I think everyone would agree that the most rewarding and exciting part about house flipping is when it’s actually time to sell the house. After spending months and months on fixing up a flip, you’ll finally make a profit off of your hard work. But selling a flip isn’t quite as easy as just putting a “For Sale” sign in the front yard and waiting for someone to make an offer.
If you want to sell your flip without a hitch, follow these tips to make sure everything goes smoothly for you.
List Your Flip at the Right Time
Don’t start listing and marketing your flip until the right time. Most realtors prefer not to list the house until it is finished, as listing the house before its complete can make it difficult for potential buyers to envision how the house will look in the end. Keep in mind though, that every day your property isn’t listed you could be losing potential buyers.
Determine the ARV
Determine the after repair value (ARV) before you even begin remodeling your flip. This number will be the deciding factor for how much you can realistically spend on repairs and still make a profit when it comes time to sell. If your ARV isn’t much higher than what you bought the house for originally, you’ll end up breaking even or losing money.
Consider the ARV of “comps” in the area that your flip is located. Use the “comps” as a basis and don’t over improve your flip. If you design something that is way too lavish and expensive for the neighborhood, no one will be willing to purchase the house. Keep your price point and design similar to that of the other homes in the area.
Find an Experienced Real Estate Agent
A good real estate agent is a must when you are selling your flips. Your agent will make the selling process a lot less painful for you, leaving you with more time to focus on remodeling instead of selling. Hire an agent who has been in the industry for a while and has experience with your area.
Stage Your Flip
Staging your flip is crucial when it comes time to sell. Potential buyers don’t like to see any empty home, no matter how beautiful it looks, as they can’t easily picture what the home would be like to live in. Stage your flip using paint, furniture and other accessories that make the house feel warm, inviting and shows off the best features.
Price It Right for the Area
Your real estate agent will help you decide on a good selling price for your flip by analyzing the “comps” in the area and how much they sold or didn’t sell for. If a house has been on the market for weeks, then it probably wouldn’t be a good price point for you to follow. Reviewing homes in the area will help you get an idea of how much you can sell your flip for. If you make sure your price point is similar to the “comps” in the area, you will increase your chances of selling the property fast.
Hold Showings/Open Houses
Showings and open houses are the main selling point for your flip. Potential buyers who are interested in your flip will want to check it out in person. Make sure the house is cleaned and staged before holding an open house, and then let your realtor take it from there. Make sure you aren’t around during the showings/open houses to prevent your buyers feeling pressure and awkwardness.
Selling a flip for the first time (or even the tenth) can make you feel anxious and nervous. These tips will help ease your nerves and make the process that much easier for you. You’ll be selling flips like a pro in no time!