Rehabbing and selling is a beautiful business with enormous profits that we all love, but to really make it a long term business model, you need to make sure that your homes stand out when they are on the market competing with all of the others.
Nowadays, buyers are looking at lots of homes before they make a buying decision. Some of them go on tours with their realtor on a Saturday and look at 10-15 homes in one day. They want to explore all of their options, which makes complete sense. Why would they settle on anything before they see all of their options.
2 Fix & Flip Strategies
Your Job As a Rehabber
This can make life difficult for a rehabber if you don’t know how to make your rehab deals stand out. Your job as a rehabber, is to make sure that they remember your house after they’ve looked at dozens of others. The better scenario is for them to stop shopping when they’ve seen yours, and write you an immediate offer in fear that someone else may get it.
Either way, you need to stand out for either of these 2 scenarios to happen. Here are 2 strategies to do that:
Strategy #1: Splurge on a very noticeable and unique item that no other comparable homes have.
Here’s what I mean…
When you go online and look at the photos of your surrounding competition within your price range, notice a pattern of what kinds of features the homes have (especially in the kitchen and bathrooms).
Do most of them have laminate counters? Do they have appliances included? If so, are they white? Do the bathrooms have custom tub surrounds or full body shower sprayers?
There are plenty of other areas to look, but these are usually the “money” zones. What you need to do is look at the average trend on one or 2 of these items, and then go a step above all of the competitors…
If they all have an average kitchen faucet, get a high end one that stands out (maybe one that turns off with just a touch of the hand). If most of them have fiberglass tub surrounds or basic tile, grab a custom mosaic to install through it.
A big one that has served me well is the full body shower sprayer. You can buy them on Amazon for less than $250, and EVERY buyer will look twice at it, and remember it. It interrupts what they are used to seeing, and that’s how the human memory works.
We remember things that are out of the norm. If all the other houses have white appliances, get stainless steel.
Obviously you don’t have to do all of these things, but doing one or two, will give you that memorable edge to get your house sold quicker and maybe for more.
Strategy #2: Price your home slightly less than the average home.
Yes, you may even have a better home than your competitors, but buyers usually will correct your slight underpricing for you anyway. They will offer over asking in fear of losing out on such a great home at a fair price.
I’m not suggesting that you drastically underprice it, but even a few thousand less than anyone else can really spike activity and get people looking at it in herds.
Now, there are other methods to stand out, but I wanted to convey 2 simple ones that you can immediately implement and see some nice results.