What order would you do these in to add value..?

[Dos]

Hi all,

I am looking to add a bit of value to one of our IP's and wondered what order you good folk might do these in...? I also have in the back of my mind rentability..... Have given some info around why for each..

1. Front fence - House is on the main road and tenant has a 3 yr old (not for m to worry about but they might be more comfortable if there is a fence and stay longer)
2. Render the house - Currently brown brick with a few rendered close by but not all... Would make it look nicer!!
3. Back deck - Main rd is at the front of the house so a deck out back gives another space.
4. New Kitchen - Older kitchen in the place which is functional but looks old (chipboard shelves with wallpaper on them, yep that type...)

Look forward to your thoughts!!

Dos

 

[Propertunity]

All those 4 things are good to do and will add value. The order in which you do them is neither here nor there IMO.

One Q for you though: Will the existing tenant pay more rent once all done?
You've been concerned about them staying on. I'd be more concerned that they won't pay more in rent.

 

[skater]

All those 4 things are good to do and will add value. The order in which you do them is neither here nor there IMO.

One Q for you though: Will the existing tenant pay more rent once all done?
You've been concerned about them staying on. I'd be more concerned that they won't pay more in rent.

Precisely! I would not waste my money on doing anything unless it translates to more $ in the bank. Are you wanting to sell the place?

 

[Andrew L]

I'd look at the fence as a duty of care? But a rent increase would come with it.

All the others I'd wait until one of the following -

looking to sell
looking to get top dollar in revalue
property is untenanted and reno will increase rent for you to recoup the costs inside 24 months.

 

[RightValue]

4
2
3
1

4 and 2 should add to value, 3 and 1 should add to saleability.

If you are paying someone else to do the work, there is a chance that cost will not equal value.

cheers

RightValue

 

[Dos]

Hi all,

Thanks for your thoughts... I have the opportunity to do only one or two so was the reason for seeing what order you may do them in.

There is the opportunity to increase the rent and also looking to increase the value of the property for the next round of buying later this year...