It’s commonly believed that fixer-upper properties represent easy money that is ripe for the taking - that you can buy it, do a little work on it in your spare time, and then resell it quickly for a large profit. Often it's called a "Fix and Flip" and with help from me, you can make a tidy profit!  The market for properties with low risk and high profits is very competitive. You have to have an advantage when searching for these types of homes. Your advantage is ME again! As an active real estate appraiser, I often know of homes that will be great deals before they ever get exposed to the market here in Pueblo West.  This advantage, along with proper planning, foresight and some hard work, you can obtain good profits by buying "distressed" properties at less than market value. Then, make the appropriate improvements and repairs, and then reselling or renting the property to cash in. 

The key to the process is buying the right homes at the right price! All those TV shows like "Flip This House" never show you much about this part of the business.  They don't want you to know how to compete with them.  For many first time buyers who intend to live in the house while working on it, buying a fixer-upper can be a very good option. It’s less risky buying a fixer-upper when you can live in the house while fixing it. I also know how to finance these types of homes, that's another very complicated process.  I'll find you the right home and the right deal with the best financing.

The other important thing to know before making a decision on such a purchase is what needs to be fixed.  Any time you are spending money on improving a home with the notion of selling it later, strive to spend your money on things that buyers can easily see.  Things like new paint and removing trash from the property cost little but have instant impact on curb appeal.  Houses that have only cosmetic problems like peeling paint, a trashy yard, bad carpet or wallpaper are the best bet for low risk properties.  This is especially true for the first time buyer looking to live in the house for a while before reselling.  Fixing and cleaning cosmetic issues is fairly easy and inexpensive.  It virtually always gives a good return on investment, particularly when you can do the work yourself.  Kitchen and bathroom remodeling usually pays a nice return if they are showing their age.  Don’t be afraid of buying a fixer-upper in need of this kind of repair.  Properties with structural damage, or a floor plan that requires major work to remedy, usually can’t be "fixed up" at a profit unless you are a construction professional and they involve more risk. 

Always have a home inspection for hidden damage performed by a inspector or construction professional before buying a fixer-upper.  Make sure that satisfactory completion of such inspections are a condition of purchase in any contract you sign.  Then we can negotiate to try and get the seller to pay for all or part of the cost of needed repairs uncovered by the inspection.  Often, sellers will be willing to lower the sales price to sell the home "as is" instead of paying for the repairs.

Be careful that you don’t over pay.  Especially if you plan to resell quickly, paying too much up front can doom your plans for quick profit.  Research the market for reselling and have an exit plan for selling the house in place before making an offer.