The Pros And Cons Of Buying A Flipped House

Posted On Thursday, 06 August 2020 20:16

Jumping into the real estate market brings many curiosities you should consider. One of them is buying a flipped house. If you’ve been browsing homes for sale for a while, you’ve probably come across one of these. However, many people are insecure about these purchases, simply because they’re not informed about the whole process, as well as the pros and cons. Luckily, we’re talking flipping houses in this article. Let’s find out everything about them, and finally decide – should you consider buying a flipped house?

What are flipped homes?

It’s pretty simple. A flipped home was recently bought by a current owner– but in a different condition. The buyer invested money to restore it, usually for a short period, and now wants to sell it. Why the hose is called flipped? Well, the owner wants to earn more and is probably selling a house at a higher price. This way, investing in buying and restoring a home can pay off for the owner, especially when they sell the house at a premium price. The trend of flipped homes is now back in the real estate game, so you should know everything about it if you plan on buying a family home soon.

Figure 1 buying a flipped house can be tricky - so make sure you consider all the factors. alt.tag: a key for buying a flipped house

However, if you’re not sure with all the browsing homes details, it’s good to contact a professional. An experienced agent will investigate all the details about the house you like, and help you with looking for the best option for a beach property, for example. However, you should know exactly what you want, so that the agent can act according to your wishes. 

Is there a way to recognize a flipped house?

There’s a way to tell if the house was renovated for flipping. Most of the time, the house construction is older. However, the interior is usually modern and new. As the house was renovated in just a couple of months, usually the modern parts are just the finishing touches. Also, checking the house history is another option – make sure you look at a trusted website that offers information on listed properties. 

Remember: Once you find the house you like, you should get a helping hand in terms of moving to the new home. Again, contact only the trusted sources, and look for companies that have experience and skill. Purple Heart Moving Group will provide you with a moving that will use their moving expertise to ensure safe and quick relocation.

The pros of buying a flipped house 

Let’s talk about the reasons you should go for it. There are several advantages of buying a flipped property and here are some of them you should consider:

• new interiors for a short time – buying a home that has a brand new interior usually takes longer since you would buy new construction and design it by yourself. However, that usually takes long –  and longer than you expected. Getting a recently renovated house would mean getting new interiors in a much shorter time;
• saves you time on home improvements – usually, moving into a new house is delayed because of certain improvements you need to do before moving in. When moving into a new home, you will probably skip all that, since the property was recently renovated and all the major problems were probably fixed for you;
• it’s a cheaper option than buying/building a new house, in most of the cases.
• a better location – many times, older homes got better locations in the city. 

Figure 2Ready-to-move-in houses are a huge time saver, which is an advantage when buying a flipped house. alt.tag: a living room of a modern flipped hosue

Cons – what may stop you from buying a flipped property

Now, let’s be realistic. After the good stuff, let’s see what are the negative points of buying a recently renovated, flipped house.

Firstly, a flipped house can be too old. Even though the remodeling looks just fine, if the house is very old (15 years or more), additional problems may appear soon enough.

Next, there’s a risk that the remodeling was not done well. It happens that the updates are only cosmetics, while the real problems are hidden. However, you should inspect these houses well – it’s best to hire a professional inspector. Also, buy from a reputable seller only – ask around, get recommendations, and take a look at their ‘flipping history’.

And finally – sometimes houses like this are overpriced. You could be paying a lot of money just for finishing touches. It’s necessary to look around and find out the average prices of the houses in the neighborhood. This will tell you more about what the house is worth. 

Figure 3Older properties often come with problems - is the flipped house you're looking at too old? alt.tag: an old property

Is it a good idea to buy a flipped house? 

Well, this decision depends on a couple of factors. After considering all the pros and cons, you should evaluate your situation. This includes the finances, the time you have to move, and the will and energy to deal with potential problems and home improvement. Surely, there are some great deals with flipped houses, but there’s always the risk of paying more for something you can do on your own. However, you might find just what you need – a house remodeled by somebody else, but in a way that suits your family’s needs and requirements. 

Conclusion 

Even though the final decision is up to you, it’s good to be informed on all real estate details and also the pros and cons of buying a flipped house. This way, you’ll be more realistic when browsing for homes, and also make sure you buy the perfect house for your family. 

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