So you've just bought a home at auction and now you're faced with the daunting task of fixing it up quickly so it can be rented out as an investment property. Don't worry, we're here to help! In this blog post, we will examine some tips that will help you get your new home ready for tenants in no time. Keep reading to learn more!
The Benefits Of Buying A Home At Auction
The benefits are numerous when it comes to buying properties at auction. For one, you can often get a great deal on the property. Additionally, the process of buying a home at auction is usually much quicker than going through a traditional real estate transaction. However, one downside to buying a home at auction is that you may not have time to do much (or any) repairs before renting it out. This can be especially challenging if the home needs significant work.
If you find yourself in this situation, don't despair! There are some things you can do to quickly fix up your new home so it's ready for tenants. First, prioritize the repairs that need to be made. If there are any safety issues, those should be addressed first and foremost.
Key Areas To Focus On So You Can Fix Up A Home Quickly For Rental Purposes
You bought yourself an old house that could be called a fixer-upper. It needs some work, but you’re sure that once you’ve tackled some home improvements and decorated it to suit your modern taste, it will be as good as any new build on the block.
These updates will fall into three categories:
Ways to save on energy costs so that your investment property can generate the maximum amount of money possible. This includes things like insulation and energy saving doors and windows.
Amenities that will attract tenants and keep them happy such as basic landscaping, new appliances, improved lighting, and freshly painted walls.
Items that need to be done to ensure the house is safe to occupy such as fixing any electrical and plumbing issues as well as installing appropriate CO2 detectors and fire alarms.
A top-of-the-line A/C unit won’t be much help during the sweltering summer months when your home has minimal insulation. The same can be said for your furnace during the cold winter months. These appliances can only do so much when your home doesn’t have enough padding inside its walls.
So, before you decorate walls with paint or wallpaper, you might want to add some insulation behind them. Don’t forget about areas that are often unused, like attics, basements and crawlspaces. They can still affect the temperature in the rest of the house.
You should also add insulation to your cold-water pipes, hot water pipes and water heater. Insulation will protect these features from extreme temperatures, increase their energy efficiency and reduce their contribution to humidity in the room.
New Windows and Doors
Poor insulation isn’t the only problem that will let outdoor temperatures creep indoors — air leaks can do the same. Take a look at NRCAN’s advice on how to detect air leaks around your windows and exterior doors.
What should you do when you find air leaks? Normally, you should seal the leaks with some caulking or weatherstripping and feel confident that the outdoor air won’t get into your house anymore. But you have to remember that your old house is likely fitted with windows that haven’t been replaced in decades — they could even be the original set!
If you really want to make sure that you’re protected from outdoor temperatures, you should think about getting custom replacement windows for your fixer-upper. These replacement windows will have energy-efficient features like low-emissivity glass, argon gas and fusion-welded corners, which will stop the outdoor temperatures from seeping through.
The same solution applies to your exterior doors. Newer door models will have energy-efficient features like polyurethane foam cores that will insulate your home’s entrances all year round.
Your fixer-upper’s electrical work might not be up-to-code. If that’s true, you’ll want to call in a licensed professional to help you update everything from your wiring to your outlets. Ignoring sketchy electrical work can lead to some serious problems, like power surges and a higher risk of fires. So, add this renovation to the top of your to-do list.
Much like with your home’s electrical work, you don’t want to live in a house with an out-of-date plumbing system for very long. The risks of expensive plumbing problems like leaks and basement floods will be high if you don’t address the problem.
Old pipes aren’t the only plumbing issue that you should worry about. Here are some other plumbing issues that you’ll want to address as soon as possible:
- Low water pressure
- Water hammer
- Inconsistent water temperatures
- A lack of basement flood protections
These crucial home improvements will make your fixer-upper more functional, comfortable and safe. It won’t feel like a fixer-upper when you’re done with it.
The Best Ways To Market Your Investment Property
The most important thing to remember when you’re marketing your investment property is that you’re not just selling a house — you’re selling a home. And, as with any product, people are more likely to buy something if they feel an emotional connection to it.
Here are some tips on how you can market your investment property in a way that will resonate with potential tenants:
Use attractive visuals: High-quality photos and videos will help potential tenants see your rental property in its best light. Be sure to showcase any unique features or amenities that your property offers.
Tell a story: Your rental property has a story — make sure potential tenants know about it! Share the history of the property, or any interesting stories about previous tenants. This will help potential tenants feel like they’re part of something larger.
Highlight the neighborhood: Is your rental property located in a desirable neighborhood? Be sure to mention that in your marketing materials! Potential tenants will be interested in knowing about the local schools, restaurants, and parks.
By following these tips, you’ll be sure to find the perfect tenant for your investment property in no time.
How To Keep Your Investment Property In Good Condition Over Time
Investment properties can be a great source of income — but only if they’re well-maintained. Here are some tips on how you can keep your investment property in good condition over time:
Inspect the property regularly: It’s important to catch any problems early, before they have a chance to become bigger (and more expensive) issues. Schedule an annual inspection with a licensed professional, and make sure to address any issues that are found.
Perform regular maintenance: From changing the furnace filter to cleaning the gutters, there are many small maintenance tasks that will help keep your investment property in good condition. Create a schedule for yourself, or hire someone to handle the maintenance for you.
Make repairs promptly: When something breaks, it’s important to make the repair as soon as possible. Not only will this keep your property in good condition, but it will also help prevent further damage from occurring. A home warranty is an excellent way to protect your rental property from unexpected repair bills. When considering a home warranty, it is essential to do your research. Besides knowing the cost of a home warranty, it is also necessary to know the coverage options.
Finally, make sure to work with your tenants to ensure they feel comfortable reporting any damage and identifying issues that may be easy to fix but could turn into major issues if left un-resolved. Things like slight discoloration from water damage on a wall can turn into an expensive repair if left untreated for months or even years.
By following these tips, you can ensure that your investment property remains in good condition for years to come.
Do you have an investment property that you need to fix up quickly? Share your experiences in the comments below!