Will be investing in my first property soon. In order to reduce unforeseen repair costs, do you recommend the investor perform cosmetic and light repairs on the property.? I realize the clock is ticking on the investment. I don't intend to wholesale my first house. I will be working at this on a full time basis and have experience painting and plastering rental properties I also realize I must develop a team including sub contractors.
Honestly, that depends. What is your time worth? How long will it take you to perform the upgrades? What will you NOT be doing while you are doing those jobs yourself?
Find out how much the jobs would cost to be handled by a handyman or small contractor and do a quick cost benefit analysis. Would you make more money by hiring out the job while you focus on making connections to sell the property or finding your next one? Maybe not, but you should know that as soon as possible.
My wife makes fun of me because I turn everything into numbers, but I feel like it is simply the best way to manage my time.
When i bought my first property, I said WOW you want 3k to rehab this to rent ready? I thought I could do it myself...I'm a handy guy...I painted the entire inside of the house in 2 a half days, finished it up in a weeks time...During that time, I lost a sale that would have made me lots of money...I learned my lesson the hard way. Good luck to you in what you decide.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing