Skip to main content
house renovation costs

Home Improvements to Add Value to Your Home

Homeowners can be excited at the prospect of renovating their home, but it can quickly become a stressful process when reality sets in on just how much the renovations could cost. However, calculating and planning for the expenses of the home improvements in advance can ease the stress of renovating and help you better plan for the work to be completed.

Creating an open-plan kitchen is a great way to refresh your home as it will add value by providing a more spacious layout that will make the house family-friendly. It’s important, however, to determine whether the cost is worth the investment. Seeing where your renovation budget will have the biggest impact can help you decide where the money should be spent. For example, if you decide to add an open-plan kitchen, it could possibly add a value of £18,251 to your home.

Even simple renovations such as double-glazing windows and adding solar panels can have the added benefit of making your house more energy efficient. If you like spending time in the garden, consider adding a garden room.

To calculate your home renovations and to see where you can add value to your home, head over to Sainsbury’s Bank site to use the calculator.

You can also see the guide below on what renovations will add the most value to your home, which ones are the most expensive, and which ones will yield the highest profit.

Home Renovation Calculator

house flipping

House Flipping in 2019: 6 Tips to Help You Turn a Profit

Real estate and, more specifically, house flipping, can be an incredibly profitable business. With the right home and in the right market, it’s possible to make tens of thousands of dollars on a single house over the matter of a few months. And that’s just one house.

 

Once you get the hang of flipping properties and discovering how to identify homes with the greatest return on investment potential, you’ll turn your flipping business into a well-oiled machine.

 

However, before any of that happens, you’ll need to start out with a single property. There will likely be growing pains as you learn along the way as well. However, by keeping these tips in mind, you’ll cut down on major expenses, all while boosting the potential profit while flipping homes.

 

Always Inspect The Property

 

Never look at the asking price, do a walkthrough of your own, and decide to buy it right then and there. This is a classic mistake and one that can cost you. Unless you’re a contractor you may miss substantial problems with the house.

 

You might not have seen the sloping foundation or the major problems with the roof. If you need to fix the foundation and install a new roof you’ll easily spend $50,000 or more on just these two repairs. This might completely eat away your entire profit margin.

 

So before you buy any property, always have it inspected. It doesn’t matter if you intend to gut it and flip it.

 

Look For Good Bones

 

It’s easy to fall in love with small features of a house. Maybe one property has a beautiful stained glass window or the most attractive backyard you’ve ever seen. When you see such a property it’s easy to get distracted.

 

In fact, while these are nice features, never buy a property to flip just because of a feature. You want a property with good bones. When it has good bones (in other words, a strong, level foundation, and solid construction), you can make up for any cosmetic problems. In fact, you can add as many features as you might like to make the property more attractive.

 

It is repairing problems with the bones where the real expenses creep up. Installing new windows might cost a few thousand dollars. But lifting the entire house, this will cost more than most complete renovations.

 

Only buy a house to flip if it has good bones – this is one of the best money-savings tips we can give you. Anything else will both cost too much to fix and take too long to flip.

 

Are Homes Selling In The Neighborhood?

 

One of the mistakes potential flippers make is not looking at the buying market of a given neighborhood. They might look at what housing prices are in the community and even the demographics of median income and family makeup. All of this is valuable data. However, it’s not the most important piece of information.

 

You need to know how long the average house stays on the market. Some communities are hot, to a point where a property sells within the same week or two, it goes on the market. Yet other communities do not receive the same kind of interest from potential buyers.

 

Even if you can buy a house and sell it for a greater amount of money in a slower moving community, it’s better to buy a house you can fix and flip right away.

 

Why?

 

Because for every month you hold onto the house that’s another month you have to pay a mortgage.

 

Time really is money in the world of house flipping. So if you buy a property with a $1,000 mortgage and you end up sitting on it for six months, that’s $6,000 out of your potential profit.

 

You want to get in and get out as quickly as possible, especially when starting off.

 

After you’re established and have a half-dozen properties going at once you may be able to afford to hold onto some properties for longer, if you know you’ll make a larger profit when it does sell. But in the beginning, shoot for a fast-selling community.

 

Home Depot (and Lowes) Is Your Friend

 

Yes, you can buy all kinds of goods for the flip from your local home improvement store, but that’s not why it’s really your friend.

 

The more work you do on the property yourself the greater your potential profit. This also means every dollar you give to a contractor is one less dollar you’ll have when you sell the house.

 

Many of the jobs a contractor will do for you are jobs you could actually perform yourself. You just don’t have the right experience or knowledge at your disposal.

 

This is where the local home improvement store comes in.

 

Most stores such as Home Depot and Lowes offer free tutorial demonstrations on weekends (check out the websites for stores nearby to see when these classes are offered). By attending these classes you’ll learn how to do these tasks within the home you’re flipping.

 

You’ll discover many of these tasks are not terribly difficult. It might take a few hours longer to do, but you’ll save hundreds of dollars on every job you do yourself. Plus, the more frequently you flip homes, the more practice you’ll have and the easiest it becomes.

 

But Know When You Need a Professional

 

There are some jobs you can do yourself.

 

Installing a toilet, laying tile, or even buffering a hardwood floor.

 

However, you need to know when to do the job yourself, and when to turn to a professional. If your home needs electrical work do not try to go about doing this yourself.

