How To Flip A House On A Budget
Make no mistake, house-flipping can be an expensive business. Hopefully, you did your due diligence and got all the inspections you needed so the home you’re flipping doesn’t need any major structural work — nonetheless, renovating a home involves a lot of different tasks that can really add up.
When it comes to interiors, finishing, and final touches, there are tons of areas where a little ingenuity can go a long way in saving you money, reducing your hassle, and maximizing your profits. Here are a few tips.
Make A Budget And Track It Diligently
The number one thing you need to do in order to renovate a home on a budget is to, well, have a budget. Do your research ahead of time into what the various home improvements you’re making will cost and write them all down in a spreadsheet, with one column for “estimated costs” and one column for “actual costs.”
Add 10% to every line item in the column for estimated costs in case of surprises — a spilled can of paint, a few broken kitchen tiles, or a new tool you didn’t know you needed can add up if you’re not careful.
As you go, enter every actual cost in the column next to the estimated cost, and set up a formula in your spreadsheet to track the difference — this will make it easy to see whether you’re over or under budget on the whole project.
If you come in under budget on an early project like paint or flooring, congrats! That means you can afford to go a little more premium on later projects like lighting or decor. If you go over budget, you’ll know to cut back later.
Save Huge Costs On Flooring With Carpet Irregulars
Carpet irregulars are batches of carpet from the factory — either entire rolls or smaller pieces — that have slight irregularities in their manufacturing. These irregularities are so minor that you can’t feel them underfoot or even see them, but they mean that that particular batch of carpet can’t be sold at full retail price.
At Sloane’s, we have over 40 years of experience in finding and purchasing these irregular carpets in bulk, then we pass the savings on to you! If you’re carpeting an entire house or even just one room, saving on carpet can make a huge impact on the final cost of your project.
Do The Demo Yourself
Demolition is cheaper than building, but it can still be costly to pay someone for something you can easily do yourself, given the time. For outdoor demolition, like pulling up brick walkways or tearing apart an old deck, you really just need the appropriate tools and some elbow grease. Smaller internal projects can be done yourself too, like tearing out kitchen cabinets.
That doesn’t mean you should do all the demo yourself. You don’t want to put a sledgehammer through a load-bearing wall by accident or sink a reciprocating saw into the wiring or plumbing in your house.
Be careful when pulling out fixtures like sinks and toilets — causing water damage in a house you’re fixing up is a step backward. And when it comes to carpets, you probably don’t need to bother pulling them out. Your installer will handle carpet removal and disposal for you.
Consider Your Timing
No matter how talented you are, you’ll probably need a contractor or three to come in for electrical, major additions, or other big projects. Contractors are busiest in the summer and fall, so suppliers will be short, vendors will be stretched thin, and builders won’t have much time to book your jobs, extending your build time and costing you money.
If you time your major jobs in the spring, right after the new year, contractors will be less busy and eager to book your business. Some contractors even offer a discount of up to 5% on jobs booked during their offseason — when it comes to the cost of fixing a house, that can be a major source of savings.