House Renovation for Profit continued
Rehab Calculator Takes Some Risk Out of a Fixer Upper
Detailed estimate of home renovation costs
Get the ability to build a detailed repair cost estimate for any rehab or house remodeling project in less than 30 minutes with the Rehab Offer Calculator. The Rehab Offer Calculator consists of 20 connected Excel worksheets that work together to take the risk out of buying investment property that needs repair. To save you time and money, it automatically generates a maximum offer price based on the repairs needed, expenses, and estimated after repaire value. Also includes buy and hold analysis. Easily organize your project costs into room-by-room and contractor break out lists, plus the Rehab Offer Calculator automatically generates a complete materials list, too! With the Rehab Offer Calculator you can develop a detailed estimate of repairs for any house renovation project you are contemplating, and decide quickly if the deal really is a deal! Click here to get download instructions for the FREE TRIAL VERSION.
Those Terrible Termites
Call an exterminator!
Termites and other wood destroying insects such as carpenter ants can do massive damage to a property and greatly impact its value. In humid areas where termites are a problem, it’s not unusual to find many homes that have been virtually hollowed out, their wood siding turning to dust at a touch. How do termites get there in the first place and what can be done about an infestation?
Termites are ground insects that look for habitats that provide food, moisture and shelter close to the ground. Any place where wood meets ground qualifies, especially if the soil in that area stays moist. Correcting this situation may require re-grading to separate soil from any wood around the property. Since mulch and many other landscaping materials cause the soil to remain moist, minimize mulching around the foundation. Some experts recommend mulching no closer than a foot from the foundation. Firewood should not be stacked near the property. Make sure that gutters and downspouts are in good condition and keep moisture from accumulating. Promptly eliminate moisture problems in and around basements and crawlspaces.
It takes an expert to detect hidden termite damage. General home inspections do not typically include a termite inspection. Many states REQUIRE seller's to provide a "termite bond" to the buyer which proves an inspection was done and that chemicals were applied if pests were found. Professional termite exterminators apply chemical treatments that generally provide protection for up to 5 years.
Although it's tempting to only allocate money toward a house remodeling project you can actually see, eliminating and protecting against termites is a "hidden" cost that is well worth the investment.
Termites are ground insects that look for habitats that provide food, moisture and shelter close to the ground. Any place where wood meets ground qualifies, especially if the soil in that area stays moist. Correcting this situation may require re-grading to separate soil from any wood around the property. Since mulch and many other landscaping materials cause the soil to remain moist, minimize mulching around the foundation. Some experts recommend mulching no closer than a foot from the foundation. Firewood should not be stacked near the property. Make sure that gutters and downspouts are in good condition and keep moisture from accumulating. Promptly eliminate moisture problems in and around basements and crawlspaces.
It takes an expert to detect hidden termite damage. General home inspections do not typically include a termite inspection. Many states REQUIRE seller's to provide a "termite bond" to the buyer which proves an inspection was done and that chemicals were applied if pests were found. Professional termite exterminators apply chemical treatments that generally provide protection for up to 5 years.
Although it's tempting to only allocate money toward a house remodeling project you can actually see, eliminating and protecting against termites is a "hidden" cost that is well worth the investment.
All About Asbestos
Be careful when house remodeling
Asbestos is a tiny fiber that was used in the past primarily as insulation. It was also added to some building materials to provide added strength and flame resistance. The problem with asbestos is that it has been shown to cause lung cancer and mesothelioma in individuals that were exposed to large amounts of free-floating asbestos fibers in the air. These conditions typically did not become apparent until around 30 years after the exposure. Because of the health hazards of asbestos fibers, its use in insulation and paint was banned in the 1970s.
Homes built prior to the 1970’s could contain asbestos in insulation, plumbing, paint, wall joint compound, and other building materials. However, as long as the materials are in good condition, they pose no danger. Asbestos is only a threat if the fibers are released into the air and can be inhaled, which can happen during a house renovation.
