Real Estate Information

How to Buy Fixers for Profit


Do you dream of becoming a multi-millionaire real estate investor? Here's how to get started: find a bargain "fixer-upper" owned by a worried seller. The hardest house for a homeowner to sell is a "doghouse," "dump," or "fixer-upper." These run-down houses turn off most home buyers, who don't have the money to cover the down payment, plus closing costs, new furniture, carpeting, appliances, roof repairs, and other deferred maintenance required to bring the home back into top condition.

As you look through the classified ads or at real estate listings, keep an eye out for terms like "handyman special," "as is," "fixer," or other tell-tale phrase. Ask your buyer's agent to list these words when scanning the Multiple Listing Service for you.

Why Home Sellers Accept Rock-Bottom Prices

Home owners' troubles often keep them from staying on top of their home's maintenance. Circumstances such as divorce, job loss, devastating illness, assorted addictions, or other personal problems quickly overcome distraught home owners, forcing them to sell. These home owners can't keep up with monthly mortgage payments and/or repairs because of financial or physical limitations. When these troubles arise, their home becomes a low priority and sometimes goes into foreclosure.

Find "Triple-D" Deals

Home sellers with three problems offer breaks to beginning real estate investors. A "Triple-D" deal is a Doghouse, involved in a Divorce, and in Default. The label "doghouse" comes from Southern California real estate agents who described the worst fixers this way. You may have seen ads for "ugly" houses. Often these "tired" houses need only cosmetic work in order to compete for resale with other homes in the area.

How to Compete in a Seller's Market

Once you've found a property that you can turn from doghouse to dollhouse, find out the seller's problem and then offer a solution. Distraught sellers commonly experience financial difficulties and need cash as soon as possible. Therefore, if you're ready to close rapidly, you'll be set to negotiate a lower sales price. Sellers with problems love it when an offer to purchase says "close in 10-14 days."

How to Complete a Fast Sale

Find an experienced lender and get yourself not only "pre-qualified," but also "pre-approved." Taking that second step assures worried sellers that you already have your loan in place for their property, and this puts you well ahead of other potential buyers.

Use a trusted closing or escrow agent who knows what they're doing; one not over-worked. Even in today's busy market, you can find an officer who can help you close in two weeks, when your financing is prearranged.

Real estate investing should be fun as well as profitable. Keep in mind that you're seeing potential when you view fixers. Enjoy your property search!

Copyright (c) 2005 Jeanette J. Fisher. All rights reserved.

Jeanette Fisher, author of "Doghouse to Dollhouse for Dollars," Sell Your Home for Top Dollar--FAST, and other books teaches professional real estate seminars and interior design college courses. For interior design articles see http://www.joytothehome.com/

For more real estate investing articles see http://www.doghousetodollhousefordollars.com/


MORE RESOURCES:
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news


Forbes

4 Types Of Content Real Estate Marketers Need To Be Using
Forbes
The real estate world has changed drastically over the last few decades. While the industry has evolved more slowly than many other sectors, this makes it the perfect industry for innovative thinkers. With the growth of digital media and technology ...



New York Times

When Furniture Rains from Above
New York Times
Q: I live in an Art Deco condo tower with terraces tiered like a wedding cake. Recently, two wooden chairs and a large dining table fell from a terrace above, tumbling onto a common area, and then down to my private terrace, damaging patio tiles and a ...



The San Diego Union-Tribune

Commercial real estate recovery extending 3 years but retail retrenching, survey shows
The San Diego Union-Tribune
But the survey of developers, lenders and various real estate institutions for retail real estate is more pessimistic since Congress approved tax cuts late last year. The report said the tax changes make commercial real estate more attractive because ...



Forbes

Must-Know Social Media Strategies For Real Estate Agents In 2018
Forbes
Without tools, human would have ended up in the same graveyard as dinosaurs. Instead, we put footprints on the moon. And I have to hand it to real estate agents — they've been pretty good at utilizing a variety of tools. I know they've broken in their ...



The Spokesman-Review

Motley Fool: Easy real estate income
The Spokesman-Review
Real estate investment trust Realty Income (NYSE: O) is a company that Aesop's tortoise would be proud to own. Since listing on the New York Stock Exchange in 1994, it's raised its dividend by 4.7 percent annually. That rate isn't going to win any ...



Hollywood Reporter

LA Real Estate: How to Spot a Shady Broker
Hollywood Reporter
It's a boom time for real estate brokers. Next to developers, no other industry has benefited more directly from Southern California's red-hot market. And for Los Angeles' top firms, the past 12 months have been a head-spinning time of record-breaking ...
10 Questions to Ask a Real Estate Agent Before the Pro Helps You Buy a HomeRealtor.com News

all 17 news articles »


The TokenHome ICO is About to Launch – Changing The Worldwide Real Estate Industry Overnight
Bitcoinist
Malaga, Spain, February 14, 2018, Real Estate Investing has always been a preferred method of increasing one's wealth. The problem has always been that most people do not have the required amount of money to even start. All that is changed thanks to ...



Investing In Real Estate: Can You Short The Dollar?
Forbes
Thomas Black, M.D., is the co-founder and managing partner of Napali Capital, a Texas-based real estate investment firm. Thomas Black , Forbes Councils. I was driving my son to school recently when he turned to ask me a question. I've always encouraged ...



Forbes

The Future Of Real Estate Tech: How We Got Here And What's Next In An Exploding New Ecosystem
Forbes
Driving this investment explosion is the evolution of real estate tech from its initial phase of software and marketplaces complementing the incumbents to a new era where tech enabled players are going head to head against the sector's largest ...



Inside Tucson Business

Commercial real estate heating up in Pima County | Construction ...
Inside Tucson Business
The forecast for the Tucson metro area's commercial real estate market is bright.

and more »

Google News

home | site map | Blog |
Portland Oregon Real Estate Listings | real estate investing | real estate in greece | for sale by owner in atlanta | House for sale: Louisville KY
Exchange Links Here | Links page |
© 2006