4/5 + 1/5 - 1 is not 0
Isa na naman formula ito na pagkaka-kwartahan. Hehe. Unlike the previous 1+1-1 formula, mas madali pagkakitaan ng pera itong scheme na ito. Yun kasing 1+1-1 kailangan mo pang pahinugin ang investment mo bago ka kumita. Dito sa scheme na ito, maiksing panahon lang pwede ka nang kumita and requires a smaller investment too.
4/5+ 1/5 - 1 stands for: Buy a “do-up” house (kaya 4/5 lang), renovate it (add 1/5) , then Sell (-1). You don’t have to buy a really run-down house. Find a house that is structurally sound with no major defects or deficient only in minor things like cleanliness and aesthetics. Yun bang konting pahid lang ng paint at palit lang ng mga carpets magmu-mukhang bago na. O kaya mabaho lang siya dahil kulang sa linis. Sabi nga ng iba, the more smelly the house, the better. Dahil alisin mo lang ang smell, pera na. What others see as a neglected house, can be a potential goldmine!
If you are handy in fixing things yourself, got a good eye for redecorating, and some free time, this scheme is perfect for you. Make the house tidy and appealing both inside and out. Tidy up the lawn and driveway. Put plants, flowers in strategic locations. They help camouflage imperfections. Hang framed paintings and put basic furnitures para mukhang very liveable. Yun bang unang kita pa lang ng would be buyers, feeling nila they want to move in na.
After just a few days of renovation and redecorating, you should be ready to sell the house. A $300k house you bought initially, plus a renovation cost of even below $10k, should easily sell for $350k plus. Between $30k-$50k return is attainable.
Imagine, magawa mo lang ito dalawa o tatlong beses sa isang taon … you won’t need to work the rest of the year! No wonder lots of Kiwis keep moving from house to house. Buy, renovate, sell. Buy, renovate, sell....
A word of caution: If you do this as your main source of income, you will have to declare the profit as income and therefore need to pay tax.