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Property Brothers: Secrets to fixer-upper profits

Watch out for bidding wars. Work on your credit. Don't be afraid to get your hands dirty.

That's the advice from Drew and Jonathan Scott, the reality star twins behind HGTV's "The Property Brothers," which helps buyers get over their fixer-upper fears by working with them to transform diamonds in the rough.

Drew, the real estate agent in the partnership, said in an interview on CNBC's "Squawk Box" on Wednesday that finding homes to buy is cut-throat because of investors like him and his brother. "We see a lot of bidding wars right now. People are even trying to price their house a little bit low to create a frenzy." In an extreme case, he said he saw one house "go $200,000 over list price."

One of the best ways to get your offer accepted, according to Jonathan, the contractor brother, is to continue improving your credit.

"[In] 2013, we saw a lot more appreciation than we did last year," he said. "[But] I think it's going to go up again this year."

While the brothers have their distinct roles on the show, they both were active in the renovations early in their business. "Back in the day, Drew used to get in there with me when we first started our business. This is back in the mid-1990s. And he would do everything: siding, flooring."

But Drew said nowadays he leaves most of the heavy lifting to Jonathan. "We do up to nine projects at a time. In a year, Jonathan does 60 full-blown renovations."

Jonathan has his own theory, jokingly saying: "In 1996, I think it was, he broke a [finger]nail and it was done;" Drew hung up his tool belt.

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