i would like to know your opinion on this matter please. I am buying a fixer upper property at a well below market value. purchase price 200k propery worth around 300k ( land value) . what do i do to maximise return on my investment? do I hire a contractor to rehab it and sell at a higher price? or just turn around and sell it at profit to a builder, rehaber or anyone who would buy it at " as is " condition either way i dont want to keep it for long so it is going to be a shor term.
judd, thanks for the input
the house itself it needs around 50k to upate but i see a lot of houses in that area that are being torn down for rebuild the were not a tear down. i do have the money for the contractor waiting it out will take some support from family but i think i do it
Before you commit to a contractor try this. Put an ad in your local paper on Sat. and Sun. (I know you guy’s must be getting tired of this post, but it works for me every time) Your ad should go something like… Handyman special- Lakewood area, 3 bed , 1 1/2 bath, Cape, Hardwoods throughout, ton’s of potential, must close in 30 days, Best offer over $225,000 AS IS! (give your cell number because people will be calling while your showing the house)
If your right on the under market value of this home you will get bombed with phone calls. Show it from 10-2 Sat & Sun and see what happens. You can tell everyone that calls the truth, that you haven’t decided if you want to rehab it or just sell it as is. I always seem to get a few investors who see some money on the table and bid it up.
It will cost you 4 hours on your weekend and the price of the ad. Let us know how you do if you try it.