Barry Kunselman | 303.887.0588 | Contact Barry

Mini flip seller makes 20k more

For years I have helped my sellers maximize their hard-earned equity by doing minor fix-ups before putting their home on the market, I call it a mini-flip. With a traditional fix and flip investors find the ugliest house on the block then invest a lot of money into the home to maximize their profits. For example, they might pay $300,000 for home then invest another $50,000-$80,000 into the home and sell it for $500,000 making a nice profit. In a mini-flip, my clients spend under $10,000 into the home, making small updates and repairs to attracted the first time home buyer who is just trying to get into the Colorado market and looking for a home that is move in ready.  

Northglenn Mini Fix & Flip

The property was a 3 bedroom, 2 bathrooms, 1700 sqft home with a large backyard, large deck, 1 car garage plus RV Parking. 

NUMBERS

  • Sold as is: $325,000
  • Estimated repairs: $5,000
  • ARV (after repair value): $335,000
  • Estimated profit (after carrying and selling costs): $10,000

My sellers on 11539 Irma invested roughly $5,000 into the home and sold for $20,000 more than we expected. Without making any repairs their house would have sold for $325,000, after making the repairs we were expecting to sell the home for $335,000, however, we received multiple offers and sold for $345,000.

REPAIRS

Below is the list of repairs they made to the home. The total fix-up cost came up to $4,700.00

Bathroom 1 - total cost $1,500

Irma Before and after Bathroom 1

  • Removed wallpaper
  • repainted
  • replaced light fixture
  • replaced vanity
  • patched drywall by shower
  • replaced mirror
  • added new flooring

Bathroom 2 - total cost $1,200

Irma Bathrooom 2

  • Removed wallpaper
  • repainted
  • replaced light fixture
  • replaced vanity
  • added new flooring

Other repairs and updates - $2,000.00

Irma Kitchen Before and After

  • Remove wallpaper by stairs and repaint wall
  • Remove shag carpet and replace with laminate flooring
  • add stainless steel hardware to kitchen

More pics:  http://porchlight.visutour.com/11539-irma-dr

Take a 3D Tour: https://my.matterport.com/show/?m=7KarAkhEusj

 

Advice to Mini Flip Sellers:

If you decide to do fix your home before you sell, check with your realtor which renovations will give the most bang for your buck. Making the right decision about your renovation project will ensure that your home will attract more homebuyers and get you the best price. 

 

Contact 303.887.0588 or email barry@porchlightgroup.com to know which home renovations will generate the best resale value—not all add as much home equity as you might expect.

Readers:

Would you rather have a $20,000 flip profit or would just sell your property with no repairs? Send in your answers in the comments section.

 

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