New Countertops: Does Your Flip Really Need Them?

 How to Decide If a Flip Needs New Countertops

When flipping a home, it is usually smart to leave the countertops in place. Good countertops are expensive, heavy, and require professional installation. But there are some situations where your flip needs new countertops to ensure the best resale value. How do you know the difference, and how do you get the best ROI from a new countertop installation? Let's take a closer look.

 

Why Replace the Countertops?

There are only a few reasons to replace countertops. Contrary to what countertop manufacturers may say, you don't need to replace good stone with every renovation - just a few important once.

Rebuilding the Lower Cabinets

First, countertops can rarely be put back on after you remove them. So if you're completely rebuilding the lower cabinets, you'll need a new countertop to cap them. Plan ahead for any major kitchen remodel where you plan to redo the cabinetry.

Upgrading Countertop Materials

Not all countertops are made equal. If your flip has awful laminate countertops or butcher block that has seen it's day, an upgrade may be in order. New countertops can really make the difference, especially if the old countertops were a low-quality and shabby material.

Stone Countertops are Badly Damaged

Stone countertops should be left alone - unless they are irrevocably damaged. You can often buff, polish, and re-seal good stone countertops. However, the following types of damage may mean you're going to need new stone:

• Large Noticeable Cracks
• Deep water stains or mildew penetration
• Colorful permanent stains
• Scorch and burn marks

Changing the Entire Color Scheme

Countertops also play an important role in the kitchen's color scheme. If you are planning to completely re-palette the kitchen with new colors, you may need a new countertop if the original was not a neutral tone.

Expanding the Kitchen Counters

Lastly, expanding a kitchen usually means all-new counters. A new island doesn't have to perfectly match the original counters, but an extended lower cabinet line should usually get all-new counters to match from end to end.

 

Selecting New Countertops

How do you select new countertops? Natural and manmade stone are the leading trends and a timeless investment that will last for many more trend-changes with the house. Granite is the best choice for natural stone, but will need to be sealed and re-sealed ever 3-5 years. Quartzite is a fabricated stone that can be made to look like any other stone you prefer.

Matching the Neighborhood or Standing Out

A good way to estimate the right type of countertops for a flip is to check the neighborhood. Look at kitchen photos of recently sold homes to determine the type of stone and colors usually seen. From there, you can choose to match the most popular and elegant trends or stand out in a classy way with a contrasting choice.

The Best Deal on Stone

Premade countertops are cheaper, but your kitchen must be of standard measurements to fit them. Otherwise, you'll get the best deal by purchasing a whole slab and having custom countertops cut from it. Get estimates from local stone suppliers and stone fabricators (they are not always the same shop).

What to Do with the Extra Stone

Once you've cut countertops, the rest of the slab and the remnant stone is still yours. This can be quite a lot of luxury stone that can be cut into smaller pieces for beautiful accents throughout the house. You may also be able to salvage good sections of the previous countertop - if it was stone or butcher block - to use as remnant accents as well.

 

How to Determine Countertop ROI

Is countertop replacement a good investment in a home flip? It depends. Countertops are a high-ticket installation, but like all good flips, you'll get the best value when replacing a shabby or damaged existing material. Estimate the increased market value of the home with gleaming new countertops vs the price of the stone and installation to consider ROI.

If you plan to rent the flip when you're done, ROI doesn't have to be a single calculation. Estimate the higher rent you can charge after renovating the kitchen with new countertops to get your ROI over time for the investment.

 

Flip Renovations for Future Rentals

When planning major renovations for your flip, renting is a great way to ensure that your investments ROI over time. By increasing both the beauty and quality of a kitchen through upgrades like new kitchen counters, you can set a competitive rental price for high-end tenants and see your returns increase as a result. For more insights on flpping homes into successful rental houses, contact Leaf Management and consult with our property management experts.

DIY Renovations for First-time Flippers

 

8 Flipping Renovations for DIY Beginners

Flipping homes can be profitable and fun. Transforming a shabby house into a beautiful, modernized home is the best kind of investment. Of course it's important to plan projects based on both your skill level and your budget. You can save a lot of money on DIY when you choose projects that improve a home's appearance and perfectly match your ability.

If you're still a DIY beginner, there are still tons of ways you can improve the home without hiring contractors. Let's explore some of the best flipping renovations for DIY beginners.

Know Your Renovations by 

The first step is to know which renovation projects are ideal to DIY and which ones might require a contractor. A good rule of thumb is that if it involves altering the utilities or structure, you need a contractor or get personally certified. But if the project only requires things like paint, nails, and fit-together kits, then even a beginner with elbow grease and an eye for good quality can do it right.

 

1. Repaint with Precision

If you're careful and artistic, you can beautifully repaint a home with nothing more than basic supplies.

Use tarps, paper, and painter's tape to draw perfect line so that paint only goes where it's supposed to. Then apply smooth, even coats with rollers and brushes. A fresh coat of paint well-applied can make any home look and feel like new. You can also update a home with a new color palette and attractive accent work.