 

First, dealing with major utilities, such as electricity and gas, is dangerous. You not only put yourself in danger but potential buyers in danger.

 

Second, if a potential buyer is interested in your home they will hire a contractor to come in and inspect the house. If the electrical work is not done correctly you’ll need to hire someone to come in and repair what you already did. This forces you to pay for the electrical work twice before the house sells, and you’ll end up holding onto the property longer, which may mean you pay another mortgage payment.

 

So while much of the work you can do on your own, know when to hire a professional.

 

Connect With Contractors

 

At some point in time, you will need to work with contractors. You might be able to perform much of the work on your own with the first flip. In fact, if you’re doing one property at a time and are careful with the houses you buy you’ll find much of the work is easy to do. However, there will come a time where you either purchase a lemon of a house and it requires more repairs than you thought, or you’ll run out of easily-flipped properties and have to dig into homes with greater cosmetic fixes.

 

Whatever the reasoning, seek out a contractor you can directly work with. Show the contractor your portfolio of homes and your desire to continue the flipping process. If the contractor believes you’ll deliver a steady stream of work they may be more inclined to cut their asking price. So look around and discuss the partnership opportunity with these contractors. It may be a mutually beneficial relationship for both of you.

 

In Conclusion

 

Now is the perfect time to start flipping houses. Flipping real estate, when done right, has the potential to turn into a full-time, high-paying job. And this is a job where you’ll be your own boss. However, flipping homes are more difficult than what 30-minute television shows make it out to be. You need to know how to best pick out homes and how to keep costs down in order to increase your profits.

 

By following through with these tips and suggestions, you’ll avoid buying homes that not only will cost too much to repair but will stay on the market longer than you’d like. Plus, with the help of My Real Estate Business, you’ll have access to a team of professionals that will help give you all the necessary tools and education you need to be a successful house flipper.

 

stress free home move

Landlords: 3 Top Tips for Buy-to-Let Property Investors

Recently, the buy-to-let business has come under the cosh from a crackdown on tax, but many still consider property investment as an attractive business at a time of volatile stock markets and low-interest rates. Changes in tax ultimately mean extra stamp duty on purchasing a buy-to-let, soon meaning the end of the ability to compensate all buy-to-let mortgage interest alongside the income tax. However, the buy-to-let business can still pay off if you follow our top tips for property investors.

If you do wish to invest in such properties or wish to improve returns on the property you as a landlord already own, it is important that you do things right and always consider the best money-saving tips so you don’t overspend. Whether you are an experienced landlord, or new in this market, here are our top tips for investing in a property and being a good landlord in London.

1.     Properly Research the Buy-to-Let Market

If you are new in this business, you may want to ask yourself what you really know about the market. Are you aware of all the risks and the benefits? Do you know some good estate agents in Camberwell who could guide you further? Be sure that this is an investment you really wish to make, or whether your money will perform much better elsewhere.

Note that in recent years, a high rate savings account can beat most investments. Rates are lower now but investing in a buy-to-let also means tying up capital in a property that could fall in its value in the future. These days, investing in such properties involves committing thousands of pounds and typically thinking about taking out a mortgage. When the price of a house rises, this means it is possible to make bigger gains above your mortgage debt. However, when they fall, your deposits get hit and the mortgage ends up staying the same.

Both in terms of capital gains and income, property investing pays off handsomely for many people, but it is important that you take the leap with your eyes wide open. You need to learn and acknowledge the potential advantages and the disadvantages. For this, it is advisable that you consult some Fish Need Water estate agents or someone who has experience with buy-to-let properties. Rest assured that the more knowledge you have through research, the better the chances of your investments being worthwhile.

renting out a property

2.     Choose a Suitable Investment Area

Buying a property to rent out in the future does not mean you should restrict your options to the cheapest or most expensive. Choosing a suitable area means a place where people would love to live for a variety of reasons. Which area or neighbourhood offers a special appeal? Does the area offer good transportation services? Consider areas where there are good schools located for young families and students who wish to live there.

Alongside these, you also need to match the kind of property you can afford and whether the people who want to live in that area would prefer to choose your property. Such questions may sound too simplistic, but probably, they are the most important aspect of a successful investment.

Usually, people prefer to invest in a property that is close to where they live. On the bright side, this means they will know the market a lot better than other areas. It also enables them to keep better tabs on the property. It is also worth bearing in mind that if you own a house and exposed to the market in your area, then looking for a different one in the same area is a smart move.

3.     Bargain for the Best Price

Just like first-time buyers, as a buy-to-let investor, you also have the same advantage when it comes to negotiating for a discount. If you are not the sort who relies on selling a property to buy another one, then you are not a part of the chain and stand at a less risk of the sale falling through. When negotiating for a discount, this can be a major asset. Try to make low offers and do not fall into overpaying.

Before you get involved in the pricing or payment part, it is important that you know the market well before negotiating. For example, if the market is softer and homes take longer to sell, then you are at a better chance to negotiate for the best deal. It is also a wise decision to first find out why someone is willing to sell their property and how long they have owned it.

At most times, an existing landlord who has owned the property for a very long time, cashing in their asset, would be more willing to accept a lower offer in the effort to make a quick sale compared to a family who needs the best price to afford a move.

If you are considering getting involved in the buy-to-let business, following these tips can help you to stay ahead and make the best deals. A proper understanding of the property market in your area can help you to find the best homes, and tenants who would appreciate your home.