Flipping homes for sale is a popular event today, and it can be a way to make a lot of money. The downside to this activity is that it is also highly risky. If you end up with a house that needs a lot more renovations than you expected, you might not make any money on the house. The worst case scenario would be that you actually lose money on the deal. If you are new to this and want to protect yourself, make sure you look closely at the following three things in any house you are considering buying.
Hidden problems from water damage
When a house has water damage, the damage can be repaired completely; however, it often takes the help of professional water damage remediation companies to make sure the work is done right. If you are looking at a house that has had water damage, you should make sure the house does not have mold in it and that the structure of the home was not compromised from this event.
Even if a home did not have water damage, it may still have issues with its foundation, and this can be true for new or old homes. The foundation of a home is probably one of the most important characteristics of the house, because the foundation is the support system for the entire structure. You can determine if a house has foundational issues by looking for the following signs:
- Visible damage on the outside of the home or the basement, such as crumbling concrete walls or sinking in certain areas
- Uneven or sagging floors in the home
- Problems with doors and windows opening and closing correctly
- Huge cracks in the walls
Foundational issues can be fixed, but they can be extremely costly.
Electrical system failures
If the electrical system in the house is not sized properly or if it was installed properly, you could incur a huge expense getting this fixed. The costs can range from $3,500 to $8,000 on average; however, they can also be a lot more than this. If you are not sure how to examine the electrical system in a home you are buying, hire an electrician to do it for you. The small cost you will pay for an electrical inspection could save you a fortune in the long run.
Buying homes to flip is a great way to make extra cash, but it's important to carefully examine all the homes you consider buying. To learn more about this, contact a real estate agent to help you locate homes for sales.