Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (45) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: inparadise Big funky green star, 20000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 19329  
Subject: Re: Spoiled Generation Date: 5/14/2014 5:25 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 1
I would suppose that the popularity of "house flippers" who buy fixer upper properties, fix them up and then sell them for a much higher price reflects this bias of buyers for a house that is already fixed up.

House flipping as portrayed by TV is highly romanticized. Worked well during the bubble, but many if not most flippers lost their shirt in the down fall.

That implies that there is likely a significant premium to be had for spending the time and money to meet the supposed high standards buyers want these days, as reflected by comments in this thread.
...

So I would suppose that people should expect to get back their costs and then some.

Of course that has to be done with a degree of shrewdness and a sensitivity for what people will pay for.


Buyers have always preferred a home that meets their high standards, though I will agree there are probably fewer today who are even able to see the potential of a place, rather than what is simply in front of them.

Article after article warns about what provides best value for fixing up. Here's one that shows you need to chose your rehab carefully: http://www.zillow.com/howto/ValueOfHomeImprovements.htm

A neighbor who was selling his home last year was bemoaning how no one wanted to pay for his custom built house with fine materials like a mahogany stair case. Another just finally sold his extensively tiled home with beautiful granite and travertine at about 20% less than his asking. These people most certainly did not recoup their money.

Sure, selective home improvements, particularly those that push emotional buttons, help sell the home...but it still has to appraise and that is set mostly by comps, or what the market will bear.

IP
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (45) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Managing Your Wealth
Our own TMFHockeypop from Rule Your Retirement fame on the TV show Managing Your Wealth.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Value Hounds

Clorox Isn't Cleaning Up
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement