If you’ve decided to undertake a renovation real estate project for your investment property, you’ve taken an important step toward improving your property’s value. Before you start, you should be clear about your goals and do some planning to help ensure that the process goes smoothly.
Remodeling projects are exciting, but they have a lot of different tasks that you’ll need to keep track of. This blog post will provide an overview of what you need to do to get started and a checklist you can use to avoid overlooking any steps.
1. What is your budget?
Knowing the upper limit of what you want to spend can help you make better hiring and purchasing decisions. You should be prepared for unexpected expenses likely to crop up during the remodeling. When setting your budget, adding in an extra 20% is a good idea to cover unanticipated costs.
2. What is your timeframe?
Would you prefer to take more time to save money or spend more money to save time? Decide on a realistic timeframe that will meet your needs. Also, consider other commitments you might have when your attention will be needed elsewhere.
3. What are your priorities?
When you’re working within the limits of your budget and timeframe, you may find that you’re unable to do everything you envisioned. Sometimes, during the renovation process, you’ll need to make quick decisions about changes to your original plans. It will help if you decide in advance which aspects of the renovation are essential and which would be nice but can be let go if needed.
4. What will most improve the value of your property?
If you plan to sell your investment property, find out which improvements add the most value to properties in your area. Projects such as HVAC conversions, garage door replacements, and entry door replacements usually have a high return on investment.
If you own a rental property and plan to keep it, focus on the most in-demand improvements with tenants and will enable you to increase or maintain the rent. Kitchen and bathroom renovations, adding bedrooms, and adding laundry connections are examples of upgrades that are popular with renters.
5. Are there any aspects of the renovations that you can do yourself?
If you are handy and have the time, you may be able to save considerable money by doing some parts of the project yourself. Remember, though, that your ultimate goal is to improve the value of your investment property. For some tasks, it’s better to leave it to the professionals.
6. Who are you working with?
Finding the right general contractor is the key to having a successful real estate renovation. At R.H. Blanchard, we have provided the greater Boston area with top renovation and property management services for more than a decade. We’re family-owned and committed to doing a great job that fits your budget. We’d be glad to talk with you. Contact us for more information and a quote.