In the midst of a severe housing shortage, it may seem contradictory to scrutinize those striving to provide move-in-ready homes. Yet, as housing experts, I feel it’s our duty to educate and empower our clients and evaluate these homes, which could potentially become burdens—especially of the financial kind— in the future, due to subpar workmanship. Whether we are searching rurally for Streator, IL real estate or duplexes in Shorewood, it is essential to be diligent. After viewing many flips over the course of my career, these are a few signs that may forewarn potential pitfalls.
Navigating the Flip: Warning Signs to Heed
1. Low Quality or Incorrect Construction Materials: The severity of either issue can range from a minor cosmetic blunder to dangerous. Perhaps my favorite example of this was a DIY flipper who used adhesive floor tiles as a backsplash in a kitchen. Needless to say, my clients were less than impressed and continued their home search.
2. Mismatched Finishes & Reused Items: Less egregious than using incorrect materials, hodgepodge and repurposed materials can be an indicator of a less than professional flip. There is nothing structurally wrong with mismatched items such as different countertops, floorings, or even cabinet handles. However, these could be signs of tight-budgets and “cutting corners” for profits. I would be lying if I told you I had not toured at least one flip where the old doors where not new, and instead painted white and the old door hardware, reinstalled after the fresh paint. This should give a buyer pause and could indicate corners were cut in more critical areas.
3. Poor Cosmetic Work: Have you ever seen the meme “landlord special” where the paint is dripping from trim and outlets have been rolled over? The same can be applied to home flippers who perhaps tired of the project they’ve started and regretted, hurriedly attempted to finish things up in order to sell. Most recent comes to mind was someone who spray painted the bathtub fixtures white. I wish I could tell you who justified that bad idea.
4. Inadequate permits: While it would be easy to assume all of the work has been done by licensed contractors, that would be a mistake. A real estate professional should be able to guide you on local regulations to ensure that the flipper followed proper permitting procedure including any required government inspections that should have been obtained.
5. No mechanical upgrades: I see this one time and time again. The listing photos are beautiful. The listing photos highlight the brand new kitchen cabinets, fresh paint, flooring, and stainless steel appliances. Then we arrive to the house and can see all of the unphotographed mechanical features. The windows are original single pane. The electric box is original to the house and still outdated fuses. The furnace and hot water heater are slightly more modern with manufacture dates in the 1990s, however the water heater is leaking from the pressure relief valve. The house could be aesthetically everything you’re looking for, but for most, too many imminent repairs are a breaking point.
Ultimately, there are no perfect homes. As a buyer though, it is your decision to determine your level of risk, and what repairs you are willing and not willing to take on as the result of purchasing a home. And it’s okay if you don’t know that answer immediately, or even after touring homes with me for the first time. As your agent, I will assist and guide you to come to that conclusion when the time is right.