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“Fix and flip”, just like on TV: the strategy to resell a one-bedroom apartment quickly and successfully - Infobae
Source:
www.infobae.com
November 11, 2024
Keys to renovating this type of property and achieving a quick and profitable resale: what details to focus on, how to manage costs and what improvements can increase the value by up to 30% in a short time.
By Jose Luis Cieri
When buying a home to renovate and resell, it is key to control costs to achieve a good financial equation and recover the investment in a short time (Illustrative Image Infobae)
The “ fix and flip” concept has become a popular strategy in the real estate market, with the aim of buying, renovating and selling properties in a short period of time to achieve profits that can climb up to 30% after the renovation.
This tool, very common in television programs in the United States and some European countries, consists of acquiring properties that require significant improvements at a relatively low price, then renovating them and selling them quickly at a higher value.
Not only does it allow property owners to increase the value of their properties, but it also provides opportunities for investors to maximize their returns.
For those who own a studio or one-bedroom apartment for sale, making certain improvements can be key to increasing its value. Improvements should focus on functionality and appeal to potential buyers, which increases the sale price and facilitates a quick transaction.
When buying a property to renovate, it is essential that the purchase price is below the average for the area to prevent the value from exceeding the market value after renovation and making the sale difficult.
It is also worth considering the purchase and sale costs, such as taxes and fees, to calculate the renovation budget and the expected profit.
An effective strategy for those who buy property as an investment is to look for properties in neighborhoods where properties tend to be more expensive. Renovations should be carried out in a limited time, prioritizing the functionality of the space to attract potential buyers.
For those interested in transforming a one-bedroom apartment, there are several practical tips.
Lighting is key: it is recommended to take advantage of natural light and use dividers that allow it to pass through. As for the kitchen and bathroom , these must be in optimal condition, since they are critical areas for buyers. Simple investments, such as installing a breakfast bar, can add significant value.
Having a kitchen with plenty of storage space is key to attracting the demand for refurbished homes (Illustrative Image Infobae)
The functionality of the property is another crucial aspect. Creating efficient storage spaces and using multifunctional furniture can make a small apartment look more spacious and tidy.
Investing in patios or balconies increases the attractiveness of the property. Elements such as vertical gardens or wooden decks can turn them into very desirable areas for buyers.
When choosing a color palette for renovations, it is suggested to opt for neutral tones that visually expand spaces and appeal to a broad spectrum of buyers.
For a standard bathroom measuring 3 x 3 to 4 m2, the total cost is around USD 5,000, while a kitchen can reach USD 10,000 (if it exceeds 3 x 4 m2), varying depending on the initial state and design of the work.
In small apartment bathrooms, additional costs include demolition of toilets and removal of fixtures before new installation. “The structure of the building can increase costs if it is necessary to intervene in main pipes for drainage and water,” Correa said.
Before and after a bath, the total work can take up to 45 days
In the kitchen, the variation in prices depends on the design of the space, since some kitchens integrated with the dining room increase the area to be renovated and its complexity.
Correa also recommended prioritizing the areas that are most used, such as the living room (which costs an average of USD 300 per m2 to renovate). Lighting and modular furniture can improve the aesthetics without a major remodeling.
For investors looking to optimize space, it is suggested to opt for open and integrated designs, eliminating unnecessary divisions between kitchen and dining room to gain spaciousness and light. These changes are attractive to today's buyers, who value fluidity in environments and the possibility of integrating common areas.
The functionality of the openings should also be checked, ensuring that doors and windows are in optimal condition, as this influences the perception of the quality of the home.
When choosing an apartment for a “ fix and flip” project , it is essential to evaluate the general structure of the building and the real estate value of the area.
It is recommended to prioritize well-lit properties with no structural problems. Minor damage, such as old stains, is not an obstacle, but high expenses on small units can affect their appeal.
“The key is to focus improvements on strategic areas that add value without increasing costs. Modern finishes and an optimized layout allow the property to stand out and facilitate a profitable resale,” Correa concluded.
www.buysellba.com
Source:
“Fix and flip”, como en la televisión: la estrategia para revender rápido y con éxito un departamento de dos ambientes
Claves para renovar un departamento de dos ambientes y lograr una reventa rápida y rentable: en qué detalles enfocarse, cómo gestionar costos y qué mejoras pueden aumentar el valor hasta un 30% en poco tiempo
www.infobae.com
November 11, 2024
Keys to renovating this type of property and achieving a quick and profitable resale: what details to focus on, how to manage costs and what improvements can increase the value by up to 30% in a short time.
