We spoke with Kortney and Dave from hit HGTV show Masters of Flip about the basics of house flipping
Kortney and Dave Wilson are no strangers to the house flipping game. This dynamic duo has flipped hundreds of homes, both off screen and on their hit TV show Masters of Flip, and make it look easy. So what's their secret? We had a chance to speak with Kortney and Dave during the Vancouver Fall Home Show about the basics of the business.
REW: What is the single most important renovation in a house flip and why?
Dave: For me, it's getting the kitchen right. I believe the kitchen is the central hub of the home and can really set the tone for the rest of the main floor. It's also the most expensive room to renovate, which means doing alot of research and finding a balance of both trends and timeless materials to ensure you won't bore, can be a process.
REW: What is the most common mistake to avoid when flipping a home?
Kortney: When flipping houses, it’s important to appeal to the masses. Design it so it appeals to as many buyers as possible. Remember that you are not moving into the house. Don’t overspend in areas that will not yield a return. Know your market and the price point before you start the renovation so you are competing with the houses on the market without pricing your flip out of the market.
REW: In white-hot markets like in Vancouver or Toronto, what types of homes do you think present the most lucrative flipping opportunities?
Dave: From what I know about each of those markets, finding a house that allows for an addition or build-out may be a house flippers best bet to make extra money. Making money on the buy becomes increasingly difficult so knowing that you can add on and list it for much higher per square foot than you can build for is key.
REW: What is the biggest piece of advice you can offer a first-time house flipper?
Kortney: Assemble a team and don’t try and do everything yourself. It’s best to rely on people who are best at what they do and make a little less than to wing it. There are certainly house flippers out there who are the Jacks of all trades, but the most successful renovators are usually (not always) people who recognize that having things done right the first time will save you time and money in the long run.
REW: Our readers are particularly interested in the effect of house flipping on local real estate prices. Have you gotten any backlash from the real estate community in terms of accusations of driving up property prices? And if so, how do you respond to that?
Kortney: We occasionally get a little backlash when we list a house higher than the neighbours or community anticipated. It’s really only happened a few times and my answer is always the same. The buyer sets the price. I mean, I can ask whatever I want as the seller, but that doesn’t mean the buyer is willing to pay it. I also believe in market correction. If I list a house too low, it will likely result in multiple offers and maybe even going over list price. So it makes the best sense to price it exactly where I think it needs to fall in comparison to other houses on the market and let the buyer decide by their offer price, what it’s worth.