So, you’re considering the decision to start home renovations on your property with the main intention to sell it for a profit. For the uninitiated, this is called ‘property flipping’. And there are good examples are all around Melbourne, with this beautiful home in Brunswick West initially selling for $930,000 in October 2017. Fast forward almost two years and that same property has been renovated and sold in August for almost $1.76 million. The owners have taken a blank canvas approach and turned it into a truly beautiful home.
Buyer beware: there are right and wrong ways to flipping a property. Not every renovation-and-sell project turns out as good as this one on Grantham Street.
We’ve come up with some tips that can help you not only conduct the best possible home renovations, but to make sure you maximise your profit.
Start by renovating the basics
If you’re wanting to get your property on the market as a more attractive option, you need to get the basics in order.
- Structurally sound floors and walls
- Functioning plumbing and gutters
- A leak-free roof.
Instead of waiting until these are in need of a major overhaul, it’s best to undertake smaller and more regular home renovations. This can save you funds and still make sure everything is in working order.
Look at your competition
When you’re working through home renovations with the intent to sell your property, make sure to analyse the other houses in the area. Your renovations should not make your home stand out like a sore thumb – at least on the outside.
Sure, it should have its own personality, but anything that’s deemed too over-the-top can scare off any potential buyers. Worse, it can steer them towards another property in your street. When you’re renovating period homes, like a Victorian or Art Deco building, it can be beneficial to keep the feel of that era intact. This will ensure it gels with the rest of the suburb and street, and doesn’t stand out like the proverbial.
Have a clear plan
Whether this is your first or twenty-first time flipping a property, you need to go in with a clear plan. The first part of planning such a project is understanding your budget and making sure it’s clear from the outset.
Not only does this keep you in line with what you’re spending, it also helps negotiate with contractors so you have a clear break-even point. Being ready to speak to contractors and talk their language is also useful. This enables you to understand what they’re suggesting from a logistical and financial point-of-view, and ensures you won’t get ripped off.
Understanding when you’re looking to sell (your timeline) and what you need to renovate can help shape your plan, which in turn makes the entire project go a lot smoother.
Utilise a property advocate
Renovating a property in Melbourne and flipping it for a profit can be a daunting task to take on by yourself or with your family. For that reason, you may choose to benefit from what a property advocate can provide.
By getting in touch with the team at Industry Insider, you will have access to talented and experienced members of the real estate industry. Our team know exactly how to help you look for a home with renovation potential, buy that home and then help you get maximum profit when it comes time to sell.
If you’re interested in tackling your renovation project with the right help, get in touch with the expert Industry Insider team for help in buying and selling a home.