Are you thinking of an investment property for the New Year 2023? The key to success with your investment property is to stay on budget. Follow these tips and you will earn the profit that your hard work deserves.
- Buy Low, Sell High.
This is one of the first clichés that you will hear about when discussing investing. We learn in Real Estate 101 that the value of a property is "what a willing Seller and a willing Buyer agree that it is". You can negotiate to that "sweet spot to where both sides are satisfied.
When Buying, and when Renting to your new Tenants, make sure that the prices you negotiate are comparable to the current prices in the neighborhood and prices that also support your goals.
You want to understand the price points and level of improvements in properties similar to yours.
Talk to a realtor professional to understand the current market. It may be useful to obtain a Comparative Market Analysis and to attend local open houses. Then match your level of improvement to similar homes.
- Choose finishes and paints carefully.
You want the property to be clean, stylish, bright and current with colors that will pop. Interior design magazines can help. Again, consult a design professional to get ideas of what is most popular and also what classics will stand the test of time. It is always recommended to choose those finishes that are in the middle price range.
- Pay particular attention to the kitchen and baths.
Many interior designers say that the kitchen is the heart of the home and that the bath can be an oasis of comfort. However, when rehabbing, the kitchen and bath can also add the most to your bottom line costs. Look to see what can be re-purposed and re-used. Then, the finishes, paints , wallpapers, floor coverings and design touches can be used to add the style and a fresh look.
- Enjoy the process.
There will always be ups and downs. Keep your ultimate goals in mind through all of it. You are bringing beauty and upgrades to the property for people to enjoy. You are improving the neighborhood for your fellows and for your own future investments. It will be worth it.
- Hire a great team.
You want a team that will get the work done on or before schedule and under budget, with the least inconvenience to you.
Blog Written By Marie Scarpulla
