"MY FLIP ISN'T SELLING. HELP!"
I saw a text from a distressed first time fix & flipper who engaged this journey on their own. It went like this. "I have a property. We did a quick rehab. Thought it would take 6 months max. Encountered some difficulties... We took out a hard money loan for it. Time is almost up. I'm under a lot of pressure! We had an open house but have not had a single showing. I don't know what to do!! What do you suggest?"
STEP 1: Does your property answer with what the buyer has asked for?
Take a look at the comps that have recently sold in your area.
Take a look at the design aesthetic that these homes have. It's an important factor. I'm not saying you should go and copy a design that you see, especially since you have poured money into the current rehab. I am advising you however, to pay attention to what the buyers are asking for and make sure your property responds to the demand that they have voiced. If not tweak it accordingly. It could be as simple as nixing the beige paint and replacing it with a dove white to bring it into the fold. As ridiculous as it is, some people really can't look past the paint color.
Take a look at these houses a few blocks from each other here in Brooklyn. They were all sold within weeks of each other from zillow.com. Pay attention to what you see. Notice how they all feel spacious. They used light colors within the grey scale to expand the space. Each property then added their own tinge of interest to make their property stand out from the others.
Your job is to compare your property with what the market wants and see how you can tweak it with out spending a lot - to allow you to gain that feel.
STEP 2: Understand your curb appeal and make sure you are maximizing it.
First impressions matter! And your buyer just assessed the property as they were getting out of their car. What did they see? something engaging or the "eh. so... so"
You don't need to redo the entire landscaping. Sometimes a fresh coat of paint on the front facade and the front door will do wonders. Clean up the yard - add a few planters and walla.
Go back and drive up the to the house and take some notes. Make sure you are conveying the message you want to.
STEP 3: Make sure you have good photos.
I will say it one more time. Professional photos add to the budget but they will make ALL the difference in terms of engagement. In fact recent research shows that real estate properties that have professional photos get their properties sold at 95% higher rate.
Bottom line, YOU need to get PEOPLE into the house. You do that by your photos that you post. They NEED to look good. The reason I'm suggesting a professional (at least for the first few flips) is because, although I'm sure your photos look good, you need them to look GREAT; especially when they are going to be standing next to a professional photo which will look all that amazing!
Trust me, you probably have no idea how to play with lighting - which angels to showcase the house to the best advancement etc.
(I'm one to talk as I learned the hard way. My first 3 projects I don't have showcased anywhere because they just look that - NOT GOOD WHEN PLACED NEXT TO A PROFESSIONAL PHOTO.)
STEP 4: what is your agent doing to market your property?
The "post and pray" method should not be included.
Instead try asking your broker what they have planned. Many brokers have different methods. Here are some of the methods my research has brought me to encounter.
Your Real Estate agent should be well versed on how to get the word out using all available marketing channels, not just the Multiple Listing Service (MLS). Ideally, your Realtor should have a website that draws traffic and showcases all their properties for sale. They should also be using social media, like Facebook, Google+, Pinterest and other platforms, to spread the word. All of these online options take some time for an agent to develop, but will ultimately strengthen their business and help their client’s homes get sold.
What is your agent doing to market your property?
Daily online marketing?
Multiple GOOD pictures, virtual tour?
Open houseS - not just one, try open house during the week. Is there hype for the open house? Is your agent inviting other agents to the open house?