 

2. Weatherproof Doors and Windows

Improve a home's energy efficiency and your sustainable home marketing by weatherproofing. Install new weather stripping around the doors and the windows that open. Then re-caulk around fixed window pains. This simple upgrade will keep windows from rattling, cause doors to seal more firmly, and improve the HVAC comfort and efficiency of your flipped house.

 

3. Install New Floors

You might be surprised, but new flooring can be a beginner DIY project - as long as you choose the right floors. Roll-out floors like carpet are easiest. Tile can be challenging, but modern flooring materials are easier to work with than ever. Wood boards used to require more advanced skills but luxury vinyl boards fit together in a simple and modular way. Luxury vinyl wood floors are also extremely popular right now as a beautiful, affordable, and durable alternative to hardwood flooring.

 

4. Refinish Kitchen Cabinets

You don't have to rebuild a kitchen to make it look brand new. Refinishing (paint or varnish) or refacing (new surface board) the kitchen cabinets can make them appear modern and new while leaving the cabinet "boxes" and shelves in place. Repaint the shelves and add a few cool organizers to create a fully updated kitchen without going all-out on your budget or exceeding your DIY skills.

 

5. Update the Thermostat

Most people don't realize that changing a thermostat is often quite easy. If the home has an old thermostat, all you need is an updated programmable or smart home model that uses the same built-in connectors. If the thermostat is directly wired in, however, you may need an electrician as you would changing any built-in electrical feature.

 

6. Add Crown Molding

Crown molding can make a plain house look subtly fancier and cover minor flaws near the top and bottom of each wall. You can replace scuffed old crown molding or add crown molding where it wasn't installed before. You can also replace the decorative elements of door frames and window frames to make the entire home appear more modern and cohesive.

 

7. Built-In Shelving and Organizers

You can add new shelves to storage areas and install elegant built-in shelving using flat-pack shelves and a few extra nails to attach the shelves securely to walls and closets. You can also upgrade existing storage spaces with organizer features that screw into the shelves and structure, such as sliding baskets and hanging racks. These upgrades can make a home more functional and appear more "bespoke" while requiring only some basic nails-and-screws carpentry.

 

8. Retile Backsplashes and Bathrooms

Lastly, you can try your hand at tiling. Tiling requires some care and precision (spacers and grout can be tricky) but it does not require any advanced tools, certifications, or special skills. Make sure your tiles are spaced evenly, then carefully clean up the grout before it cures and your new backsplash or bathroom tile can be a beautiful way to update your flip.

 

Managing Your Flips with Leaf Management

If you are flipping homes to rent in this high-demand housing market, you don't have to stop your home-flipping journey to manage the property. With an experienced property management team on your side, you can dive into your next investment and keep building your DIY experience while we handle the tenants. Leaf Management is here to help you live the real estate dream, whether that's building a portfolio or beautiful house flips. 

Investment Property Renovations

 Should You Remove Popcorn Ceilings from Your Investment Properties?

 

 

Do Popcorn Ceilings Hurt Investment Properties?

When you buy an investment home, every detail matters. A few renovations can go a long way toward making the home more profitable to rent or resell. You can often identify the most important changes, like replacing a damaged floor and flaking fixtures. But what if the house has a popcorn ceiling.

Popcorn ceilings were popular from the 70s to the 90s but have since fallen out of favor. While they to reduce a few echoes in the house, they are also dusty and give the house a faintly "rumpled" look from the top-down. The question is: Will that popcorn ceiling hurt your profits and is it worth taking down?

There's been some serious debate on the subject, so let's take a serious look to determine the most profitable path.

 

Why Buyers Dislike Popcorn Ceilings

Popcorn ceilings have become unpopular. They do not make a home look modern or cozy. They are one of those design trends that is no longer desirable and even the original purpose has been reconsidered. Home buyers and renters dislike popcorn ceilings for three important reasons:

Outdated and Unstylish

First, popcorn ceilings are outdated and not-at-all stylish. They were never attractive, but they were once considered a practical way to soften indoor sounds. Now, they are considered a rumpled and unstylish look that offers negative value. 

Clean lines and smooth ceilings are far more in vogue if you're looking to create the most desirable living space for investors or renters.

Difficult to Clean

Popcorn ceilings are both bumpy and delicate. They collect dust and drop ceiling-bits when you try to clean them. People who are dust-conscious have a much stronger dislike for popcorn ceilings and they can passively increase the amount of dust in a home.

Lurking Asbestos Risk

Lastly, popcorn ceilings built before the mid-80s have some risk of containing asbestos. If the ceiling is damaged (or when you try to remove the popcorn) a whole new hazard is introduced. People worried about asbestos may avoid popcorn ceilings on principle.

• Note: Be careful DIY removing a popcorn ceiling IF the home was built/last renovated before the mid-80s. Get asbestos testing and/or wear the right protective gear if there is any risk that asbestos might be in the popcorn.

 

Will Buyers or Renters Refuse a Popcorn Ceiling?

Some buyers and renters will flatly refuse to consider a home with popcorn ceilings. While most people will overlook a minor fashion faux-pas, and many renters in the mid- to low-tier range are accustomed to older styles. However, high-end renters, investors, and those who are conscious of cleaning and asbestos concerns may simply walk away from any property that has popcorn ceilings.