House remodeling or demolitions of materials containing asbestos can release the fibers into the air. Therefore, the National Emissions Standards for Hazardous Air Pollutants (NESHAP) requires the owner of any property containing asbestos building materials to get an asbestos inspection prior to any demolitions or a house renovation. Asbestos can only be detected by a special microscope. Inspectors trained in asbestos detection will take samples for further analysis. If your property is found to contain asbestos, you have two options: removal of the material or sealing the material to prevent it from releasing fibers. Either option requires the help of a qualified asbestos abatement professional.
Homes built prior to the 1970’s could contain asbestos in insulation, plumbing, paint, wall joint compound, and other building materials. However, as long as the materials are in good condition, they pose no danger. Asbestos is only a threat if the fibers are released into the air and can be inhaled, which can happen during a house renovation.
House remodeling or demolitions of materials containing asbestos can release the fibers into the air. Therefore, the National Emissions Standards for Hazardous Air Pollutants (NESHAP) requires the owner of any property containing asbestos building materials to get an asbestos inspection prior to any demolitions or a house renovation. Asbestos can only be detected by a special microscope. Inspectors trained in asbestos detection will take samples for further analysis. If your property is found to contain asbestos, you have two options: removal of the material or sealing the material to prevent it from releasing fibers. Either option requires the help of a qualified asbestos abatement professional.
Sell Your House Without a Realtor
House remodeling complete? Time to sell? Want to save on realtor commissions? Learn to sell it yourself, even if you're busy with a full time job and family—and SAVE BIG!
Correcting Truss Uplift
Part of Your House Renovation?
Many homes have been built with trusses, which are prefabricated structural assemblies that hold up the roof and the top floor ceilings. Trusses are a series of triangles fastened together with gusset plates. The outside members of a truss are called chords while the inner pieces are known as webs. Truss uplift occurs when the top chord of the truss expands while the bottom chord contracts due to changes in humidity. Truss uplift usually becomes visible in a home during the winter when the bottom chords (the ceiling joist part of the truss), which are buried under ceiling insulation, stay warm and dry but the top chords are exposed to moisture. The resulting stress causes the truss to lift up at its center. When this happens, a crack can appear at the wall/ceiling juncture.
From a structural standpoint, truss uplift isn’t a problem, but cosmetically, it can cause cracks and separations in the drywall. If you try to repair the cracks with drywall compound while doing house remodeling, they may reappear. Contractors can mask truss uplift by securing the ceiling drywall to the top of the interior walls and not the trusses for 18 inches away from the interior walls. As the drywall flexes, it stays fastened to the walls while the trusses lift above it. Decorative molding can also be installed where the walls meet the ceilings. The molding should be fastened to the ceilings, not to the walls, so as the ceiling moves up, so does the molding, thereby hiding the gap.
From a structural standpoint, truss uplift isn’t a problem, but cosmetically, it can cause cracks and separations in the drywall. If you try to repair the cracks with drywall compound while doing house remodeling, they may reappear. Contractors can mask truss uplift by securing the ceiling drywall to the top of the interior walls and not the trusses for 18 inches away from the interior walls. As the drywall flexes, it stays fastened to the walls while the trusses lift above it. Decorative molding can also be installed where the walls meet the ceilings. The molding should be fastened to the ceilings, not to the walls, so as the ceiling moves up, so does the molding, thereby hiding the gap.
Avoid Costly House Renovation Mistakes!
House Remodeling
Make More Money In Real Estate By Avoiding These Costly Mistakes! Many seminars and books that tell you about how easy it is to make money on a house renovation, which can be true, but they tend to gloss over the many pitfalls, and just how expensive those pitfalls can be. And it has been hard to get a good understanding of what can go wrong, and how to avoid the pitfalls. The 10 Deadly Sins of Renovating for Profit is a downloadable guide that covers: key mistakes and how to avoid them, the six types of properties that offer the BEST PROFITS from a house renovation, the eight most common reasons for PAYING TOO MUCH for a property, and it provides a seven-stage research process that will GUARANTEE you the best profit margin. But there's MUCH MORE covered in these 73 pages. Find out more here...
