Dos and Don’ts of Rehabilitating Real Estate

Real estate professional Sergio Garcia has sold more than 2,500 properties in the last 27 years. Since beginning his career by purchasing and rehabilitating his childhood home, he has transitioned into acquiring and improving foreclosed properties. As many of these properties require extensive repairs on a limited budget, real estate professionals like Sergio Garcia keep certain key ideas in mind during renovations.

Do hire licensed contractors: Professional contractors can help prevent serious damage to a home’s major systems, such as the plumbing, heating, and wiring. Additionally, providing tenants with quality work can help property owners avoid costly future repairs.

Don’t underestimate cost: When it comes to calculating the cost of a home’s rehabilitation, don’t be conservative. It may be in a property owner’s best interest to hire a professional estimator to help establish a budget for the project to avoid surprises and monetary losses.

Do match the outside and inside: Some professionals put a lot of time and energy into making the inside of a home immaculate, but forget simple outdoor fixes. A fresh coat of paint on the outside of the home, along with a manicured lawn and new mailbox, will contribute to a potential buyer’s first impression of the property and may increase the purchase price.