You can make a lot of money in the real estate business. Fixing and flipping may not be as glamorous as the get rich quick methods seen on television, but it can provide a great income if you know what you're doing. The people who have lasted in this business don't make purchases without doing their homework. The sort of real estate rehab Maryland professionals do so successfully takes a real understanding of the process.
When you look at a property that you think has potential, you must thoroughly examine it. You should take pictures of all the defects, record measurements, and take notes. If you're not a contractor yourself, it's a good idea to bring one along. While you are noting everything that must be done, you should have in mind what might be changed or added to make the property more appealing to buyers.
After the inspection, you should take your photos and notes, sit down, and make a comprehensive list of every repair that must be made. You can make separate lists of the things you would like to do, and what might be added if you end up under budget. You need a line item for the unexpected problems that always arise. You can set aside a small percentage for these issues.
Once you have a dedicated crew of your own, you won't need outside contractors. Until then you'll have to hire a good contractor who is reliable and honest. If you don't already know one, you need to do some research to find viable candidates. When interviewing the candidates you should question the contractor's referrals, licenses, experience, insurance, and subcontractors.
Actual work on the property begins with demolition. On the inside, any walls, ceilings, and floors that are damaged beyond repair must be pulled up and thrown out. On the outside, dead trees and shrubbery, old fences, and rotted porches will have to go. Trash has to be cleared after the demolition. If there is any framing or foundation work needed, it will be done at this time.
You will have to work with the contractor on the plumbing and electrical issues. Depending on the age and condition of the systems it may be possible to update. If not, a complete new installation will be necessary. Before blowing in the insulation, you must contact the building inspector. The individual will come out and approve the job up to this point or require changes.
Upon completion of the project, you will do a final walk through, settle up with the contractor, and prepare the house for prospective buyers. Staging is important, but you won't need to stage every room in the house, only the master bedroom, kitchen, bathrooms, and primary living area.
Buying real estate for resale is a great way to make a living, if you begin slow and stay conservative. It helps to have the kind of talent that sees potential in run down houses. If you buy low, prepare for the unexpected, and keep to the budget, you will have a good chance at success.
When you look at a property that you think has potential, you must thoroughly examine it. You should take pictures of all the defects, record measurements, and take notes. If you're not a contractor yourself, it's a good idea to bring one along. While you are noting everything that must be done, you should have in mind what might be changed or added to make the property more appealing to buyers.
After the inspection, you should take your photos and notes, sit down, and make a comprehensive list of every repair that must be made. You can make separate lists of the things you would like to do, and what might be added if you end up under budget. You need a line item for the unexpected problems that always arise. You can set aside a small percentage for these issues.
Once you have a dedicated crew of your own, you won't need outside contractors. Until then you'll have to hire a good contractor who is reliable and honest. If you don't already know one, you need to do some research to find viable candidates. When interviewing the candidates you should question the contractor's referrals, licenses, experience, insurance, and subcontractors.
Actual work on the property begins with demolition. On the inside, any walls, ceilings, and floors that are damaged beyond repair must be pulled up and thrown out. On the outside, dead trees and shrubbery, old fences, and rotted porches will have to go. Trash has to be cleared after the demolition. If there is any framing or foundation work needed, it will be done at this time.
You will have to work with the contractor on the plumbing and electrical issues. Depending on the age and condition of the systems it may be possible to update. If not, a complete new installation will be necessary. Before blowing in the insulation, you must contact the building inspector. The individual will come out and approve the job up to this point or require changes.
Upon completion of the project, you will do a final walk through, settle up with the contractor, and prepare the house for prospective buyers. Staging is important, but you won't need to stage every room in the house, only the master bedroom, kitchen, bathrooms, and primary living area.
Buying real estate for resale is a great way to make a living, if you begin slow and stay conservative. It helps to have the kind of talent that sees potential in run down houses. If you buy low, prepare for the unexpected, and keep to the budget, you will have a good chance at success.
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