I sat with a seller at the end of a total transformation near Gawler Belt. Six months ago, it was a disaster. Old carpets. The yard was overgrown. People inspected it and walked straight out. They saw stress. This couple saw potential. that local real estate is solid. Beneath the grime, there was a gem. They took the risk cheaply. And they got to work.
It is tough work. It is not like on TV. There is mess. Long weekends. Money runs out. If you are smart, it is the best way to manufacture equity in the market. You create value. You don't hope. You create the growth. This story demonstrates what is possible locally.
I guided them from the start. I didn't paint, but with advice. "Save on that," I suggested. "Fix this," I recommended. Knowing where to spend is the key to profit. Spending foolishly erodes profit. It is vital to know what the market pays for locally. That is where an agent helps.
Seeing Potential Where Others Saw Work
The house was tired. It was smelly. The kitchen was orange. The tiles were retro. It was the cheap one on the best street. The old saying: find the fixer-upper on the best street. The location value is already there. You can fix a house; you can't move land.
The purchase price was low. A renovated home in the same street were worth mid $600s. The margin existed. It took cash. A lot of work. Roof leaks. It was deep. They did due diligence. The bones were good. They went ahead.
The average buyer wants easy. They hate work. They pay a premium for a done house. If you can to fix it, you profit. You are paid for your effort. That is the game. Fix and flip.
Where The Money Was Spent
They had a budget of $60,000. It is tight for a whole house. So they had to be smart. They did the demolition themselves. That saved $5,000. They painted on their own. Labour is dear. Doing it yourself keeps cash in pocket.
Cash went on key rooms. The money rooms. Updated the kitchen looking modern. It looked high-end but was cheap. Fixed the shower with white and grey. They polished the floorboards. Under the old carpet were beautiful jarrah floors. Polishing them transformed the house.
No structural changes. Engineering is pricey. They kept the footprint. This is smart flipping. Visual changes make the most money. Rendering the front looks great for a few thousand dollars. Adding a room takes too long. Don't overcomplicate.
The Hard Work Of Renovation
Over two months, they worked every night. People saw the trade utes. Changes happened fast. The ugly brown brick became modern. The weeds was cleared. Mulch and plants changed the feel. The front matters. It stops the car.
The interior, it became light and bright. Neutral tones reflect light. Stay neutral for resale. The goal is everyone. White walls allows buyers to add their style. The timber added warmth. It felt brand new inside an old shell.
I checked progress every few weeks. I kept them focused. "Don't forget the light fittings," I noted. Bad lighting is awful. New pendants went up. It was bright. It was ready. Cost: Under $60k. Time taken: 9 weeks.
Showcasing The New Look
We launched the campaign. We hired furniture. Empty is cold. Staging adds emotion. The investment was small, but made the photos pop. Online it looked huge. Property management gawler enquired because it needed no work. Owner occupiers were the goal.
The ad said: "Nothing To Do But Move In." That sells. Opening day was packed. A huge crowd. Neighbours came to look at the renovation. Serious people were there too. They loved the finish.
We had a bidding war immediately. The feedback was amazing. "I love the kitchen." Nobody cared about the past. The focus was on the future. This is the power of presentation.
The Sale: Was It Worth The Effort?
We closed the deal in the mid $600s. Look at the profit. Cost: $420k. Reno: $60k. Expenses: $25k. Break even: $500k. Result: $635k. Profit: $132,000. For 9 weeks work. That is $14,000 per week. That is why people flip.
Not every flip works. If you pay too much at the start kills the profit. If you spend too much eats the profit. But if you buy right and renovate smart, you make money. In Willaston real estate, the gap exists. You just need to find the ugly house.
If you want to flip, call Brad Smith. I find the dumps. I will let you know if it works. Ask the expert. I enjoy renovations. Let's make you money. Call me today.
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