Kim Daneault
KELLER WILLIAMS REALTY / Metropolitan | 603-345-7783 | [email protected]


Posted by Kim Daneault on 6/7/2020

Photo by Jonny Lindner via Pixabay

Making a flip profitable starts with one straightforward requirement: find a great deal. These tips are straightforward but crucial if you want to nail your first flip or your tenth. 

1. Spread the Word that You're In The Market 

By this point you should have a rock star team nailed down--a few professionals you can trust to help you make your flip a success. But you also want to get the word out to family, friends, and any connections that keep an eye on the market for any reason. They'll be able to keep their eyes open for newly-listed properties that might be right up your alley. Some of the best deals are landed this way, well before homes even hit the MLS. 

2. Learn to Identify Big Issues 

As you gain experience, you'll develop an eye for projects that are going to be too extensive to take on--and how much the bigger projects will cost you. If at all possible, walk through the potential property with your contractor by your side; they'll be able to keep an eye out for major issues and give you an idea of what you're looking for.

A good rule of thumb? Always look at the roofline first: does it look stable? Weak? Awkwardly added-on? A roofline can reveal either structural integrity or burgeoning foundation issues. Other red flags include evidence of extensive water damage, additions that aren't up to code, and evidence of extensive termite damage. 

3. Don't Let Ugliness Put You Off 

When you purchase a property to flip, you're purchasing someone else's problem--something they don't want to deal with. That usually mean the property's going to be a train wreck in terms of curb appeal and interior finishes. That's what you want. Aesthetic upgrades are the easiest--and least expensive--to add. Find a structurally-sound home at a great price that just needs a facelift, and you're golden. 

4. Remember the 70% Rule 

Many pros use this formula to determine whether a home is worth your effort. What do you expect the market value of your home to be after your repairs and upgrades? Ideally, you should pay no more than 70% of that number, minus the cost of repairs you're putting into the home.

So for a home you expect to be worth $300,000 after you put $45,000 worth of repairs and upgrades into it, you'd pay no more than $165,000: 

$300,000 (retail value) x 0.70 = $210,000 - $45,000 (repair costs) = $165,000 

By spreading the word far and wide that you're looking, knowing what you're looking for, and having a method to run the numbers before you dive in, you'll set yourself up for success. Next step? Plan your renovations like the brilliant project manager you are. 




Tags: buying   Flipping   property   selling  
Categories: Uncategorized  


Posted by Kim Daneault on 4/19/2020

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 Photo by Andrew Martin via Pixabay

It’s not uncommon for homebuyers to discover that the land they purchased may not be entirely their own. Another party may have gained a legal right to use or traverse your property. Easements and right-of-ways can be established by a number of mechanisms and go unnoticed, particularly in undeveloped parcels or when the previous owners were absent.

When homeowners discover someone else holds sway over part of your property, the first-blush reaction is often about loss of value. You paid for full ownership and the easement will likely diminish your resale value. But homebuyers would be wise to proceed with caution because the cost of defending against a claim or creating hostilities with a neighbor could prove emotionally taxing.

What is an Easement or Right-of-Way?

The common law practice of easements has its roots in the free flow of water and the ability to cross a community member’s land in olden times. This practice accounted for the lack of roadways and the need to traverse tracts of land. Although this is a somewhat outdated concept, long-standing easements exist. If you are considering purchasing a property that involves an easement, it’s important to understand that you still own the pathway to the other parcel. But you may never be able to utilize it actively.

For all practical purposes, a right-of-way is a type of easement that has been formalized. Landowners generally agree to record the easement in a deed or other legally-binding agreement. Thoroughly researched land records are likely to uncover these easements. This is why having a property deed vetted before purchasing a property remains standard practice. But a worrisome mechanism known as “adverse possession” may put new homeowners in a legal bind because the existence of an easement may go unknown.

What Homebuyers Need to Know About Adverse Possession

Adverse possession is often associated with the term “squatters rights.” That colloquial term came out of people living on unused land and gaining ownership by establishing their presence over time. Today, people more often gain adverse possession rights by using part of a property for access or travel.

If, for instance, a neighbor routinely drives over an undeveloped part of your property to get to theirs, they could be gaining a right to that portion. On undeveloped land, hunters, hikers, and other outdoors enthusiasts may walk a path across your land. Over time, they can establish a right that prevents you from enclosing the land or developing that section. While defending against an adverse possession lawsuit can be emotionally draining, there may be a silver lining. The courts usually apply a rigorous four-part standard that few squatters meet. These include the following.

  • Hostile: This involves issues such as the user not knowing the land was owned by another or using it due to a mistake about where the property lines were located.
  • Actual Possession: The claimant must have been physically present on the land.
  • Open and Notorious: This standard looks at whether the trespasser used the land in a fashion that was obvious to the owner.
  • Exclusive and Continuous: This tends to be the standard that upends claims. The trespasser must have physically used the land without interruption.

Hiring an attorney and mounting a defense of your property can be an exhausting ordeal. It’s one of the last things any homeowner wants to go through. That’s why conducting your due diligence about easements and right-of-ways remains as crucial as taking out title insurance when you buy a home.




Categories: Uncategorized  


Posted by Kim Daneault on 10/15/2017

When you drive through a new housing development does it seem like all of the homes are enormous compared to when you were growing up? You're not alone. In fact, over the last 40 years, average home sizes have increased by over 1,000 square feet. In other words, you could fit an entire small house inside of the amount homes have grown in size.

Why do Americans love huge houses?

It's counter-intuitive that home sizes should keep growing larger. Bigger houses mean higher prices, more maintenance, and more expensive utilities. To understand why, we need look no further than the automobile industry. In spite of the fact that larger vehicles cost more to buy, use more gas, and do more harm to the environment, people still buy bigger and bigger trucks and SUVs. There are a few reasons why. One is that they can afford to (or they can at least afford the payments). Another reason is cultural. For the most part, bigger meant better in American culture--until recently. Recently, many Americans have begun saying they would prefer smaller sized houses. That desire hasn't entirely caught up to the people building the homes, however. And even as simple living trends and the "tiny house" phenomenon gain traction, building contractors still stand the most to gain from large houses and the people with the money to build houses continue to build big to stay aligned with the other homes in their neighborhood. There are other obstacles in place for people who want a smaller house. Some counties around the U.S. now enforce minimum square footage requirements to uphold the building standards of the area. So, people hoping to move to a particular suburban area but don't want a huge house might be out of luck.

How big of a home do I need?

There are a lot of things to consider if you're buying a home. Size and cost often go hand-in-hand, but even if you can afford a larger home, do you really need the space? Here are some questions to ask yourself to determine how large of a house you really need:
  • Do I or will I have a family? Kids need space. They need bedrooms and places to play. The size of your family is going to be a huge factor in choosing the size of your home.
  • Do I need all this stuff? Many people use their homes like storage containers. Think about the last time you moved and what you brought with you. Now determine how often you used the things you brought. Odds are you have a lot of items just sitting around taking up space that you don't really need.
  • Do I have hobbies that take up a lot of space? Woodworking, working on cars, playing drums... these are all examples of hobbies that call for some leg room.
  • Am I a dog person? Just like kids, pets tend to take up some room. Larger dogs and energetic dogs require more room, both outside and inside the house.
  • Do I have time to keep up with the maintenance? Bigger houses means more windows to clean, more toilets to scrub, more grass to mow... you get the idea. You might find that you'd rather have a beautiful and well-kept small home than a hard-to-maintain huge one.







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