I am in an escrow for a property in CA in a coastal town that has amazing views but requires major rehab work.
Estimates I have gotten from a few different contractors vary from $150K to $200K.
With my current day time job I have flexibility where once I fix this place, I could rent out my current primary home and move into this new house. However, should anything change with my job situation living in the coastal area may become impractical especially if my new work doesn’t allow me to work remotely. In that situation I would have to rent out house on the coast and move back into my current primary home.
I don’t have any intentions of selling either of them as both are in desirable locations. The coastal one is where I see myself retiring in next 20-25 years and current primary would hopefully continue appreciating and/or give me positive cashflow.
Now, my dilemma is how do I go about rehabing
this new house? If I were to live in it for good for sure, I wouldn’t mind doing it up but there is a good chance I may have to rent it out until I am ready to retire in which case no point in dropping a lot of money now, I may do it right before I move in at the time of retirement.
On the other hand, with those views and location I feel I could potentially fetch decent rent if I do it up nicely.
what other objective criteria I should consider to make a rational decision?
Thank you in advance.
It’s all about the numbers and the comps. I do not want to over improve the property if you’re going to rent or sell. You can always upgrade things if you decide to move in later.