WHAT IS RENOV8
• Renov8 is a business that aims to renovate and rebuild old or run down houses in
neighbourhoods.
• The main way that Renov8 is able to do this is at house auctions.
• House auctions are an easy way to find rundown or neglected houses that are in need of
being renovated.
• After the houses have been renovated, they are then sold for a profit
• There are many benefits to renovating houses, for example:
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Better for the environment as it means less land needs to be used to build more houses.
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It also helps to enhance the property value of the neighbourhood.
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It also helps to greatly improve the health and safety of people in the neighbourhood, as a neglected house can be
a very big hazard to passersby.
MAJOR RISKS OF RENOV8
• One of the major risks of Renov8 is the amount of money that may have to be put
into a house renovation that you may not know about when you purchase the
house, which could mean the renovation could cost a lot more than expected.
• Another major risk to renovating a house is the fact that you may not be able to
sell the house for a while, meaning that you are not making any of the money back
you spent, and you could potentially go into debt.
• One other major risk is the fact that once the house has finally been renovated it
has to be valuated, if the valuation comes in lower than expected that could mean
that you could not make or even lose money on the house
• The last major risk are all the permits, meaning that some ideas to add value to the
house may not be possible due to not getting permission and the fact that permits
can take time, which will slow down the building process
VALUE PROPOSITION
• The main aim is to increase a houses property value through renovations.
• House flipping involves buying, renovating then selling on the houses for a
profit.
• Houses are mostly bought from auctions.
MAJOR RISKS
• High startup costs
• Can be unforeseen expenses
• Could take long time to sell the property
• Flipping houses can come with unforeseen complications
and liabilities such as:
• Unexpected renovation costs
• Potential accidents on property