In today's market, fixer-uppers have a tremendous opportunity to shine. As home prices for turn-key properties continues to rise due to limited housing inventory, many agents will find that with a few tweeks to their sales presentations mastering this untapped market could be the key to separating themselves from the herd.

Leading real estate resource Inman published an article entitled "Make that Fixer-Upper Shine", and offered a handful of tips on preparing the property for showings. What I liked most about some of the ideas the article presents is how to give a diamond-in-the-rough property the fighting chance to show off its true potential as a beautiful first home. Some of these ideas include:

1. Fix the Curb Appeal – they point out that the first thing potential home-buyers will see is the front yard - the lawn, front door and porch. A minimal investment of time and money into making a good first impression can generate tremendous returns in exchange. Have it looking nice, it will be worth it.
2. Highlight the Positives – every house has its own great perks, it's important as a sales professional to find what great perk your property has and highlight it for your clients. Maybe a cute little breakfast nook? Extra large living and/or entertaining area? Every property has something if we are imaginative enough to see it.
3. Give Each Room a Purpose - When it comes to showing any property, homebuyers need to be able to envision what life will be like in that home. When it comes to fixer-uppers, homebuyers will need even more assistance from their real estate agents to see the true potential of the property. One effective way of doing this is expressing the layout of the home by room and its purpose.

From a lending standpoint, we offer a fantastic mortgage program known as the FHA 203(k) loan really designed for supporting the fixer-upper market. When utilized properly, the highlights of this program can take your sales presentation to the next level.

One example some of our partners have found successful is to bring along sales materials for lets say, fixtures, paint splotches, kitchen cabinets, appliances and much more. This way when showing their clients homes and telling the story of each room, additional visual aids can be used to enhance the imagination of what life might be like with their new home – they can immerse themselves in the story and connect to its potential.  

The 203(k) programs are really nice and especially fitting for a low-supply/high-demand market. These loans offer the same low down-payment option as the standard FHA loan, but with the ability to finance up to an $35,000 or more for home improvements, renovations and upgrades. While it wouldn't allow your client to necessarily install a new pool, when looking at interior design and appliance options this provides a very real number to tangibly make improvements and modifications to meet their personal preferences.

My team strives to support you in being the go-to real estate resources in your community. In doing so we offer what's called our Dine n Grind events focused on specific topics to help agents grow their business. One of these events is built specifically around the FHA 203(k) program and arms real estate agents with the information needed to strengthen their sales presentations. If you would like to join us for our next 203(k) Dine n Grind, call me directly at 561-864-2458, or send us an email at [email protected]   

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 I appreciate you joining me today, hopefully you can find a way to apply your shot into today, until tomorrow, have a better day today than yesterday.

The views of this blog, "Your Morning Shot" podcast, and on this site in general are solely those of the authors, Matt Weaver (NMLS-175651) and Zack Lewis, and do not express the views or opinions of Finance of America Mortgage.