NEVER pay too much for the property to start with – it will be almost impossible to claw that money back and still make a decent profit. Purchasing at the right price requires research and due diligence checks to come to understand what properties are worth in the suburbs you’re sizing up.
WATCH OUT for remedial works at the time of purchase. These can turn out to be costly fixes. A building inspection is your best friend here.
AVOID overcapitalising on a home – pouring more money into your renovation than the property is worth. As a rule of thumb, don't spend more than 10 percent of the current value on cosmetic renovations.
ALWAYS get three quotes for jobs – it’s the only way you’ll be able to properly evaluate the true cost of works.
SHOP around to make sure you’re buying all your materials at the best price possible.
FACTOR IN delays and plan for disasters. Weather, unforeseen defects and overbooked tradies can cause work to drag out. As can materials that fail to to turn up on time.
DIY where you can. A fresh coat of paint in a modern colour palette can give you a three-or fourfold return on investment. And the best thing is, you don’t need to hire tradies, as long as you have the time, skill and patience to do it yourself.
Remember, a poorly executed renovation is likely to actually devalue, rather than add value, to your property.
For more renovation inspiration, click here.
