Lipstick on a Pig – Understanding the Dangers of Rehabbed Foreclosures

Reblogger Lyn Sims
Real Estate Agent with RE/MAX Suburban
https://activerain.com/droplet/87r
Shoddy worksmanship - slipshot repairs by unskilled, unlicensed help. This is just the beginning for some of the more recent rehabs. Always have these properties inspected by a professional and due yourself some 'due diligence' and check with the village authorities about recent permits.

Don't get me wrong, not all rehabs are bad but not all rehabs are good either. Just watch out for that 'lipstick on pig'.

Great post from John Mulkey.

Original content by John Mulkey

Lipstick on a Pig – Understanding the Dangers of Rehabbed Foreclosures

 

piggy bank with lipstickWith millions of homes having been lost to foreclosure and millions more to come, savvy “investors” may purchase some of the best deals with the intention of turning them for a quick profit.  Unfortunately, some of those “investors” have little knowledge of construction and use their skills as “make-up artists” to put lipstick on what might otherwise be seen as a pig, a home with serious or even dangerous defects. 

 

Homes that have gone through the foreclosure process have often been neglected by owners who lack the financial resources to do routine maintenance.  Other homes may have been vandalized or had appliances, plumbing fixtures, wiring or plumbing pipes stolen.  And while the investor may replace missing fixtures and make repairs, in some cases those making repairs lack the proper licenses or certifications required by local building authorities.  Unscrupulous “flippers” may even attempt to cover up obvious flaws or dangerous conditions. 

 

Homebuyers considering the purchase of a home that has gone through foreclosure should always seek the guidance of an experienced real estate agent and should ALWAYS have the home inspected by a qualified home inspector.  While homes that are being “flipped” for profit may have lots of “sex appeal,” buyers must look beyond the surface.  Applying makeup cannot solve serious defects; and if there are unanswered questions or concerns it may be better to skip the flip.

 

To see some of the dangers posed by “flips,” and unscrupulous “flippers,” read these two posts from Jay Markanich, an experienced home inspector in Bristow, VA:

 

Mr. Jay’s Neighborhood – Meet Flipper

Oh, They Didn’t Need You.  The County Did the Inspection.

 

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rehabbed foreclosures

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Ambassador
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Lynn B. Friedman
Atlanta Homes ODAT Realty Call/Text 404-939-2727 Buckhead - Midtown - Westside -- and more ... - Atlanta, GA
Concierge Service for Our Atlanta Sellers & Buyers

Dear Lyn,

As a former builder for over thirty years - I realte to your "singing my song". 

You said: "Shoddy worksmanship - slipshot repairs by unskilled, unlicensed help. This is just the beginning for some of the more recent rehabs."

I am always suggesting to people that they are better off making cosmetic changes after they can see the repairs are done properly!!!!

Thanks for focus on this issue.

Have a happy day -
Lynn

Apr 11, 2011 03:58 PM #1
Ambassador
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1~Judi Barrett
Integrity Real Estate Services 118 SE AVE N, Idabel, OK 74745 - Idabel, OK
BS Ed, Integrity Real Estate Services -IDABEL OK

Lyn,

John knows his stuff and this blog was an excellent choice for a re-blog to your reading audience.  Nice.

Apr 12, 2011 03:00 PM #2
Rainmaker
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Lyn Sims
RE/MAX Suburban - Schaumburg, IL
Schaumburg IL Real Estate

Judi & Lynn:  Great info from John. Happy to pass it along.

Apr 13, 2011 04:43 AM #3
Rainmaker
1,560,756
Carla Muss-Jacobs, RETIRED
RETIRED / State License is Inactive - Portland, OR

Yup, and we all thought this would be getting better . . . LOL

Apr 14, 2011 01:59 PM #4
Rainmaker
1,572,864
Lyn Sims
RE/MAX Suburban - Schaumburg, IL
Schaumburg IL Real Estate

Carla:  Increased challenges with all the sub-par renovations.

Apr 15, 2011 03:33 AM #5
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Lyn Sims

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