Buying a house to renovate and sell is a project that significantly differs from purchasing a property that’s going to be your own home. If you’re renovating to sell, get things wrong and you could end up losing out when you want to make a profit.
Of course, both buying a house that meets your own needs and purchasing a doer-upper you’ll then put on the market need careful assessment. But buy to sell and there are additional criteria to bear in mind to make a success of your investment.
To help you pick the right property to renovate and sell, we’ve put together advice from the experts that’ll allow you to assess its merits before making an offer.
1. Build relationships with estate agents
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Your search for a house that’s worth renovating and selling needs to be effective. “Building strong relationships with local estate agents is key,” says Amy Reynolds, head of sales at Richmond estate agency Antony Roberts. “Let them know exactly what you’re looking for – price range, preferred property type, and your intended level of renovation. Agents will often have knowledge of upcoming listings before they hit the market, giving you an advantage.
“Be professional in your approach,” she recommends. “If you’re serious about purchasing, demonstrate that you have financing in place and can move quickly. Estate agents are more likely to tip you off about opportunities if they know you’re a reliable buyer who won’t waste time.”
Amy Reynolds
Amy is both ARLA and NAEA-qualified, and is head of sales at Richmond estate agency Antony Roberts. She joined Antony Roberts in February 2024 from Chestertons, where she established and evolved her career, culminating in the role of area director for south-west London.
2. Research before viewing
So that you don’t squander time on houses that aren’t suitable, you need to investigate the type of home that will prove popular once renovated.
“Before viewing a property, it’s crucial to understand local market dynamics,” says Amy Reynolds. “Research recent sale prices of similar properties in the area, particularly those in renovated condition, to gauge the potential resale value.
“Look at the typical homeowner profile: are buyers in the area first-time buyers, families, or downsizers? This will influence the type of renovations that add the most value. Check the demand for specific property types: for example, in some areas, three-bedroom houses sell far faster than two-beds.”
You should bear in mind the viability of renovating, too. “Consider planning restrictions as certain areas, particularly conservation areas, may limit what you can alter,” advises Amy.
3. Focus on what’s popular and what isn’t
Homes from particular periods can be attractive to buyers. “Victorian and Edwardian homes tend to be perennially popular due to their character features, high ceilings, and solid construction,” says Amy Reynolds. “They also often have good potential for extension or reconfiguration. Post-war properties can also offer good opportunities, especially if they are well-located and can be modernised efficiently.”
But some houses don’t offer good renovate-and-sell potential. “Homes to be cautious of are those you can make considerably bigger but perhaps have no outside space – meaning you create something for a family, but the demand for that property is for a professional couple – who don’t need the extra space you have built,” says Amy.
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4. Assess the work required
If you’re thinking that a house needs to be in need of major work to make renovating then selling worthwhile, you might be surprised.
“Major renovations aren’t always necessary if you want to make a profit on a house you’re planning to sell,” says Thomas Goodman, construction expert at MyJobQuote. “If a home already has a decent layout and the room sizes are good, it may only need a cosmetic upgrade to make it desirable.”
What is important are the priorities you set. “If you want to maximise your profits, concentrate your spending on things that are important to buyers, including making sure the property is structurally sound and that the bathroom and kitchen are suitable for modern living,” says Thomas. “These rooms don’t need to be overly trendy, as neutral décor gives buyers a blank canvas. But suites, cabinets, worktops and tiles should be of a reasonable quality and be fitted properly, so the rooms have a good standard of finish.”
Thomas Goodman
Thomas Goodman has worked in the construction industry for over 20 years. Thomas continues to work on building projects, while also providing expert construction and property advice to industry professionals and DIY enthusiasts via the MyJobQuote platform.
5. Weigh up renovation costs
How much you’ll need to spend on renovation versus the price you might achieve when you sell is crucial to the project.
We noted above that it’s vital to investigate sale prices in the area, the type of properties that sell most quickly, and the sort of buyers it attracts, and it’s this information that will allow you to plan the budget for the work.
“If you’re going to make a profit, you can’t spend more on renovations than you’ll get back when you sell,” says Thomas Goodman. “So, use this information to set a sensible budget and work out where you need to target the money.”
Of course, if what you’ll need to spend on renovations exceeds the prices similar homes are achieving, then you’ll know that a particular property isn’t a sensible buy.
6. Focus on target buyers
While we saw above that some rooms are always worth attention, consider the needs of specific buyers when you’re buying a house to flip.
“Renovating to sell needs a different approach from the one you’d take to create your forever home,” says Thomas Goodman. “You need to target your budget at the areas of the home most important to buyers and at features that will make your home stand out from others on the market.”
Put yourself in a househunter’s shoes. “Buyers are generally looking for a home they can move straight into and don’t want the extra cost and hassle of having to update the kitchen and bathroom themselves,” says Thomas. “So, you should certainly focus your attention on these rooms.
“But it’s also important to consider kerb appeal,” he notes. “If a property looks scruffy or poorly maintained, it’s going to put people off before they’ve had a chance to look at the kitchen and bathroom.”
You also need to consider what type of location your property is in, he suggests. “If it’s an area that’s popular with families, it may be worth spending a bit more on the garden to make it appeal to those buyers. Similarly, if the house is situated in a commuter area or on a fairly busy road, it may be prudent to focus on creating off-street parking for two cars.”
7. Think about extending
The idea of extending a home as part of a house-flipping project is tempting, especially when work can be done without the need to apply for planning permission under the permitted development regime. But is it a good strategy?
“You need to take a couple of things into consideration when deciding whether to extend or not,” says Thomas Goodman. “The first is the ceiling price of properties in your area and the second is whether extending will make enough of a difference to the property price and to how quickly it will sell.
“If it’s a small house with a galley kitchen and very little in the way of living space, it may be a good move to extend,” he continues. “Especially if this opens the property up to a broader range of buyers such as young families. But you need to make sure you will still make a profit after you’ve added the build costs to the purchase price of the house.
“In areas where property sale prices are low, you may need to think a bit more carefully about your budget,” he adds. “Could it be more cost-effective to remove a wall and create an open-plan living space? Or could you add value in another way? Perhaps you could squeeze in an ensuite bathroom or divide a large bedroom into two smaller doubles to create a more family-friendly house without the cost of extending.”
Finding a house to renovate and sell shares some steps with buying your own home, such as introducing yourself to estate agents and sorting out your finances. But if you’re not staying put when the work is over, assessing house renovation costs is crucial as is thinking of your target buyer rather than your own tastes.
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