The goal of the fix-and-flip strategy is to generate near-term cash by buying damaged or dilapidated properties at a deep discount, making additional cash investment to fix the issues that made them undesirable, and thereby maximizing the property’s value. This has been the primary strategy of Children’s H.E.L.P.’s Home Revitalization Program.

Repairs to Physical Condition

Most foreclosures need some degree of repair and renovation and many bank asset managers and government agencies – or prospective buyers – cannot deal with the hassle of doing it themselves or managing contractors to do the work for them. And this is where Children’s H.E.L.P.’s Home Revitalization Program steps-in. Our leadership has the professional real estate knowledge and experience to administrate such renovation projects – and the established relationships with local contractors and skilled subcontractors who get the job completed on-time and on-budget.

Fix for Curb Appeal

Our Home Revitalization crews know to target repairs and improvements to maximize appeal, both inside and outside, for the least cost. That doesn’t mean going cheap, but it does mean being discerning.

Outside. They keep the lawn cut and the landscaping trimmed, weeded and watered. They repair or replace loose or damaged roof shingles – or the entire roof, if warranted. They paint and repair loose gutters. They do the right things to maximize curb appeal and provide the next buyer with good value for their investment.

Inside. They clean all rooms, address all cracks or holes in the walls and paint them. They replace worn or damaged flooring, fixtures and appliances.  Many REOs come to us without appliances, and sometimes with walls and cupboards that have been severely abused.

Upgrades. Remodeling is as much an art as it is a science. Our teams know not to go overboard – we have thought-through our revitalization standards. We bring our fix and flip properties to code, and we exceed neighborhood standards making the home safe, secure and desirable. At the end of the day the goal is to present prospective buyers with the best balance of price and quality (value) on the market.

Advantages of the Fix and Flip Strategy

  • Quick profit. You get your money back in months rather than years.
  • No management/tenant hassles.  No long-term commitment or protracted wear & tear depreciation, and no property management  expenses.
  • Staying liquid. Getting your cash, and a nice profit, out of the property in a few months keeps you nimble for the next opportunity.

These advantages are offset by the ongoing need to find the next properties. And this is why Children’s H.E.L.P.’s Affordable Housing and Community Housing Development programs need to gain access to properties we can purchase at deep discounts by engaging bank asset managers and government agencies such as H.U.D., FHA and the NCST.