When you own a home, it’s okay to make expensive upgrades because you will enjoy them on a personal level. With a fix and flip, you need to be more careful. The goal is to see a quick return on investment and some “upgrades” will decrease your profit rather than increase it.
To ensure that you see the maximum profit from your fix and flip investment, here are six expensive “upgrades” to avoid.
- Landscaping Features
Curb appeal is important when selling a home, but you don’t need to go overboard. Retouching the lawn and planting a few low-maintenance plants or shrubs are enough to sell a home. Expensive landscape features not only chip away at your budget but also may not be desired by potential buyers.
- Luxury Bathrooms
A lot of fix and flip properties require bathroom remodels, but it’s best to be conservative. Some luxury features may sound attractive, such as a rainfall steam shower or electronic temperature control, but buyers won’t be willing to pay more for them. Stick to practical upgrades like walk-in showers and leave other features to buyers.
- Flashy Appliances
Appliances can get expensive, especially when you buy ones with the latest technology. However, most buyers prefer appliances that cost less and offer the same functionalities. Rather than opting for the newest technology, choose stainless steel appliances that are reasonably priced, attractive and functional.
- Marble Countertops and Backsplashes
Keep counters and backsplashes simple and classic. If you’re not sure what buyers in the area would like, take a look at the comps. Materials like marble and granite are expensive and may be too much for the buyer. Instead, opt for textured laminate, which is just as classy and far cheaper.
- Expensive Fittings and Fixtures
You don’t need to spend a lot to spruce up the fittings and fixtures in the home. Chrome is a great choice as it’s more affordable than oil-rubbed bronze and brushed nickel and has a timeless appeal. You can choose chrome for your light fixtures, faucets and bathroom/kitchen accents.
- Hardwood Flooring
As beautiful as hardwood is, it’s not for everyone. Hardwood flooring can scratch easily and be difficult to maintain. It’s best to choose a cheaper flooring option such as vinyl or laminate. These budget-friendly floors are versatile and come in many styles and colors. They can be just as stunning as hardwood and more practical for buyers.
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