 

Is It Worth Removing the Popcorn Ceiling?

It depends on your housing market and selling plans whether removing, refinishing, and repainting the popcorn ceiling is a good investment.

Upscale Market: Yes

If you can up-scale the home to a higher income market for renting or selling, and removing the popcorn ceiling is part of that project, then yes. It is probably worth the time and expense of scraping off the popcorn and refinishing.

Quick Flip: Probably Not

If you are planning to quickly flip the home as an affordable rental home or starter home, then don't worry about the popcorn ceiling. The difference is not a reflection on your renters/buyers, but lies in the pickiness of higher-end occupants. Starter home buyers often expect to plan their own DIY improvements and low-income renters know that they can get a better deal on older architectural styles.

DIY Experience: Yes

If you personally don't like popcorn ceilings and want the DIY experience of stripping, refinishing, and repainting to make the space more elegant, then by all means build your skills with this harmless and beneficial project. Just date the building and/or get asbestos testing before you start scraping.

 

Renting Your Investment Properties

After making all the right calculations and improvements, your investment property is ready to make money. If you plan to rent the home to local tenants or vacation rental guests, Leaf Management can help you streamline your investment home's profitability. We can manage your property marketing and tenant screening and support your tenants during their residence while you focus on your real estate strategy. Contact us today to learn more.

"Live-In Flip" Strategy - Yes or No?

 

Pros and Cons of the 'Live-In Flip' Strategy

Flipping houses is a clever way to turn low-cost homes into profitable opportunities. Many homes have fallen out of favor due to dated and poorly maintained features, but they still have "good bones". With a few renovation projects, each one could be an appealing home to rent or resell. While most people buy separate homes to flip, a few practice the wily art of "live-in flipping" in which you live in the home while you renovate it to minimize costs and maximize efficiency.

Are you tempted by the call of a live-in flip project? Still debating whether it's the right answer? We can help with a deep dive into the pros and cons of the live-in flip strategy.

 

Flipping, House-Hacking, and Live-In Flips

Live-in flip projects are where flipping meets house-hacking. House-hacking is when you buy a multi-residence property (from duplex to apartment building) then live in one unit while renting the rest. It's a clever way to reduce costs and stay close to your investment.

Flipping is fixing up a house to restore it's profitability. Live-in flipping is a whole additional level of commitment compared to flipping a separate house, while offering many of the advantages of house-hacking. Of course, there are a few things you might consider downsides, so it's important to make the right choice.

 

Pros of Living In Your Flip

Live-in flipping is a 24-7 renovation project. You live in the house you are renovating and it will become your world. For some people, that's a DIY dream come true. For others, it would be a nightmare. But there's no denying the benefits of live-in flipping when it comes to the finances.

Don't Pay for Housing

First, you don't have to pay for housing. You don't need to own a separate home or rent nearby, and you don't need to pay two sets of utilities to keep the lights on in both places.. There's no commute to and from your home and flip except the shuffle from your bed to the kitchen each morning, and that might be perfect for you.

Owner-Occupied Financing

When you buy a house to live in, you can get much better mortgage rates. You can place a down payment of less than 5% and often get a better interest rate. If you live in the flip for 2 out of 5 years before selling, you can also take advantage of primary tax discounts.

DIY All Night

For many, living inside a DIY project is living the dream. If this is you, then you may love a live-in flip. You can DIY all day and all night, as long as you only do quite project stages like painting and retiling after dark. Save the circular saw for daytime hours.

More Time to Make Improvements

When you live in your flip, you have more time for projects. You don't have to commute and your finances aren't limited by maintaining a second home. You can take it easy or drive yourself forward at your own pace.

 

Cons of Live-In Flipping

Chaos is the primary downside of the live-in flip strategy. You will be fully immersed in your project without a "normal" home to go back to.

Living in a Construction Zone

First and foremost, you will be living in a construction zone. Any major renovations will mean that your home is less than complete during your stay. The full extent of your renovations will determine just how chaotic or disruptive this experience might be. Maybe you'll love the camping aspect and have a great time, but some may be less suited to the construction zone lifestyle.

Contractor Traffic

Second, if you hire contractors they will be moving through your home whenever scheduled. This is one reason why live-in flipping favors DIY enthusiasts to minimize the strangers and work crews in your house.

No Relaxation Between Tasks

You may miss the ability to leave your flip and relax between tasks. Some people are great at watching a movie on their laptop and kicking back between DIY projects, but others need their own private space to decompress. Plan accordingly.

 

Finding the Right Flip Strategy for You

When deciding whether to live in your next flip, consider how the lifestyle suits your personality, preferences, and needs. Do you love adventure and camping? Do you thrive on chaos and perseverance? Are you a DIY crafter or does your flip need only a few cosmetic updates? If so, then a live-in flip might be a great way to save money on your next real estate investment project.

And if you're thinking twice about setting up camp in a major construction zone, you can always keep your dwelling separate and nearby.

 

Finding Tenants for Your Flip

If you have completed a successful flip and are ready to profit, Leaf Management is ready to help. We offer professional property management services to help you find and keep tenants in the homes you flip. Contact us today to learn more.