Property Project Management Services
Do you need help to renovate your investment property?
Bluegum Property has a track record in delivery cosmetic renovations.
Cosmetic renovations add considerable value to your property, and can also improve the rental return, with through rental growth and tenant desirability.
Case Study: Cosmetic Renovation
Address: Pemberton Street, Tarragindi, QLD
In September 2018, David had a coffee with an old friend who had moved away for work 5 years previously. During this time, the property was managed by a local real estate agency, and the rental return had been steadily dropping, to the point where this time there was little interest even at a heavily reduced rate of $470 pw.
A valuation of the property it the state is was, estimated the sale vale at $580,000 and my friend was seriously considering selling.
David went to the site, with the owner on the phone, and did a live assessment. Within 15 minutes, a project plan with an estimate expenditure of $15,000 was conceived, with some options.
After 5 weeks, all repairs had been carried out and the property rented. A sales valuation of $725,000 was received from local real estate agents (which is the median price of the suburb). The property rental valuation was $520 pw.
Estimated Equity improvement of $145,000, and cash flow increase of $50pw.
Comment: Cosmetic renovations are one of my favourite ways to gain equity and improve cash flow. They aren’t as easy as you think though. To achieve a sussessfull cosmetic renovation you need a great plan and experience.
If you would like to discuss your property with David, CLICK HERE. We will be creating a series of articles on cosmetic renovations and other value adding techniques. Click here, to go to our articles and videos.