Entering the world of property renovation may seem daunting. You know that you must manage risk to make a profit or avoid over-capitalising, but some risk is inherent in property refurbishing. To avoid getting in over your head, use these three levels of renovation.
As you start your venture, choose level one properties. After successfully completing projects at the beginner level, consider properties in level two. Building your way up to level three will help you increase your skill and avoid becoming over-committed or frustrated.
Level One Renovations
Cosmetic improvements are the best renovations to begin with for your first project. If possible, stay away from homes that need work inside the walls (wiring or plumbing) or layout reconfiguration. Choose a property that needs surface improvements, such as fresh paint, flooring, lighting and landscaping.
At level one, you may consider refurbishing a kitchen or bath within the existing layout. Replace kitchen cabinetry and/or add new bench-tops. Update the bathroom with new flooring, paint and a vanity without moving plumbing or wiring. Cosmetic work can go a long way in kitchen and bathroom refurbishing.
Consult with an interior designer for assistance in determining which improvements will increase the value or sales price of your property if this is important to you. They can suggest popular home designs and colour schemes, as well as recommend uses for awkward spaces.
Level Two Renovations
If you have mastered the cosmetic renovations included in level one, you are ready for level two. At this level, you begin to take on more complicated work that may require hiring more professional help, such as electricians, plumbers, and structural engineers. Reconfiguring a home’s layout is the skill added at this level. Rather than sticking to the surface changes made in level one, you will begin to consider how a property’s space can be maximized by moving, adding, and removing walls.
The choppy layouts of older homes can be greatly improved by level two reconfigurations. They often have a multitude of small, awkward rooms that benefit from removing a few non-load bearing walls. It is possible to make older homes appear much newer with open layouts, natural light and modern conveniences. An interior designer can help you make the most of a property’s existing space.
Consult an expert before removing walls to maintain the home’s structural integrity. You may need to add beams or columns when removing a load bearing wall.
Level Three Renovations
Level three renovations feature extensive home re-configurations and possibly extensions. At this level, consider homes that require complete layout changes and widespread cosmetic work. These may be abandoned properties or foreclosed homes that have been severely neglected. You may also consider re-purposing properties into homes, such as churches or commercial space. Or even creating a dual occupancy out of one residence. For each property, use your expertise to analyze the profit potential (if important to you), cost of renovations, and final home value. By this point, you will be capable of managing a large budget and project to turn a profit on comprehensive renovations.