Presenting The Lister Sisters!

I have been looking at a ton of homes all over the Twin Cities under $300,000.  I have seen it all Foreclosure, Short Sales, Estate homes, traditional seller homes, but the home I would like to talk about are the flip homes that are flops or just the Flip Flop.

Flip Flop homes are houses that have been bought at supposed bargain prices.  These “great deals” are then polished and shined to sell and sell fast.  But do they?

I can’t tell you the countless number of homes out there that fall into this category.  There seems to be quite a few people out there that have watched all those inspiring remodeling and flipping home shows on television.  In today’s market and especially in the Twin Cities, it is hard to find that truly good deal that allows for a flip home to be successful.

Why?  Because the market is very different from the hay days of real estate.   The market is much slower.  There is not a frenzy or urgency to buy (unless you are buying homes under $150,000.)  People have time to look and take their time to decide.   Because of this, they are looking closer at homes, at the craftsmanship and quality of remodeling.

Many of the flip flops I have seen are great at first glance, but when you really start to look close the work is not up to par or is not consistent.  I have seen a trend to use cheap grades of carpeting or cheap laminate hardwood flooring that look good today, but will not wear well.  Another flooring disaster; tile or natural stone floors placed in kitchen sand baths without replacing worn out or uneven subfloor.  Can you say crack?

Another flip flop favorite is painted cupboards in the kitchen with new hardware that look good on the surface, but have not been painted and primed properly.  How about the popular granite or siltstone countertops on old cupboards?  What a waste of money.

One of the biggest problems I see with flip flops are that the flippers themselves are not buying the right house to flip.  Don’t buy the inherently undesirable home and try to make it desirable.  That bargain on a busy street is still on a busy street. The two bedrooms without space to expand no matter how well the flipper remodels the home, is still a two bedroom home.  Generally people want three plus bedrooms and preferably on one level.

My final point is that many times  a flip flop occurs because the flipper buys an older home, a home they may have bought for a good price, and but they  remodel  the home without really understanding the market.  They may have done an outstanding job at remodeling and updating the home.  The home is picture perfect.  But has the flipper really added a ton of value to the home or have they just made the home more sellable at a slightly higher price.

This market is brutal.  Ask any traditional seller.  Everyone’s home needs to be picture perfect to sell or the owner will be knocked down on the price.  In this market when you have home, it expected that you have maintained your home.  Part of this maintenance is replacing flooring when it is worn or dated, updating your kitchen and bath after a certain period of time, replacing appliances and mechanicals, painting or taking down dated wall paper,  replacing old dated window treatment, fixing what needs to be fixed and repairing or replacing what needs to be repaired or replaced.  This is home maintenance and this is part of home ownership and now more than ever it matters.  Unfortunately for the inexperienced flipper they may be doing what is expected in this buyer driven market.  They are not adding a ton of value to the home, but just making it more sellable to a buyer.

Now don’t get me wrong.  Not every flip is a flop.  There are plenty of great homes out there that investors buy, remodel and sell.  They are usually in highly desirable areas and they sell fast.  They may also be homes that are truly bought for a “deal” which allows the investor to update the home to make it on par with the other homes in the neighborhood.  In these scenarios:  Hurray! For the investor who makes a profit and saves a home.  Hurray! For the buyer who gets to buy an updated home.

Tags: First time home buyer, Home Conditioning, home flipping, Home Staging, remodeling

Home staging is about illusions. It’s how David Copperfield would sell a house. It’s beyond decorating and cleaning. It’s about perfecting the art of creating moods. Staging makes your house look bigger, brighter, cleaner, warmer, more loving and, best of all, it makes home buyers want to buy it.
Contrary to what you might think, it’s about more than preparing the house for sale. Staging is what you do after you’ve cleaned, decluttered, painted, made minor repairs; it’s all about dressing the house for sale.

It’s about adding the small details: the lipstick, mascara and, for simplicity, a stunning, single strand of Tahitian pearls.

What is a Professional Home Stager?

Professional stagers are highly skilled artists. They can take a blank canvas and paint a sensuous portrait without ever lifting a paint brush. Stagers possess the skills of a top-level designer and they create dramatic scenery that appeals to all five senses. Here are some of their secrets:

Arrange sparse pieces of furniture in an appealing grouping known as a vignette
Showcase a generous usage of soft fabrics such as silk, lambswool, satin
Display unusual knickknacks in units of 1, 3 or 5
Drape window coverings with simple lines
Add unique elements to shelving, bookcases and fireplace mantels, which draw attention to predetermined areas
What Accessories Does a Stager Use?

Stagers bring in a vast array of items to spruce up the house. Here is a small sampling of items professional stagers often use to dress each room. How they are utilized is limited only by the creativity and vision of the stager.

Mirrors
Plants
Silk Flowers
Floor & Table Lamps,
Area and Throw Rugs
Small Love Seats
Ottomans
Afghans
Pillows
Inflatable Queen-Size Beds
Baskets
Plastic Tables & Chairs
Professional Staging Tricks & Tips

An artist for 35 years, Dawna Johnson, is an Accredited Staging Professional Master (ASP) and owner of Sacramento Staging Solutions. She says the idea behind staging is to allow rooms to show themselves. “If your home is vacant, it’s soulless,” Dawna warns. “Without staging, it will probably remain on the market for many months.” She calls the kitchen the “heart of the home,” and offers this practical advice for making that space sparkle:
Apply orange oil to cabinets that appear dry, which will renew their original luster
Put out large bowls of fruit such as polished apples, bright oranges, luscious grapes
Arrange colorful and fun cookbooks on the counters
Dawna believes in bringing the outdoors inside through the use of greenery and plants; in creating clean, crisp spaces and arranging furniture with plenty of room to walk around. She says bathrooms are essential to dress well. “Bathrooms should look open, airy and delightful,” says Dawna. One of her favorite tricks is to add baskets filled with spa treatments such as:

Towels, tied with ribbons
Scented soaps
Creamy lotions
Moisturizing & Facial jars
The back yard needs staging, too. For patios and decks, Dawna brings in plants and potted flowers, and adds additional color by setting the picnic table with bright, plastic dinner plates.

How Much Does it Cost?

Prices vary depending on where you live and the local demand for professional home staging. Coastal areas and large metropolitan cities where home staging has been prevalent for years command higher prices. Some real estate agents help sellers Stage® the home themselves. Most listing agents agree, however, that vacant homes show better with staging and will encourage sellers to hire a professional stager. Fees range from $500 to $5,000 or more, depending on square footage and the number of rooms staged.

Tags: Home Conditioning, Home Staging, Marketing to Sell