5 Fix and Flip Skills to Master Right Away
If you’re looking into fix-and-flip investments to earn some extra money, DON’T MISS THIS LIST! There are some essential skills you need to master to ensure your REI deal comes out on top. Do Hard Money narrowed down the top 5 fix and flip skills to get a grasp on before you begin your next rehab deal. If you start developing these abilities now, you will find yourself in a much easier situation once you start your deal.
You must master negotiating tactics in order to maximize your investment profit. You will find yourself negotiating with others nearly every step of the fix-and-flip process. First, you negotiate the asking price on your fixer-upper. Then, you negotiate contractor bids and rehab budgets. Finally, you end up negotiating with buyers interested in purchasing your property. No matter the situation, you can sharpen your negotiating skills with the following tips:
- Do Your Homework – Make sure you run the numbers of your deal over and over. Determine maximum prices and budgets you can meet while still maintaining a solid profit and negotiate down. Also, be sure to know neighborhood comp details and the current state of the property. Certain repair requirements can give you an excellent bargaining position.
- Stand Your Ground – Stay strong with your numbers. If the seller refuses to meet your maximum price, move on. It’s far better to walk away from an unprofitable property than to waste your time and money on it. Also, you never know if the seller will fear the ‘walk out’ enough to lower the price to keep you from leaving.
- Make Silence Your Friend – Believe it or not, awkward silences can become your best ally in a negotiation. Most of the time, a seller will be so motivated to break the tension that they will accept your terms.
Selling the property quickly brings in the big bucks. Therefore, you need to become an expert marketer. You need to learn how to stage your property, how to get the word out, host open houses, hire an excellent realtor and more. However, your marketing skills won’t apply to the selling process alone. You also need to apply marketing strategies to finding your golden property. Here are some excellent ways to use marketing to find the ideal fixer-upper:
- Use Flyers – Get the word out that you’re looking for homes with mailers and flyers. You can also use sign posts as long as it’s allowed.
- Spread the Word on Social Media – Litter Facebook, Instagram, Twitter, Pinterest and other social media networks with your willingness to buy homes as is.
- Market for Probate or Divorce – You can market your search to target probate, divorce, foreclosure or other situations where buyers may be motivated to get rid of a home quickly.
Now that we’ve discussed skills you need in finding and selling properties, it’s time to focus on rehab skills. You can save a lot of money by learning the easier tasks, such as painting. Doing the interior painting yourself saves hundreds of dollars in the long run. There are plenty of tips and how-to videos online to show you the best way to perform an expert paint job. Here are a few of our painting tips:
- Work with a Good Brush – Be sure to invest in a high-quality angle brush. We recommend a 2 1/2″ wide brush, it’s the easiest size to work with and will give you more control. Use the angle brush for the edges.
- Roll Slowly – After you complete the edges, finish the walls off with a roller. You will want to roll the paint on slowly. This allows the paint to settle into the texture of the walls and minimize the number of coats you will need.
- Work with Quality Paint – It doesn’t make sense to cheap out on a job and then end up having to do it over again. Do the painting right the first time with quality paint. Good paint will also minimize the number of coats you need and end up saving you money in the long run.
Most rehabbers agree the most beneficial fix-and-flip skill is learning how to tile. Believe it or not, tiling is a simple process and you can pick it up easily! However, there are some subtleties to tiling you should learn before you attempt going nuts with your bathrooms and kitchen. Check out these handy tips:
- Invest in a Good Tile Saw – Be sure to buy a quality tile saw and learn how to use it. Both Home Depot and Lowe’s offer classes on tiling and how to operate tile saws. You can find a good saw for around $70 at either store.
- Use a Level – Be sure to take your time and use a level to ensure the floor tiles are even. You definitely don’t want small hills scattered throughout your floor because you used too much mortar.
- Less is More with Mortar – Mix smaller batches of mortar at first. Be conservative and see how much you need as you go. Remember, it’s far easier to add more mortar than to attempt to subtract it from a laid tile.
5. Basic Plumbing and Electric
While bigger projects are best left to the professionals, small plumbing and electrical repairs can be performed DIY-style. You can change out light fixtures, replace bulbs and even install a ceiling fan yourself. You can also mend minor plumbing problems with Sharkbite fittings. These plumbing parts repair copper pipes extremely fast and prevent future leaks.
Again, if a repair is outside of your comfort zone or too large a job to take on alone, let a professional handle it. You will want to avoid projects such as replacing supply lines or rewiring.
There you have it! We hope these tips help you feel more confident and inspired to take the REI world by storm. The time is now for you to claim your profitable piece of the real estate investment pie. Do Hard Money is here to help you every step of the way.
Ready to find out more? Just click on this link to schedule an appointment with our investment associates. We would be happy to discuss your financial goals and help you achieve investment success! To get in touch with us even faster, call us at 801.948.9774. Our investment experts are standing by, ready to help you open the door to financial freedom!
If you already have a property you want to secure under contract, you can obtain funding right away! Just click on the yellow ‘Get Prequalified’ box in the upper right corner! Schedule your appointment today!