As you purchase a duplex/tri/quad and want to rent it out, it makes sense to want to upgrade the property before doing so to boost the amount you can ask for. For some quick background, I haven't purchased and am in the process of creating a business plan.
In my mind, I think that I would (this is assuming no major issues that an inspector missed):
- buy cheap, neutral colored paint.
- Buy cheap, but stainless steel appliances from a big box retailer
- New shower head and potentially sink for the bathrooms.
My hope is that for a 1,000 sqft unit, this would cost less than a thousand dollars.
Is my hope a little too optimistic? Are there any other renovations I should put into the business plan?
A good rule of thumb is never buy a property when your new to investing that you would not live in. Here is the list of 5 Y's
1. Paint Creamy mocha with white trim is clean and crisp with most nutureal colors of carpeting and cabinets. its a win win for you.
2. New toilets, new toilet seats, and new toilet paper holders. Bathrooms do sell houses!
3. Paint cabinets when possible and add some great new hardware pulls.
4. Brand new front door with a new mailbox..Nothing says come in like a new door. You can paint it yourself. I just take the door and mailbox to my local car painter. They paint both in 1 minute for $50 bucks.
5. Its better to have sparkling clean windows than dirty horrible blinds. Throw away the old blinds and let the newness begin.
Just my 2 cents :)
Thank you so much, Lisa! I'll look into all of those!
neutral paint is the most expensive paint. OOPS! Paint is the cheapest! Every home depot and lowes has gallons of paints that were mixed incorrectly for the customer so they sell them for $5-10 a gallon. Sometimes there are full 5 gallon buckets of oops paint too. figuring out creative ways to use these paints can pay dividends. While neutral paint is rule of thumb, properly done colors can add pop and a higher end feel to a property.
Appliances depends a lot on where you are and how nice the units are but yeah, if you are trying to get higher rents, stainless certainly gives the higher end look. I also think nice backsplashes add great pop to a kitchen for short money. redoing bathrooms are great bang for the buck reno's as well. IF you have linen closets which negate the need for a vanity a nice looking pedestal sink can add a nice look and keep costs way down. new tub is $125 and tiling a tub surround can also be done pretty cheap.
fully agree with throwing out dirty blinds and putting in new ones, they are pretty cheap
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