By Jose Luis Cieri
When buying a home to renovate and resell, it is key to control costs to achieve a good financial equation and recover the investment in a short time (Illustrative Image Infobae)
The “ fix and flip” concept has become a popular strategy in the real estate market, with the aim of buying, renovating and selling properties in a short period of time to achieve profits that can climb up to 30% after the renovation.
This tool, very common in television programs in the United States and some European countries, consists of acquiring properties that require significant improvements at a relatively low price, then renovating them and selling them quickly at a higher value.
Not only does it allow property owners to increase the value of their properties, but it also provides opportunities for investors to maximize their returns.
For those who own a studio or one-bedroom apartment for sale, making certain improvements can be key to increasing its value. Improvements should focus on functionality and appeal to potential buyers, which increases the sale price and facilitates a quick transaction.
When buying a property to renovate, it is essential that the purchase price is below the average for the area to prevent the value from exceeding the market value after renovation and making the sale difficult.
It is also worth considering the purchase and sale costs, such as taxes and fees, to calculate the renovation budget and the expected profit.
An effective strategy for those who buy property as an investment is to look for properties in neighborhoods where properties tend to be more expensive. Renovations should be carried out in a limited time, prioritizing the functionality of the space to attract potential buyers.
For those interested in transforming a one-bedroom apartment, there are several practical tips.
Lighting is key: it is recommended to take advantage of natural light and use dividers that allow it to pass through. As for the kitchen and bathroom , these must be in optimal condition, since they are critical areas for buyers. Simple investments, such as installing a breakfast bar, can add significant value.
Having a kitchen with plenty of storage space is key to attracting the demand for refurbished homes (Illustrative Image Infobae)
The functionality of the property is another crucial aspect. Creating efficient storage spaces and using multifunctional furniture can make a small apartment look more spacious and tidy.
Investing in patios or balconies increases the attractiveness of the property. Elements such as vertical gardens or wooden decks can turn them into very desirable areas for buyers.
When choosing a color palette for renovations, it is suggested to opt for neutral tones that visually expand spaces and appeal to a broad spectrum of buyers.
More tips and costs
To achieve a quick and profitable resale, attention must be focused on the areas of greatest visual and functional impact: kitchen and bathroom. As architect Gabriela Correa , a specialist in the design, management and execution of new works and renovations, explained to Infobae , the cost of renovating these spaces can be considerable, since it not only involves changing coverings, floors and ceilings, but also renewing the infrastructure.For a standard bathroom measuring 3 x 3 to 4 m2, the total cost is around USD 5,000, while a kitchen can reach USD 10,000 (if it exceeds 3 x 4 m2), varying depending on the initial state and design of the work.
In small apartment bathrooms, additional costs include demolition of toilets and removal of fixtures before new installation. “The structure of the building can increase costs if it is necessary to intervene in main pipes for drainage and water,” Correa said.
Before and after a bath, the total work can take up to 45 days
In the kitchen, the variation in prices depends on the design of the space, since some kitchens integrated with the dining room increase the area to be renovated and its complexity.
Correa also recommended prioritizing the areas that are most used, such as the living room (which costs an average of USD 300 per m2 to renovate). Lighting and modular furniture can improve the aesthetics without a major remodeling.
For investors looking to optimize space, it is suggested to opt for open and integrated designs, eliminating unnecessary divisions between kitchen and dining room to gain spaciousness and light. These changes are attractive to today's buyers, who value fluidity in environments and the possibility of integrating common areas.
The functionality of the openings should also be checked, ensuring that doors and windows are in optimal condition, as this influences the perception of the quality of the home.
When choosing an apartment for a “ fix and flip” project , it is essential to evaluate the general structure of the building and the real estate value of the area.
It is recommended to prioritize well-lit properties with no structural problems. Minor damage, such as old stains, is not an obstacle, but high expenses on small units can affect their appeal.
“The key is to focus improvements on strategic areas that add value without increasing costs. Modern finishes and an optimized layout allow the property to stand out and facilitate a profitable resale,” Correa concluded.
www.buysellba.com
