Flipped vs. Rehabbed -- Is There a Difference? I say: YES

Hey Aaron -- Now that was timely.  BTW, you're right too!!

Hi Lenn . . . I think that's the palette used, beige, and then more beige, tossed in with a little off-white.  The FHA carpet-baggers!  HA HA HA

Hey Pat -- White paint. AGH!!  (I have heard that a few time.  But only from that photo.  In person, I've never heard that -- but I'll take it!  I happen to like Bette Midler.  THANKS!!)

Hi Cameron . . . We have some wonderful local companies too.  They've been "renovating" (as Paula say #5), and have a good reputation.  It's those FHA carpet-baggers.

Hey Chris -- "cobb jobs" that's a new one on me.  What does it mean??

Hi Dawn . . . Care and quality.  Sometimes I'd wish they didn't even try . . . HA HA HA

Hey Jeff -- "vision of grandeur" LOL Delusions

Hi Christianne . . . Oh, good point!! Sometimes I'll have see the same house on the market not that far back, so I'll look up history, too!  Amazing what they didn't do, but priced the property as if they did!!

Hey Richie -- We've got some very good local companies here too.  BTW very nice photo!!  Almost didn't recognize you.

Hi Charita . . . Your vision is not too far off, I'm afraid.  Thanks for adding this.  Too funny!

Hey Lyn -- I've had buyers pay more too.  They were even fine with it, because they knew it was a better job, and they could very easily justifiy the difference in price points.

Hi Kathy . . . funny!!  Good on #2, and perhaps #1 was the learning curve.  Now you know ho to do it, and maybe you can keep us up-to-date if you do another project.  That would be a great topic to follow!

Hey Charles -- Yeah, I can see that from your perspective too!  Documenting it all . . .

Hi Janet . . . Absolutely.  Point of this post was to compare and contrast two very different methods that investors have when getting an investment home ready for the market.

Hey Dan -- What a great point:  You make your money when you buy!!  I guess the semantics are local too.  I've always heard "flipped" houses were investor to re-sale, at least that's the common understanding here.   

Hi Jason . . . Thanks! Kathy's comment was funny, and true!!   THANKS FOR THE RE-BLOG!!

Hey Donne -- The cheesy house (with the "holes")

Hi Scott . . . I don't have a problem with it either.  But when the buyers look past it, or compare it to another property, it'll just sit and sit in this market.  It will still remain vacant.  Perhaps go into the rental pool.

Hey David -- You know exactly what I mean!!  It can be done the right way, and sometimes it does require some upfront investment.  I bet your properties sell fairly well for your efforts.

Hi Liz . . . "Object" is such a strong word, don't you think. It sounds as if you're in a courtroom.  Terms can be local, and for the many years I've been working the Metro Portland market, a "flip" is an investor owned property, purchased for the express purpose of re-selling.  I rest my case.

Hey Ann -- Not sure I get the comment, other than your points seem to be about properties and who buys them, and in what condition.  A little off topic, but okay.  My point is that a home, in my local market, that is done without the quality and the updates looks cheesy and doesn't fare as well. 

 Hi Jason . . . Yes, when executed correctly, there is some good ROI in some markets.

Hey Tony -- You points are a little off topic, and the discussion isn't about the "disclosure" -- but you just gave me a good idea for a blog post.  THANkS!!

Hi Claudette . . . It's one thing if the price points are different.  What frosts my shorts are the properties that are just FHA ready, priced to compete with the properties that have been painstakingly worked on.  A keen eye is essential!! 

Hey Kelly -- Your comments are great, and sum the post up nicely!  My sentiments exactly!  Thanks.

Hi Keith . . . There are a lot more now.  If the home needs work, they have to put something into it, otherwise it doesn't pass appraisal. 

Hey Bryan -- There are always going to be those "investors" who want to cut corners.  In our local market, they are in stiff competition for homes that are move-in ready, and have been done up right.  They'll learn.

Hi Peggy . . . And sometimes, in my area, the price points are too far off.  Even if the home that is done up right is $10,000 more, my clients will appreciate that, and realize the difference.

Hey Irene -- that's punny (hitting the nail on the head).  Oh, you mean like painting over wallpaper?!? HA HA HA

Hi Michael . . . buyers do pick up the differences when they've toured a few properties to contrast and compare.

Hey Bill -- Great point, to make the home "current year"  Thanks for your comments.

Hi Patsy . . . Always, it does!!  LOL

Hey Marcia -- I think you're right!!

Hi Joan . . . bad flips . . . no one likes those!!

Hey Debi -- Thanks.

Hi Gerard . . . Fascinating to learn about other markets.  We're all so varied when it comes to the standards of practice.

Hey Erica -- I agree.  It's a good part of our jobs to point things like this out. 

Hi Ryan . . . I'm sure you do a wonderful job!!

Hey Deborah -- HA HA HA, that's funny.  Because you're probably the only person doing that, it speaks volumes on your professionalism. 

Hi Cynthia . . . oh, those mirrored closets "to make the room look bigger" . . . ha ha ha.  Maybe that's why the left 'em in??

Hey Ken -- If your representing the buyer, it's not your issue.  It will be the seller's and they can explain that to the IRS.  If it doesn't met the "test" of a 1031 exchange, it's on them, not you or you clients.

Hi Pam . . . Well, that goes to show just how "local" terms are.  And for the most part, most of the comments seem to suggest a "flipped house" has some updating down.   Your area/market is a mystery.