Furnishing Dream Homes on Starter Home Budgets: Tips for Cost-Conscious Investing
Investing in properties is often considered one of the best gateways to sustainable, passive income and eventually generational wealth. However, for every big investor, flipping properties is like playing monopoly. There are 10 people starting out with nothing but their own hard-earned money and a dream to make their house-flipping business successful.
Those people have limited budgets. They may be taking on additional financial strain to flip those initial homes and make them enticing to potential homebuyers. Whether you are a one-man show, a small flipping operation, or a larger company flipping houses, the margin of error can be razor-thin. As such, it can pay greater dividends to make budget-friendly upgrades and improvements to help the bottom line along. Using some of the tips from your friends at Maintenance KC, you can make cost-conscious upgrades that will have both your buyers and your balance sheet thanking you.
Home Upgrades Done on a Budget
So what goes into home upgrades? It can be as basic as a coat of paint and appliance upgrades, to more ambitious flooring, or to a full scale interior and exterior gut and remodel. These types of projects can be time consuming and costly, so it’s important to consider cost-cutting options when making improvements. At Maintenance KC, we understand that this process can be stressful, and as the area’s premiere handyman and contracting service, we have the expertise to help you stretch your budget and build the home people dream about.
The Basics in Investor-Friendly Upgrades Start in the Kitchen
When making kitchen upgrades, it can be easy to spring right for the high-end appliances. Luxury brands, with heavy features and quality finishes, can be big selling points with potential renters and buyers. However, fancier fixtures mean a bigger payout for the appliances; only to dent or scratch it during installation. Even if you work as carefully as possible, there’s always a chance one wayward motion could result in needing a replacement. Luckily, some of the budget-friendly options come in finishes that will make potential buyers feel like they’re in an upscale home, even if you only paid half the price. Budget-friendly appliance options include:
- Top freezer fridges instead of french door or side-by-sides
- Freestanding stoves instead of wall inserts
- Basic electric stoves are, on average, $100 cheaper than gas stoves
- Buying second hand or the floor model
These minor cost-cutting measures can really boost your bottom line, while still providing a clean, modern kitchen experience for future residents to enjoy.
For an Even Bigger Impact, Think About Cost-Friendly Flooring
Moving up the ladder to the more ambitious projects, let’s discuss flooring. When renovating older homes, you will often find the original hardwood hidden under that old carpet, which is a great selling point! However, if there is extensive damage to the floors, you might be looking at a larger project than you originally anticipated. If you are looking at refinishing the old hardwood floors to keep the original integrity of the home, you might be looking at a pretty large project.
While it might be tempting to dive headfirst into that project, consider the time and money needed to properly repair the floors. You might find that it is not worth your time investing in those floors, and you can get better use out of replacing the carpets; leaving the potential update up to the next homeowners.
Property investing is as much about timing as it is skills and salesmanship. The faster you can make upgrades and get the house on the market, the better chance you have at finding a buyer and making the sale. A better option for under-budget upgrades is to install new carpets in those areas on top of the hardwood.
Give Your House a Facelift and Update It’s Curb Appeal
When people talk about exterior updates, they often think about complicated full-scale changes to siding, roofs, doors, and windows. While these are all viable options to consider, not every update has to be a major cosmetic change. Maintenance KC recommends small changes like updates to landscaping, adding exterior decorations, and even just refinishing and painting the current doors can boost curb appeal. Refresh the exterior and make the whole home look new without even changing anything! It’s an example of some of the mind games real estate agents and property managers use to sell houses.
The Ultimate Saver – Work with A Investor Friendly Contractor in Your Area
All of these are examples of tactics individual investors can take, making their properties stand out to buyers and renters. However, implementing all of them on your own can be as time consuming as making the wrong decision with an upgrade. It pays even greater dividends to use an investor-friendly contractor, whose expertise and service can help you take any house from unlivable to unforgettable no matter the budget. Maintenance KC is ready and willing to tackle any renovation job, and get your investments move-in ready. Give us a call, or get a free quote online.