Budget is of utmost importance in an income property. That’s because an income property is a business – not a home – for the property owner.
Whether you’ve purchased an income property recently, or a few years have passed and it’s time to renovate, renovating an income property should be executed differently than a home.
In our experience, income property owners benefit greatly from the business-minded advice and experience of a renovation project manager during these times. Here is why.
Your income property is a business
You probably didn’t buy your income property just for fun – this is an investment that you expect to generate some healthy financial returns for your family. In Vancouver, investment property owners must run a tight ship – real estate prices are impossibly high, yet rents rarely cover your monthly costs.
That’s why, like in a business, your income property needs its own variation of a balance sheet. Since many homeowners don’t have experience identifying and analyzing the costs, risks, assets and revenues related to an income property, working with someone who has that experience carries significant value.
That’s why at Flipside Homes, we are project managers, not contractors. We look at the business side of your renovation, and your property, to help you make well-informed decisions for your property, to increase resale value and produce monthly revenue from your investment.
Flipping a home requires foresight
Like any big decision, planning is key to success. The same is true for renovations, where you’ll make dozens (even hundreds) of decisions. The financial output for a renovation means that thinking the process through, knowing which questions to ask, and where to find the right trades for the job are critical to your success.
Our philosophy is to guide property owners through their renovation. We help you plan:
The renovation timing. Will you sell in peak season (summer), or slow season (winter)? When should the renovation begin, in order to be ready for sale at that time?
The renovation budget. What can we expect as an increase to the resale value of the property, based on what you’ll spend on the renovation. What impact, if any, will spending more (or less) have?
The buyer. Who is the target buyer for your investment property? Young first-time homebuyers in Vancouver are looking for different features than empty nesters in their 50s. Our project managers can help you choose the right renovation to appeal to a certain buyer profile.
Manage your risk
They say that with great risk comes great reward. But the inverse is also true!
Renovating and selling an investment property in Vancouver carries great rewards, but also major risks.
Among them:
- Dealing with disreputable tradespeople.
- Facing stop-work orders from the municipality, due to improper work permits in place.
- Discovering unforeseen work that appears during the renovation project, and knowing how to handle these surprises.
And any number of other risks that relate to owning or renovating an investment property.
Instead, we work with trades that we know and trust. We have experience working with municipalities in order to avoid serious and costly delays. And we guide our clients through the renovation process in a personalized, big-picture way that helps you make informed decisions along the way, to get the best outcome for your investment property.
Get a quote on your renovation today!
