Ensuring that you make the right property choice
Property renovation, if done successfully, can be a big money maker. The best chance of making a decent profit comes from choosing the right type of property.
Properties in bad condition
Some of the simplest renovations are on properties in bad condition. As we are dealing with simple renovation here, this does not include properties with structural damage. It can simply be a case of a property looking dated and old-fashioned. It is amazing how a new bathroom, kitchen and splash of paint can completely transform a property. This is a good place to start when beginning in property development.
Say for example you were looking for a property in Bournemouth, then you would need to ask a Bournemouth estate agents if they had any properties in need of renovation as this could be a great place to start. Speaking to estate agents is a good way to acquire properties as you may be able to take an awful property off their hands that they are having trouble to sell. You will also want to start building a good relationship with the agent as ultimately you will require their help in the long run when it comes to finding tenants for your newly renovated property.
Derelict properties are also ripe for renovation. To find one, your best bet is to visit websites specialising in this area as derelict properties can be rather hard to come by. Renovating a derelict property is never as simple as just redecorating. When a property has been left empty there can often be structural problems to deal with. Employing a surveyor to assess the state of the property is a good idea. This will help you work out necessary costs and see if the project is worth it. Done right, derelict properties can be turned into beautiful new homes but always have a sufficient contingency budget as they are also the most likely to have hidden costs.
Often reasonably priced are old council properties. In general, they are well built as the council wanted properties that last. Older council-built properties can be perfect for renovation as they often came with large gardens meaning more room for adding things such as extensions or conservatories. Again, to find these, just look in the local estate agents or on-line.
Making a good profit can often be down to getting the property for a good price to begin with. Bargains can often be found at property auctions as the sellers often want a quick sale. Bank repossessed houses for sale can be found at a property auction and these can offer some great savings. Just like regular auctions, properties are catalogued with a description and guide price and potential buyers can go and view them. Viewings give you the perfect opportunity to evaluate the condition of the property and what work needs to be done. When wanting a quick sale people can put their properties into a house auction with a reasonably low reserve price. This means if there is not a lot of interest in the property on auction day you could end up getting yourself a bargain. One thing you must do at house auctions it to set yourself a budget and do not go over that limit. During an auction and can be really easy to get carried away and overspend.
Whatever type of property you choose to renovate make sure you do your research before investing. Always get the proper surveys and checks done and it is important to ensure your budget is realistic. Many people underestimate the cost of renovation work. If you manage to find a property for the right price you too can make a great deal of money from property renovation.