How to Renovate for Profit
1. Buy the Worst House on the Best Street
If you are serious about renovating for profit, buy the worst house you can find in the best street that you can afford. In its current condition, the property is likely to put a lot of people off, and so the price should reflect that.
The chances are unless you are buying a big property, the potential margin for profit is relatively narrow, so you’ve really got to think about what you are doing.
Get great at the basics…
2. Get the Essentials Right First
In terms of prioritizing your budget, it’s tempting to think that it’s worth spending money on the kitchen, the bathroom, the decorating and the cosmetic finishes.
Most “Newbies” do this
3. Don’t Get Carried Away
If you are renovating for the first time for profit, the biggest risk is thinking that this is fun, getting carried away with the project and starting to treat it as an interior design scheme and thinking about your own wishes and requirements rather than about the person that is going to be buying it.
Big one in Fort Myers Florida….
4. Add Central Heating/AC
Adding or updating the central air conditioning or heating system will always add more to the value of a property than it costs. It is considered an essential by most buyers and mortgage valuers.
Here’s the catch…
5. Remember the ‘Ceiling Value’
Bear in mind that there is a ‘ceiling value’ – a maximum value that any property can achieve – so you can’t just go on adding space.