Landlords Experience To Maximize Rent From Rehab
What have peoples experience been in this area? It's my 1st time doing MF.
I am rehabbing a duplex, and the apprasial did not come in where we expected, dispite have multiple offers. The duplex, 4-plex market is just very thin in this neighbor. So I did get a price break.
I was planing a more major renovation like raising the ceiling in the hall (just framing no structural), new windows, cottage cheese ceiling gone, demo tile counter top (good shape, just ugly), demo wall and make an island, etc.
Now my thinking is cheap cheap cheap. If I'm not going to appraise well, why pur in the cash?
What would peoplesay the top 10 things are?
appliance, window, tile counter, raise hall, island, dark stained wood cabinets (strip and stain light, or paint) sky light (sun tunnels) as units are a little dark.
Thanks.
Why are you concerned with the appraisal? Are you selling, refinanceing, or what?
If you are holding ... what is the rental market like. Do you get market rent for your units considering the size, bedroom, bath, W/D hookups, garage, etc. Does it take long to rent your units compared to other rentals in the area?
If you get fair market rent and it take no longer to rent them .... the obvious answer is to do nothing.
But to answer your question 1) paint inside a light neutral color 2) new flooring inside 3) reglaze ugly bathtubs 4) repaint cabinets inside and out 5) paint outside 6) new bathroom cabinet 7) some landscaping and mulch 8) new lighting fixtures with lots of light 9) welcome mat outside the doors 10) paint concrete patios and entrance ways
Brenda
From my experience, unless you are in a luxury market, tenants look primarily for units to be clean and everything in working condition. They would definitely not pay more for islands, sky lights (unless the place is so dark that you really need those) or other luxuries, unless compatible units offer them.
The apprasial was an issue as I was buying it. It came in about 140 less than the accepted price, due to thin market in duplexes.
I think this a more high end market (Los Gatos if you know santa clara cth).
The duplex 2 doors door is asking 1950 and a SFR across the st went for 2600.
I was going to have a couple property managers walk thru and give me their comments.
I would suggest that you make an appointment to take a look at those units that are still available. This would give you some insight as to what needs to be done in your duplex to stay competitive.