To maximize your profits and grow your company, learn how to take your fix and flip business to the next level. Sell more homes and gain additional clients.
When you are just starting your fix and flip business, it makes sense to take things slow until you learn the ropes. However, there will come a time when you need to intensify your game to expand your business. While a business is never stagnant and adjusting to the trends, keep an eye out for more ways you can take your business to the next level.
Before diving into the ideas, brainstorm possible outlets or variables you want to change about your business. You want enough to make it by and get your name out there when you are just starting out. Once you have a client base, it will be easier to carry out necessary changes.
Effectively Plan Rehab
Effectively plan how the rehab process will work, down to the number of days you need to complete the remodel. While there may be a few surprises as you tear down the walls and floors, leave wiggle room in the schedule to handle any inconveniences so you can get back on track. Pro tip: streamline the rehabbing of a home faster with hard money flip loans; a quicker financial turnaround allows you to start the flipping sooner than most other loans.
Quality over Quantity
Wanting to juggle multiple properties at once is not viable and will lead to more mistakes than you’re willing to admit. Take your time and give your undivided attention to one property before beginning another project. Of course, doing multiple homes at once will take your business to the next level, but remain aware that quality is always better than quantity.
Assemble a Dream Team
You cannot do the work solely yourself; maybe at the beginning of your business, you could, but as it grows, if you want to take your fix and flip business to the next level, assemble your dream team. This alleviates some of the stress from your shoulders, and incorporating people you trust will make the process much more manageable. A lot of times, a single person is not an expert in every aspect of flipping a home; hire people who can provide excellent skills and quality work.
Some occupants you should consider for your dream team are an attorney, a real estate agent, financial lenders, an inspector, an architect, a painter, a plumber, an electrician, an interior designer, etc. Try to think from every angle to create a well-rounded team.
Don’t Forget Curb Appeal
The interior is the most important part by far but never forget the curb appeal. This is the first thing anyone notices when they go past the house or pull up for a tour. Instilling a favorable impression on potential buyers before they enter the front door will give you a leg up in the business.
Dabble in Other Markets
Single-family homes are popular and the easiest to flip. But venturing into other avenues like multi-family homes, apartment complexes, condominiums, etc., diversifies your portfolio. Adding more projects that are outside the box onto your roster will help pull in more revenue and attention to your business.
Find Hidden Hot Spots
Not every home or property will end up online; therefore, you need to be in the know of the hot spots near your area. Drive around town and hunt down areas that hold hidden gems like a water view, large amounts of land, near state parks, etc. Finding land or old homes that have qualities you can enhance increases the value of the house instantly.
Focus on Kitchens
The heart of a home is in the kitchen, which is often where people spend the most time. When you buy a fix and flip house, it is best to invest the most in the kitchen because the return on investment could be upward of 75-100%. Not every kitchen you remodel needs to be fancy or look like it came from a magazine, but do clean it up and add functional qualities or other components that make a great selling point for buyers.
Stage Homes Better
Planning an open house is more work than one realizes; if you don’t sell the potential buyer within the first 7 seconds of entering the home, chances are they will pass on the property. Many real estate agents take décor and furniture from their own homes to stage the perfect house. Weave in tiny details like scents, light, art, etc., anything to make the space look more lively and inviting.
Find Large Scale Projects
Don’t do this every time, but a few larger projects can pull in more money. Larger homes require more work and money to flip, but the results can speak for themselves. Make sure everything you do to alter the home will give you a return on investment, no matter how small. Once you have a rapport, start investing in more larger homes to develop a more significant growth in profit.
Get your business name out there, tell people in your community, and post on social media. Offer knick-knacks and trinkets during open houses to give to potential buyers so they can keep your company name in mind. Pens, buttons, stickers, and notebooks are all great items to give away for free and advertise yourself.
Expand your company and partner up with other locals who are establishing the same type of business. Working together can get projects done faster, with a quicker return on investment. This also lets you try riskier projects and attempt homes you wouldn’t dare touch by yourself.
Most fix and flip professionals start with local houses, which is always the best place to start. Now that you know the ropes and have flipped a few homes already, look into expanding your market into other areas. You don’t necessarily have to jump states or travel far for this to work; increase your mile radius and travel an hour or two away from your typical areas for fresh new fix and flip options.
Are you ready to take your fix and flip business to the next level? Implement some of these strategies and watch your business flourish. Whether you try them all or just a few, these ideas will help create the next steps in your business and increase the flow of profits coming in.