Allocating savings to acquire real estate, repair and resell it is a profitable investment if you consider the location of the property and the modifications that you must make. It is not always convenient to renovate structural aspects or property details to increase the value of the property by up to 25 percent.
If you are remodeling a property to resell it, one aspect that you should consider is its location. Investing safely and obtaining returns, is a combination that very few instruments give. A safe and profitable investment option, which requires an average level of knowledge is the remodeling of real estate .
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RENOVATION MORE OR LESS?
Send a “little hand cat” to immovable property is most advisable to get a good profit, according to experts. “The kitchen and bathrooms with a good state of conservation increase the value of a property; The third bedroom; And fourth the facade, because it is the first impression that a person receives.
With respect to structural remodels , they can substantially increase their value depending on what is added; But are not recommended when you do not want to allocate larger resources or when you do not have the advice of an architect.
FACTORS TO CONSIDER
Before purchasing a well for remodeling, Experts recommended analyzing the location to determine the initial value.
Popular Minnesota cities such as Minneapolis, St. Paul, Plymouth, Maple Grove, Delano and wayzata, are the ones that can increase their value, since they have wide communication channels.
If the house is locted in the lower middle class, it is not in the interest of an investor to remodel a property, because the characteristics of the market are not affordable, but if it is renewed with the appropriate characteristics, it can recover about 20 percent more Of the values obtained in the area. Floors and paint is what is recommended for this location, especially because there is a lot of competition with new housing of social interest.
Investing more in renovation may not redeem. It is important to point out that a good conservation must be done and to make the areas of greater use pleasant, unless one thinks to realize extensions; If you only think about remodeling, you should not make a big investment in renovation.
Meanwhile, if you talk about departments, the parking place critically increases the value of resale for a real estate.
Some estimate property loses of 1 percent in value each year, if it is not maintained.
- Review the situation. Make sure that the modifications do not require a special permit from the Delegation or the City Council.
- Resources for finishes. Do not destine a considerable amount for this purpose, but leave the property in optimal conditions.
- Shoestring budget. In that case, opt for exterior painting and overhaul of electrical and plumbing services.
- Composting required. To leave in good condition the kitchen and the baths is of paramount importance.