Are you passionate about real estate? Ever wanted to learn how to flip real estate in Quebec and make a profit? We’ve put together all our top tips to help you make real profits as you buy and sell property in Quebec.
Real estate flips have become increasingly popular over the years. This rise in popularity is due in part to reality TV shows and the strong desire to get one’s hands dirty, get the job done and (if all goes well) make big bucks.
Before you dive headfirst into your first purchase, you need to know what you’re getting into.
Understanding the market
The real estate market changes depending on where you are in the country. What’s happening in your local market may not be the same as what’s happening in the country as a whole.
- Are prices rising or falling?
- What kind of facilities and infrastructures are coming soon?
- What are the region’s assets that will attract buyers?
If you buy a house in the area, will it be profitable to keep it and rent it out while prices rise a little further?
Knowing the numbers
Do you know what a VAR is? This is the value a house will have after repairs and other work have been carried out. To know these figures, you’ll need to study the market day and night, and deal with a contractor capable of accurately estimating the cost of the work.
You’ll also need to take into account the time required to complete the work and sell the house. Even if you’re a homeowner, you’ll still have expenses, such as paying taxes, Hydro-Québec bills and the mortgage, if you have one. Not to mention the cost of materials, workers’ wages and so on.
Know your buyers
What is the neighborhood’s demographic profile? Are there many families, retirees, nature lovers or students in the area? What will they want to find in a house?
You should buy a home that has the features sought after by the type of people who live in the neighborhood.
If there are lots of families in the area, create a playroom or finish the basement. If there are a lot of retirees, make sure the house is easily accessible and the yard is easy to maintain.
Choosing the right price
Be realistic when you think about the price at which you’ll be able to sell the house. When calculating your VAR, don’t inflate prices to arrive at the amount you hope to obtain. When you flip real estate, you want to sell FAST!
Once you’ve done your research, you should be aware of the market value of local homes. Be sure to advertise your property for sale at the price it’s worth, or at a slightly lower price.
Are you ready to make a profit with your real estate flip in Quebec?
If so, it’s essential that you take the time to get informed and make sure you understand all the parameters involved.
If you’re new to the world of real estate investing and flipping, be sure to talk to professionals who can guide you. That way, you can avoid losing a lot of money!
