some trees do not do well in certain places and certain climates. You will have to make sure that the landscaping tree that you choose can grow and flourish where you live. There is no point in spending money on a few landscaping trees only to find out that it is going to die in just a couple of months. So ask the seller and do some of your own research to find out just what you should be getting for your yard.

Trees matter to the look of your home. It is with trees that you will be able to give your home a pretty garden feel and lets fact it, trees are much easier to deal with than flowers and other plants. There is practically no maintenance for most trees. It will not be hard for you to find a great landscaping tree that will require very little work.

The Mimosa tree makes for a wonderful landscaping tree because it is so gorgeous and lovely. The foliage on this gorgeous tree is like fern in its delicacy. It will make any home instantly more beautiful with its addition and they are deciduous. This is a perfect landscaping tree for any home including yours