Environmental Concerns on the Mind of Your Buyer
It seems that we hear a lot about environmental concerns these days. Much of it is simply the result of a greater awareness than we've had in the past. But since a buyer's concern is a seller's concern, while you're house remodeling, be aware of these 4 common environmental issues on the minds of buyers today:
Water quality is probably the most common concern and the one most easily addressed. Basic water quality tests will check pH, water hardness, the presence of fluoride, sodium, iron and manganese, bacteria such as E-coli, even lead and arsenic.
In homes built before 1978, lead based paint may be present. But it's really only a hazard if it's cracking and peeling and otherwise putting particles into the air. Two coats of fresh paint or a sealant is usually enough to solve any concern.
Radon is a radioactive gas that comes from the natural decay of uranium in the soil. Pretty much all homes have some radon present, tests can determine if the level present is higher than what is considered safe. If the level is too high, a radon reduction system will need to be installed.
In older homes built more than 30 years ago, asbestos is probably present because it was used in many types of insulation and other building materials. If the asbestos is releasing fibers into the air, it needs to be removed or repaired by a professional. But if the asbestos material is in good repair, and not releasing fibers, it poses no hazard and doesn't need to be addressed during a typical house renovation.
Water quality is probably the most common concern and the one most easily addressed. Basic water quality tests will check pH, water hardness, the presence of fluoride, sodium, iron and manganese, bacteria such as E-coli, even lead and arsenic.
In homes built before 1978, lead based paint may be present. But it's really only a hazard if it's cracking and peeling and otherwise putting particles into the air. Two coats of fresh paint or a sealant is usually enough to solve any concern.
Radon is a radioactive gas that comes from the natural decay of uranium in the soil. Pretty much all homes have some radon present, tests can determine if the level present is higher than what is considered safe. If the level is too high, a radon reduction system will need to be installed.
In older homes built more than 30 years ago, asbestos is probably present because it was used in many types of insulation and other building materials. If the asbestos is releasing fibers into the air, it needs to be removed or repaired by a professional. But if the asbestos material is in good repair, and not releasing fibers, it poses no hazard and doesn't need to be addressed during a typical house renovation.
Decorative Concrete Overlays Add Value to Your Home Renovation
House Renovation Idea
Decorative Concrete Overlays can dramatically enhance boring grey concrete into a wonderful works of art, or simply repair concrete that looks like it should be torn out and replaced. If you're rehabbing a fixer upper, learning how to install concrete overlays saves money and greatly improves the appearance of driveways, garage floors, basement floors, pathways, and many other surfaces. Click here to learn more about what's inside the Decorative Concrete Guide.
197 Ways to Improve Curb Appeal of Any Property You Want to Sell Fast!
House Renovation
Improve the curb appeal of your home, townhouse, condo, or commercial property to get top dollar and sell it 10X faster! Makeover tips, tweaks, and trade secrets that increase the selling price, especially after a house renovation! Includes free trial of 3D Landscape Software. Learn more about the 197 Ways to Improve the Curb Appeal of Any House.
The Benefits of Tile: Soundproof, Decorative, Environmental
Consider Tile for a House Renovation or Property Upgrade
Tile has a multitude of uses in the kitchen and bathroom-- floors, backsplashes, and countertops-- and is usually seen as an "upgrade" to vinyl surfaces. While the upfront cost is greater, the durability and low maintenance provide significant benefits. And it may prove to be the best option for getting a return on your house renovation investment because it lasts three to four times longer.
Soundproofing. In a multi-unit situation, owners are always looking for economical ways to control sound. Hard flooring surfaces such as tile deadens the impact of noises transmitted from units above.
Decorative upgrades. Even if you currently have vinyl countertops, adding a tile backsplash in a fancy pattern or bold color can instantly make over the entire kitchen or bath to appear more expensive than it is. Re-grouting is also one of the easiest and most effective ways to spruce up tired-looking tile floors without having to replace them. Grout comes in a wide variety of textures and colors, and can provide a fresh look without breaking the bank. Some grouts do not require sealing, which saves even more money and time during house remodeling, but without sacrificing quality.
