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Hoarder House Investment Property: The Reality of Real Estate Flipping

Investing in real estate often comes with surprises—some pleasant, others not so much. This particular house in Arlington, Texas, was an unexpected plunge into the deep end of hoarder house rehabilitations. Flipping properties is rarely as glamorous as shown on TV, but by thinking strategically and embracing the chaos, even the most dire situations can lead to profitable outcomes.

Let’s take you through an honest walkthrough of a trash hoarder house, sharing valuable insights for real estate investors considering similar ventures.

Understanding Hoarder Houses: Not All Are the Same

Many assume all hoarder houses are identical, but they vary in type and severity. Knowing what you’re dealing with upfront can save you trouble later.

Junk Hoarder Houses

These properties often feature stacks of items like newspapers, books, and belongings towering in every room. You’ve seen this type depicted on shows like Hoarders: narrow walking paths winding through piles of clutter, making navigation difficult.

Trash Hoarder Houses

This type is a different beast entirely. Trash hoarder houses, like this one, consist of layers of debris covering nearly every surface. Imagine walking into a home where garbage is piled knee-deep—or worse—and the smell is overwhelming. These properties require significant cleanup before repairs or renovations can even begin.

The Backstory: Buying a Hoarder House

This property came through a straightforward seller lead. A homeowner contacted us with an intent to sell, and we struck a deal. The catch? We couldn’t stomach walking past the living room during initial negotiations due to the dog, odor, and sheer amount of trash. Instead, we finalized the purchase outside.

When flipping houses like this, it’s critical to price them low. Exterior and interior conditions dictate extensive work, so assume you’ll face the worst from the start.

First Look: The Exterior

Before stepping inside, the exterior hinted at trouble. Overgrown trees filled the yard, with branches looming over the roof. While trees can add curb appeal, they can also be costly. Overhanging limbs can damage shingles, promote roof rot, or harbor pests.

Then there’s the roof itself. This one looked like it had “fries” or debris scattered across the shingles, a clear sign of neglect. If the outside shows this level of deterioration, expect more significant issues waiting indoors.

Safety First: Preparing to Enter

Trash hoarder homes are far from the safest environment. Masks, gloves, and other protective gear are non-negotiable when exploring these properties. Between the potential for biohazards, mold, and structural instability, preparation isn’t just smart—it’s essential.

Walking into this house was an assault on the senses. The smell alone could knock you back, and the three-foot-deep trash piles didn’t help. Even stable-looking flooring is deceptive in houses like these. Weak spots and structural damage are common when debris has piled up for years.

On the Inside: Identifying Rooms and Layout

Living Room

The living room serves as your first impression of the home’s interior issues. In this house, it was packed with trash, confirming the worst-case scenario.

Kitchen

Entering the kitchen revealed mildew, odors, and evidence of long-term neglect. Trash hoarder kitchens often require thorough, down-to-the-studs renovations, and this one was no exception.

Bedrooms and Bathrooms

Determining the number of bedrooms or bathrooms was guesswork at first. Tax records listed three bedrooms and two baths, but as we dug deeper, we discovered an extra bedroom hidden among the trash—an unexpected bonus! Bathrooms here are likely full gut jobs, given the severity of damage elsewhere.

Estimating Cleanup Costs

Trash removal alone is a major expense. In this home, trash reached three feet deep across most areas, raising questions about how many dumpsters the cleanup might need.

Using basic math, the square footage of a property (ceiling height vs. trash depth) can provide a rough dumpster estimate. For this house, it’s clear more than three or four dumpsters would be required.

Balancing Risks and Expectations

It’s tempting to hope for hidden positives, but that’s rarely the case in properties like these. While finding an undiscovered bedroom or a salvageable piano is encouraging, it’s better to assume worst-case scenarios when budgeting. Prepare financially for the following:

  • Structural damage
  • Plumbing or electrical issues
  • Mold and biohazard cleanup

Anything less is a pleasant surprise, but don’t bank on it.

Lessons Learned: Key Takeaways for Investors

  1. Inspect Every Detail You Can See
    Can’t walk through the whole house? Base your assessment on visible areas and assume the rest is in similar condition.
  2. Budget for the Unexpected
    Factoring in extra costs for unseen damage, extensive cleanup, and structural unknowns ensures you’re not caught unprepared.
  3. Focus on Numbers Over Emotion
    Hoarder homes can feel overwhelming, but stay focused. Do the math and let the numbers guide your decisions.
  4. Start Low With Offers
    Properties with this level of damage require significant investment. Be prepared to make offers reflecting the risks involved.

Don’t Forget Humor

One way to cope with the emotional toll of walking through trashed homes is by keeping things lighthearted. Jokes about the amount of Febreze needed or sarcastic comments about how “five dollars of paint” will fix the home provide a necessary break.

While flipping hoarder houses isn’t for the faint-hearted, handling situations like this with humor and strategic focus can turn even the most daunting property into a success.

The Reality of Flipping

Unlike heavily edited TV shows, flipping is a messy, hard-fought business. Walking into a home like this tests your patience, creativity, and grit. The key? Stay realistic, prepare financially, and bring plenty of masks.

Investing in hoarder houses isn’t glamorous, but opportunities abound for the bold. Where others see garbage, you might just find gold. With the right strategy, even a trash hoarder house can be transformed into a profitable investment.

Are you ready to face the challenge?

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