Buying a rental property is a large investment that can turn into substantial profit if you do it right. It can be a fun hobby you do on the side of your ordinary job or a full-time occupation that you can make into a business. One way to make a profit out of buying a rental property is to buy a building in need of renovation and then renovating it yourself. In order to renovate a rental property properly while also making it appealing to future tenants, there are a few things you should think about.
Floors and windows
The first thing you need to do is to evaluate what renovations the building needs in order to function and be an attractive rental property for future tenants. Floors and windows are things that are particularly important to have fixed, as these are things people tend to look at first when entering a new place. If the building is equipped with single pane windows, or if they're letting in a lot of air, you might want to have them replaced with double pane windows. Look for loose floorboards and discolouration of the floors, as these things might be indicators that they need to be changed.
If your rental property is in need of renovations in the building's structure, you might want to reconsider if this is something you're able to do yourself. If your building is a subject of subsidence, for example, your house needs to undergo underpinning or restumping. These are complicated procedures to perform on your own as they are difficult to do and require access to expensive equipment. The same thing goes if there are issues with the plumbing in your building. If you don't have any experience of these procedures, you should consider hiring professionals to do them for you.
Hire a professional
Even if you are performing all necessary renovations yourself, you should still consider hiring a professional to inspect the building and evaluate what renovations are needed and how much they might end up costing. Have a proper building inspection done before you buy the rental property, as this can be used as a base for a contractor to give you an estimate for a budget. Seeking consultation with a professional can also come with the advantage that they might know a good firm where you can hire equipment for your building project. They should also be able to inform you about any legal considerations affecting buildings in your area that you need to know about if you need to make any external changes to the building.