All Forum Posts by: Jen R.

A few thoughts...first, too much creativity can actually be a bad thing in flipping. The most successful flippers I know have their go-to designs that they reproduce in every house, from paint colors, flooring, cabinets, counters, faucets, etc. That lets them purchase in bulk and streamline the entire process. Their subs know exactly what is going to happen at each property, which keeps them hands-off for most of the rehab so they can focus on making more deals. “Creativity” might only really come out in layout changes, tile design, and staging. 

Another option when starting out is to look at hiring a renovation consultant, who will help you think through affordable layout tweaks that can be made, and simple things to add value. My husband and I do this on the side, mostly for homeowners, but it could be beneficial as you are starting out to help you see all the possibilities. In fact, if you post detailed floor plans on BP, many people are happy to offer advice and sketches for free. In reference to your question about contractors helping with this, in my experience it is much better to come to the contractor with a vision/plan, have them point out any issues and  offer suggestions for work-arounds or how to do it more affordably.

Next, as Ray mentioned, get out and check out what other flippers in your area are doing. Visit new home builds as well, especially by the big-name players. They have designers whose entire job is to research and spec out finishes that buyers will want.

Beware of sources like HGTV and interior design catalogs; sure, they put together some gorgeous projects, but usually profit is not a factor on those jobs...and once you develop expensive design tastes it gets harder to make design sacrifices to maximize profits...

Often bigger complexes will have a specific release form that the tenants need to sign for them to share info. Can you contact any of the other past landlords? If not, I would put it on the tenants: tell them you need a landlord reference and let them contact their landlord and figure out what they need to do to release that info.

This will largely be market dependent; check out other rentals in the area to see what tenants will expect. I have B/B+ rentals in Ohio, and laminate is the norm. However, if I’m redoing a small kitchen, I will often put in a tier 1 granite or quartz as it will only cost about $500-$1k more and it’s much more permanent. In bigger kitchens I stick to a nice custom laminate (not the off-the-shelf incredibly thin junk), as I can’t justify the extra cost of stone.

Regarding the other options, butcher block is often just as expensive as a cheap granite, and most tenants will not appreciate it or care for it. Large format tile can be a good option, but labor-intensive, won’t hold the same value as stone, and grout will eventually need to be redone. Corian is nice because you can sand out scratches, but I’ve found it to be more expensive than granite and does not have the same appeal to tenants. Have considered concrete but I’m concerned about the upkeep and lasting appeal.

If you’re not afraid to DIY, used Corian or soapstone counters can be fabricated on site fairly easily (we have done both). Obviously that requires extra work in searching for materials and then putting in the labor, but if you’re upgrading on a strict budget it’s an option!

Sure, your property your rules. Of course with current ESA laws, many tenants will find a way around a no-pet policy anyway...

Can't give specific advice without knowing your market, so that's your first step: check out your comps. One of the difficult parts of the BRRRR strategy is maximizing the appraisal value while not over-improving your rental. So, you will need to determine a couple of things: first, what is your desired ARV? Then, look at the sold comps in that price range and see what it's going to take to hit that number (as well as properties currently on the market, as those may be the comps your appraiser will be using in 6 months). I always try to be conservative here, because I've found that without a sales contract in place, appraisers tend to value homes a bit on the lower side.

Next, what kind of rent are you hoping to get? Check out other rental properties in that price range and pay attention to the finish level and how quickly they get leased. 

Then you will have to make some compromises in order to find the sweet spot for your renovation costs. Personally, I like the strategy of finding space to add another bedroom and/or bathroom in order to drive up both the appraisal value and the rent. I love buying a 2/1 or 3/1 and turning it into a 3/2. Also, make sure you focus on any mechanicals that need to be updated. You may not see much return on the appraisal, but best to take care of those issues up front while the house is vacant and easy to tear apart and put back together. 

Lastly, focus on your cosmetics in order to hit the rental price you need. It’s easy to overspend here. I typically try to improve just beyond what the other rentals in my area are offering. I want to have the nicest rental on the market, which means I have close to zero vacancy costs. When choosing finishes, you’ll also need to take into account durability and weigh that against the price. For example, I don’t do any carpet in my rentals, which makes for a higher up front cost, but saves me $$ in the long term.

The forums are great for advice on cost-effective but durable finishes for rentals. Also, if you post some pics of your property and the location, you may get some locals who know your market to chime in and offer suggestions based on their experience.

Put it in neutral, roll it out to the street, report to the city as abandoned so that they’ll come tow it away....only halfway kidding....

@Aaron Hale did you find someone you were happy with? I have a contractor I’ve worked with on 4 full house rehabs in Cuyahoga Falls, and would be happy to send you his contact info.

I would send a notice of the lease violation and be prepared to take the next steps if they do not comply.  If they are not cooperative on something as simple as obtaining renter’s insurance, they are just going to cause more headaches down the road. Or worse, maybe there’s a reason they are uninsurable. Renter’s insurance does much more than simply protect their belongings - it protects you and your property if the tenants cause damage (e.g. if tenant starts a cooking fire and burns down the kitchen, your homeowner’s insurance likely will not cover it - it will be on your tenant and their renter’s insurance). 

In our lease we state that the furnace must be set to at least 60 degrees. Also, when we are expecting incredibly cold weather (like this week in Ohio!), I send out an email reminder to all of our tenants with tips on how to prevent frozen pipes (see below):

“With the extremely cold temperatures we are expecting over the next couple of days, we thought we would send out just a couple of tips. These are some things that we do at our own house to help protect pipes from freezing:

1. Make sure the furnace is set to at least 60 degrees.

2. Open vanity and sink cabinet doors so that warm air can reach the pipes under the sinks.

3. Leave faucets slightly open so that the water runs at a trickle.

4. Disconnect any garden hoses from outdoor faucets.

If you notice any issues, you can try heating pipes with a hair dryer to get them flowing again, or of course, give us a call!“