Cheap Repairs Good Returns
Looking for good bang for the buck repairs. What tends to be very popular but cheap to do for fixing up properties? If I have a property that is pretty bare, what tends to make buyers want the property more?
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Dale DeMott
[ Edited by ddemott on Date 10/27/2003 ]
In rehabing paint is the number one remodelling effort that returns the biggest value, followed by carpet. Paint and carpet can cover a multitude of sins.
Kitchens and bathroom updates will set a house apart from the rest of the comps on the market. I do the work in the bathrooms and kitchens myself since the materials are relatively cheap and the labor is very expensive. When I do a kitchen remodel I buy the cheapest, good looking cabinets from Home Depot, replace the sink and fixtures, counter and floor, I also buy all new matching appliances, refrig, stove and dishwasher. In bathrooms I either get the tile tub surround cleaned to look new or replace it with a all in one unit. Replace the toilet, sink and fixtures and lights, possibly the vanity. I tile alot of counters since it looks great and is very cheap to do.
If the place has a laundry room I always put in a new set of washer and dryers. If the buyer wants a discount on the selling price of the home, the first thing that I counter with is removal of the washer and dryer. You would be amazed at how many buyers will end up splitting the $5000 discount they wanted to $2500 if I throw in the washer dryer. It amazes me how a buyer is willing to pay $2500 for a $800 washer dryer set, but most of them are using every penny they have for the down and closing costs so it is easier for them to fiance the washer dryer in with the selling price than to have to shell out the $800 bucks after they buy the house for a washer dryer themselves.
Things I would never spend money on are a inground sprinkler system or a deck.
Reason I ask is this.... the bank already threw in the appliances. All of them are new already. Its as if the bank came in, dropped in all new appliances and left. The whole place needs carpeting and the kitchen needs new cabinets. Actually the place looks really weird. Walk in and you’ll see a new fridge, new dish washer, new furnace, etc… Anyways… Think that is doable with $5000 [carpeting and cabinets]? Will I have to do the work myself?
[addsig]
It all depends on the size of the house and the value of the house.
If the house is 5000 sq feet then $5000 won't even cover the cost of the carpet.
If the house is 800sq feet, maybe so.
If it is a $500,000 house then $5000 won't even begin to pay for the cabinetry you will need to use to match the home.
If it is a $30,000 house you might have money left over.
Measure the rooms that need carpet and go to a carpet store, tell them you need carpet for a house you are fixing up to sell, you need the cheapest carpet they have that you think doesn't look cheap. Within a few minutes you will know exactly how much it is going to cost you for carpet.
Measure the kitchen and take a simple drawing down to Home Depot, have the kitchen design department make up a kitchen for you, spec out the cheapest cabinets you think will work for the kitchen. Within 30 minutes you will know what the kitchen will cost you.
[addsig]
Get this one....I was helping a friend hang a new front door Sunday and she always puts an inexpensive set of cabinets in the garage,her reason?Men can't resist!!! Paint is first though...and the kitcher should ****Must Reach Senior Investor status before posting URL's*** have been told.
Mike
It appears you intend to flip this. If that's the case then less is better.
Paint and if necessary carpeting. End of rehab. A few financial "sweetners" could be more effective.
The house is roughly 1200 sq ft. Kitchen is a decent size.
-Dale
Quote:
On 2003-10-28 10:41, The-Rehabinator wrote:
It all depends on the size of the house and the value of the house.
If the house is 5000 sq feet then $5000 won't even cover the cost of the carpet.
If the house is 800sq feet, maybe so.
If it is a $500,000 house then $5000 won't even begin to pay for the cabinetry you will need to use to match the home.
If it is a $30,000 house you might have money left over.
Measure the rooms that need carpet and go to a carpet store, tell them you need carpet for a house you are fixing up to sell, you need the cheapest carpet they have that you think doesn't look cheap. Within a few minutes you will know exactly how much it is going to cost you for carpet.
Measure the kitchen and take a simple drawing down to Home Depot, have the kitchen design department make up a kitchen for you, spec out the cheapest cabinets you think will work for the kitchen. Within 30 minutes you will know what the kitchen will cost you.