Environmental. Tile can help with energy costs in warmer climates by keeping spaces cooler. For this reason, tile is especially popular in southern states. Using tile in the first place is a "green" alternative because it doesn't need to be replaced nearly as often as other materials such as carpeting or vinyl. Additionally, many tiles and installation materials are being manufactured with recycled content and low-VOC materials.
House Remodeling? New Flooring Adds Value Quickly!
Qualities of a Great Real Estate Agent or Broker
Like so much in life, finding a good agent or broker comes down to relationships. Whether you work with an agent or broker to find foreclosure deals, or to sell your flips after a house renovation, your partnership has to feel right to be able to add to your success.
Competent: A first-class real estate agent knows the area and the housing inventory, knows how to get financing for your buyers, can negotiate contracts in your best interest, and doesn't waste your time with properties that don't meet your criteria. They really have to "get" what you're doing as an investor and thoroughly understand your objectives. If you want a fixer upper project, they should understand that you need lots of profit margin to make the deal lucrative.
Caring: An outstanding agent makes you feel like you're his or her No. 1 priority, is a good listener, returns e-mails or phone calls promptly, and generally communicates with you often and in the manner you prefer. If you haven't heard from your agent for weeks, and his or her phone conversations are too brief, it's a good sign that the agent has too many other clients and not enough time for you.
Committed: A great real estate agent is dedicated to getting the job done??" goes the extra mile to drive the buyer's loan documents to the lender so the sale can close on time, doesn't question your judgment yet offers advice, and is available. Since most people prefer to buy homes and move during spring or summer, particularly families with school-aged kids, this is not the time a good agent would head away on a world cruise.
Ethical: Beware of pushy agents who try to hurry you into a purchase when you're not ready. Although perfectly legal, agents acting as dual representation for both the buyer and seller in the same transaction isn't usually the best practice. Working with an agent who is a member of a reputable organization, such as the National Association of Realtors, is a good idea because they complete ongoing Code of Ethics training. Also, pay attention to those initials behind an agent or broker's name. They indicate additional schooling or training that could be useful to you as an investor.
If you're unhappy with your current agent or broker, there's no reason or obligation to continue to work with that person. Real Estate Investors count themselves lucky when they meet a genuine professional who truly understands their investment objectives. A great agent or broker should help your business grow and make your life easier, so be picky when you establish that business relationship.
Competent: A first-class real estate agent knows the area and the housing inventory, knows how to get financing for your buyers, can negotiate contracts in your best interest, and doesn't waste your time with properties that don't meet your criteria. They really have to "get" what you're doing as an investor and thoroughly understand your objectives. If you want a fixer upper project, they should understand that you need lots of profit margin to make the deal lucrative.
Caring: An outstanding agent makes you feel like you're his or her No. 1 priority, is a good listener, returns e-mails or phone calls promptly, and generally communicates with you often and in the manner you prefer. If you haven't heard from your agent for weeks, and his or her phone conversations are too brief, it's a good sign that the agent has too many other clients and not enough time for you.
Committed: A great real estate agent is dedicated to getting the job done??" goes the extra mile to drive the buyer's loan documents to the lender so the sale can close on time, doesn't question your judgment yet offers advice, and is available. Since most people prefer to buy homes and move during spring or summer, particularly families with school-aged kids, this is not the time a good agent would head away on a world cruise.
Ethical: Beware of pushy agents who try to hurry you into a purchase when you're not ready. Although perfectly legal, agents acting as dual representation for both the buyer and seller in the same transaction isn't usually the best practice. Working with an agent who is a member of a reputable organization, such as the National Association of Realtors, is a good idea because they complete ongoing Code of Ethics training. Also, pay attention to those initials behind an agent or broker's name. They indicate additional schooling or training that could be useful to you as an investor.
If you're unhappy with your current agent or broker, there's no reason or obligation to continue to work with that person. Real Estate Investors count themselves lucky when they meet a genuine professional who truly understands their investment objectives. A great agent or broker should help your business grow and make your life easier, so be picky when you establish that business relationship.