Hidden Remodeling Costs New Investors Forget
When I first started investing in real estate in 1993, I was shocked at all the costs that came with buying and selling property. If you are just getting started and plan to buy your first investment property to rent or flip, there are costs people tend to forget when they start a remodeling project. Closing Costs, Coming and Going One of the big costs people overlook is closing costs . I am not just talking about closing costs when you buy, but also when you sell. Depending on the purchase price and resale price, they can add up to thousands of dollars. If you use a real estate agent to sell the property, the cost goes up even more. Before buying, do your homework and talk with a closer at your local title company . Ask what the average closing costs will be at the price you are considering. Then ask what they will be at the higher price you hope to sell for after the remodel. For example, if you buy a home for $50,000, you might have $2,000 in closing costs. When you sell it for, say...