Fixing to sell: Don’t go overboard

Fixer-uppers with upside potential were in high demand when the market was appreciating at a fast pace. Once depreciation took over, speculators disappeared until 2009, when low-end foreclosure properties in some areas became hot properties — particularly if they were selling at a 50 percent discount from the peak in summer 2006.

In California, 70 percent of the homes bought by investors in 2009 were distressed-sale properties, according to the CALIFORNIA ASSOCIATION OF REALTORS®. Some were stripped of appliances and fixtures. But, at half price, there was profit potential for buyers who were up for a redo — especially seasoned investors buying multiple homes to fix up and resell, or rent out.

Fixers priced over $500,000 aren’t as easy to sell today. Most buyers in higher price ranges are buying a home to live in. They want a home in move-in condition that will suit their long-term needs.

There are exceptions…

To read the rest of this article from Inman News, please click here.

Facebook Twitter Email Linkedin Stumbleupon Digg Delicious Yelp

Leave a Reply