I am joining a team that renovates and rents REO properties. I have tried gathering information on best strategies and practices but I am having issues. How much do the numbers change when it comes to renovating and renting a normal distressed property over an REO property? If it does change, what are the best practices, calculations/ number, and strategies to follow and ensure all debts are paid and the property properly cashflows?
Any and all advice is much appreciated!
The fact that it's an REO won't signify any particular change in repair costs, every property is unique.
What will change the costs is flipping for rent vs resale (depending on the area). Many rentals have lower end finishes. (i.e. minimal kitchen cabinets, no dishwasher, older doors are ok, painting vs replacing items, etc)