How to find the perfect real estate investment property?

Posted by Bobby Montagne on Jul 25, 2017

 

Buying, fixing, then selling properties is a lucrative venture, and the number of homes being flipped annually is on the rise. In fact, according to a report released by ATTOM Data Solutions, house flipping hit a 10-year high in 2016, noting that there were 193,000 flipped homes across the country. But identifying the right real estate investment requires you to find properties with features that appeal to buyers in the current market.

Here's what to look for during your search for the perfect investment property to fix and flip:

iStock-691363636.jpgA House in a Popular Neighborhood

Home buyers are dying to get into a home in the hottest DC neighborhoods, and they are often willing to overlook certain features in hopes of living in a valuable area of the city. According to Data Lens DC, about 29 percent of houses in Truxton Circle and 28 percent of homes in Mt. Vernon Square have been flipped. Search for smaller, older homes in hot areas in hopes of finding a lower-priced property that can quickly be fixed and sold. 

Flip-the-house-508551999_1024x1026.jpegA Property with Little-to-No Curb Appeal

Traditional home buyers might pass on homes with faded, peeling paint and overgrown landscaping, but these properties are very desirable for real estate investors. You can often get these homes for a good deal, and spruce up the exterior for minimal costs. A fresh coat of paint and planting a few flowers and bushes can instantly improve the marketability of the property.

A Single-Family Home

The majority of home buyers are looking for single-family properties, so it's best to focus on these types of properties for your fix and flip investment. The goal is to purchase a property that will sell quickly once it is spruced up. 

A Home Without Defects

When you are searching for an investment property, identify features that can easily be changed within your budget and note items that are too difficult or costly to tackle. Low ceilings, galley kitchens and sloping foundations may be things that are too expensive to fix and may be out of your budget, but keeping them may deter buyers from considering your property. Be sure that you purchase a fix and flip investment property that you can change for the better.

iStock-689704630.jpgA Property with 3 Bedrooms

Most home buyers need at least 3 bedrooms in their future house, so these homes generally sell the fastest once they are listed on the market. You will find that there are buyers from every age and stage of life who are interested in purchasing a home that has 3 bedrooms, making it easy to market. 

Now that you know what you look for, it's time to begin searching the hottest DC neighborhoods for the best investment properties. To learn more about securing private financing that is fast and flexible, contact us at info@walnutstreetfinance.com now.

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Bobby Montagne

Author

Bobby Montagne is a real estate entrepreneur with three decades of experience in commercial and residential property development, finance and sales. Having successfully overseen $15 billion in career transactions, he is among an elite class of real estate innovator that has consistently delivered high quality returns to partners and investors.