I find joy in working in the real estate rehabilitation business which allows me to take a bad situation and turn it into something good. The bad situation is when someone loses their home to a foreclosure, however, by flipping the home, those four walls can be sold to a young couple starting their family or a person buying their first home. It’s incredibly rewarding to watch the process unfold.
Many people don’t understand how the rehabilitation process works. There are many moving parts that it can be very confusing to those who don’t work in it every day. I’ve gathered a 7-step process that will help you understand how it all works.
Step 1
The first step to any project you wish to complete always begins with preparation and creating a plan. In creating this plan, there are two main things you will want to focus your attention on: the repairs that are needed, and the improvements you’ll want to make to help the house sell.
While you’re on the site, always be sure to bring your camera and a measuring tool with you. When you come across a problematic area, you’ll be able to accurately measure the repairs you need to make as well as take before-and-after shots for your clients.
When walking through the house, you’ll want to look for opportunities that will help the house sell once it goes on the market. Think creatively. Sure the flooring may need some updating, or you’ll jot down that a new coat of paint could be beneficial but don’t be afraid to think outside the box. Perhaps a room is a little dark and could benefit from adding an extra window or skylight. Attention to detail can go a long way.
Step 2
Now that you have all your notes about what needs repaired and/or improved, it’s time to lay them out and create the scope of work. You’ll want to organize each renovation into either “want” or “need” for budgetary purposes. Write down each item that is needed for every single renovation and looks into material that can be reused instead of having to buy new. This will help keep your costs down and make room for more “want” renovations.
Stay tuned for the next few steps on my blog next month!