Hi, I am new to re investing and the forum. I have a condo that I've owned for about twenty years. I've rented it to tenants for the last 16 years or so and right now I'm living in it. I want to do some rehab work to it and put it back on the rental market in the summer.
Does anyone have suggestions on how I can determine how much I should invest in the rehab and how long I should expect to recoup my investment? I am assuming cash flow (from the rental) will be a part of the determining factors, correct? Any information would be helpful.
It really hard to answer that give the limited information you provided. In general I never rehab a rental to anything significantly better than the surrounding rental properties. I also believe that good is good enough. If I plan to rent its hard to see how you recover money from high end fixes.
Sorry I cant be more specific but when you think about doing additional rehab consider how much extra rent will I collect for this added feature? And then do the math to see if its a good return
Thank you Jeffery for the information. Assuming the numbers make sense, do you know how long is a general rule for time to recover the money invested (e.g., 2, 3, etc.)?
meant 2, 3 years, etc.
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