Refrigerator or Not??!!

21 Replies

Okay so here goes! Las Vegas flip, bought it for $90,000. Rehabbed it in about 7 weeks. Completely new inside and out. It now appraises for $140,000, and my partners and I are having a debate on kitchen appliances!! Specifically I am all in to make house perfect. I want affordable stainless steel. They want none. What do you think?

install a refrigerator. I would match the caliber of your competition.  If the competition has SS, and SS flows with the décor, put in stainless steel.  To me, that's like buying a car that is almost perfect, but has no radio...spend the $80 on a radio and make the package complete.  Spend the $900-$1200 on a refrigerator and make the package complete. 

Look at the online ads for similar units nearby and see what your competition has in the way of appliances. You will need to do whatever it takes to compete and compare favorably in the eyes of the tenants. In some areas, no refrigerator is the norm, and in other areas any refrigerator is acceptable, and in other areas the refrigerator must match the other kitchen appliances. 

Updated about 3 years ago

OOPS - thought this was a rental for some reason. Still worth seeing what others do, but make them match for a flip.

All my homes come with appliances especially in that price range to attract first time home buyers.

Kitchens are big selling points for most houses. Stainless would grab attention of potential buyers. I'm with you, put them in. 

Stainless or not might be a valid debate. Appliances versus none, there isn't even any debate. You've got to do it. At $140,000, you are in first-time homebuyer territory. Might very well be an FHA or VA loan with a minimal down payment.

Your target buyers, in other words, may not have the money to drop $3k+ on basic appliances.

I expect not having appliances will result in a much higher days on market than if the house were ready to go.

Hey guys thank you so much. I am in total agreement, sometime it's nice to do a self check and get some validation.

Keep in mind, stainless appliances are top on the list for those that like to make appliances disappear from houses.  I think you need to offer them, but they might not need to be stainless.  

Look for used appliances on Craigslist. You can get a nice stainless steel refrigerator for $500. Someone buying 140k home isn't expecting top of the line new stainless appliances so its a good compromise.

Originally posted by @Account Closed :

Look for used appliances on Craigslist. You can get a nice stainless steel refrigerator for $500. Someone buying 140k home isn't expecting top of the line new stainless appliances so its a good compromise.

 I agree that they are not expecting top-of-the-line.  I disagree that they are not expecting new, especially in a recently-rehabbed flip.

Often times you can find the scratch and dent ones much less than the big box stores. In my area, there is a place in one of the industrial parks where you can buy matching sets NEW but they have blemishes (majority of the time you can't see the dent or scratch because the cabinetry hides it). This might be a viable option to get the result at a fraction of the cost.

@richardc

@Richard C. in Vegas where he and I flip, 125-140k is about the cheapest rehabbed SFR a buyer can find. They're usually in C class areas where buyers are just ecstatic to not have to buy appliances. I've also seen out here that most rehabbers only put the microwave, dishwasher, and stove. For my flips in that price range I always go the used route and I can get a whole stainless kitchen for under $1000. It's such a lower cost to me and the buyers love it. Every market is different though. 140k in the Midwest is a really nice home so they might expect all new. I only know my market.

for a flip you can get 4 stainless appliances for under $2,000, I'd go for it.

Why wasn't this decision made within the parameters of your budget? When you were projecting costs of rehab, did you include appliances?

Of course, real life happens, and if there are significant budget overages, and money needs to be saved, you can always ditch the appliances and include an appliance contingency in the sales price.  A $140k sales price can usually be altered to be a sales price of $143k with a $3k seller assist for appliances.

Basic stainless appliance suite at Home Depot or Lowes, about $2200 for 4 pieces or less than $2000 for 3.

Go with Frigidaire GALLERY, install a frig, but it only stays at full price offer. 

The people that are going to be buying a 140k home aren't likely to have a few grand lying around for appliances. They are looking for a finished product. Finish it. 

I know it seems silly but it's almost like baking a cake and deciding you'd rather not mix in the sugar.

I would do stainless for sure on all kitchen appliances (assuming the rest of the remodel is done to look high end, sometimes if it is a cheaper flip and you are just trying to make it look clean and basic you can save money with more basic appliances.) 

You may or may not be able to leave out the fridge depending on the homes pricing in comparison to the other homes available in the neighborhood. Check your competition.

I would do all SS appliances minus a fridge before I would do another color with a fridge. 

Stainless steel, and there's no question that you need to have all the appliances in. Will stainless steel sell the house? not by itself but it's certainly part of the equation if you want to get an offer at list price

New stainless is eye candy in the most important room in the house (as far as selling goes)  I'd do it.  I like Steve's suggestion that it only stays with a full price contract, or at least have the option as using it in negotiation.

Seems like a no brainer, put the fridge in. 

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