More People Flipping Houses for Profits

ABC News' Rebecca Jarvis reports the latest on those individuals fixing up houses to quickly resell them.
2:46 | 07/21/14

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Transcript for More People Flipping Houses for Profits
Next here tonight real answers about buying your dream home sales of existing homes are on a rocket ride nearly a 5% increase in May and that's the biggest jump. And about three years. More than ever people are buying houses though -- to fix them up and sell them as fast as possible. So what's hiding behind some of those walls. ABC's Rebecca Jarvis with a consumer warning for everyone tonight. Eric man hit the real estate jackpot this with a -- That's the flip. Find his Brooklyn home for one point two million dollars in just three days he painted the walls sanded the flowers added a 300 dollar chandelier -- -- it and sort of point one billion dollars did you think you're lucky. -- -- -- It's the wild world of house -- Lives are up 16%. Last year in 114%. From the year before. -- -- do little thought she was getting the deal a lifetime to on this newly renovated -- home buying it as it is see you want it to the house before you buy it. And you seen a lot of really nice stuff. Absolutely on the surface and it -- looked pretty bad but we need something or inspector -- she might find more than 151000. Dollars in hidden costs broke loose hazard is -- two weeks -- her sewer and a year after buying Erica found two feet of water under debris in the basement. -- -- -- all like there's a lot of flooding issues with clippers are particularly good -- is doing surface repairs and not hailing the structural repairs on a sometimes needed so Erika called in Jennifer and Steve Clark husband and wife -- urged the -- who say there -- insider secrets just putting a potentially bad flip. In your utility rooms make sure your dryer in heater prevented out of the house they -- an easy step and it just -- hole in the floor tissue a carbon monoxide. Coming back into the house they say the electrical. -- it should be about twelve inches off the ground was done improperly anything else could be a sign of old electrical wiring. This is a major fire. You hit this law and hold -- -- up. Also your switches should be on the wall. And not in the molding -- an after thought it was an afterthought finally separate hot and cold -- in the shower may mean old fixtures were replaced but not the old plumbing. Well not -- lips are -- remember. If it sounds too good to be true oh absolutely and seated hatred -- in -- Our experts also told us pay attention to how long that renovation took -- -- a heavy job for most houses it should take at least six months and -- of course you always always want to do that thorough inspection. Before you buy anything you great to have you watching out for us thanks --

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