Tips for Making the Most of a Remodel Project
In recent years, there has been growing interest in the multifamily residence concept. This may be due to more people wanting to remain close to family, but it is also a boon to property owners and landlords well. Many structures have undergone multifamily conversions, and in a few cases, property owners have found themselves in over their heads. The challenging situations include shortage of funds, going over the original budget and overshooting the original completion date for the remodeling. Here are some tips for avoiding these pitfalls.
Check the Upkeep
The extent of the maintenance over the years will determine how much you will have to spend to renovate it. If the owner only carried out minimal maintenance, there could be underlying problems, even if everything seems great on the surface. You should be provided with a list of any improvements to come up with a proper renovation plan.
Use a Multifamily Property Inspector
Buyers of multifamily residences or properties bought for conversion sometimes find plumbing and structural defects that need to be addressed. IN general, inspectors will be able to find flaws in any property, but it may be best to choose one with experience in dealing with these types.
Don’t be too Quick to Buy
It is not unusual to come across a seller who is anxious to sell a property. You need to first find out what makes this seller so motivated. If the property is being offered at below market value, the cost for repairs could end up being more than you can handle. An accurate assessment of the state of the property will help to set its market value.
Negotiate Based on Necessary Work
Once you have a complete idea of the need for repairs to the property, this will be your starting point for negotiation. Structural repairs can be costly, so it is important to spot flaws before the sale goes through. Otherwise you will be adding major repairs to the cost of the remodel. If repairs are needed, this will help in lowering the price.
Neighbors can be a good source of information on the history of a property. They can give you an idea on the kind of maintenance carried out by the owner, and whether there ever any flooding or structural damage. Sometimes a property owner may carry out some quick cosmetic fixes to make a property more attractive before a sale.
Commercial Remodeling in Chicago
Commercial remodeling envelops all types of commercial property renovation including multifamily units such as duplexes and apartments. Give us a call if you’re planning to remodel a multifamily property in the near future.