Jane Slacksmith breaks down seven costly renovation mistakes property investors make. Hiring the cheapest tradespeople, skipping inspections, and renovating to personal taste instead of market demand top the list. Not tracking your budget or doing the numbers upfront will drain your profit.
Questions this video answers
Jane Slacksmith (Let's Chat).
Seven.
YourPropertySuccess.com.
October 30, 2018.
Chapters
Hi, it's Jane Slacksmith here and I'm here today to tell you about the seven most expensive mistakes that you can make when renovating a property. It's very easy to turn a profitable renovation into a big cost if you fall into one of these areas. I've seen these happen time and time again. Now, the first is not doing your numbers. You need to know the renovation budget, time to complete the renovation and the expected profit before you even put in an offer on that property. Number two, not having a pest and building inspection so you're not aware of all the unseen costs. And this can be critical. It can even be a negotiation tool when you're buying. Number three, not being clear on who you are renovating for. You need to know your target market. There is no point in adding an extra bedroom to make a five bedroom property. When 70% of those who live in the area actually only a three bedroom property. You're over capitalizing. That brings me to number four, which is over capitalizing. You need to be clear on the numbers. Think of renovation like a business. So what that means is that you actually have to be very careful on the numbers up front. Number five, Often people mistake their own wish list that they'd like in their own home for what they do for their renovation in an investment property. Look at renovated properties on the market right now in the area that you want to buy. Become familiar with the types of fixtures and fittings that they have. Remember, renovating to your own taste is a problem. Keep colors neutral. Don't follow the latest design trends because that will make your property date. Keep your color schemes timeless. And number six, this is about not keeping to your budget. It's one thing to have a budget, it's another to track against it. Make sure you keep on budget. And number seven, employing the cheapest trades and not getting the right job done for you. You might have to spend a little bit more for an experienced person on your team, but it will get you to the result you want. If you want to learn exactly how I prepare to buy a property, then head to my website, YourPropertySuccess.com to read the blog and check out the online courses I offer so you too can become a successful property investor. And if you liked this video, please click the like button or go over and subscribe and you will see future videos as well. And as always, here is to your property success.
