Some things to think about…
What is the position of the house on the block?
What is the position to the street, entry, access to the property, fenced yard, and it is low lying compared to other houses?
Can you see the kids in the backyard from inside the house?
Does the property get any sun?
Does inside the property get enough natural light?
Is there enough privacy?
Does it have a garage and is there enough storage for outdoor equipment?
Is the property close to shops, main roads, facilities?
What’s the distance to your workplace?
Is it in the zone of a good local school?
Make sure you think about all the elements that could affect the property in a positive manner and negative manner, both are equally as important.
Think about what you could improve.
You want to look for something that has the potential to be uplifted and improved through renovation with relative ease.
Can you do anything with this property i.e. is this property worth your energy?
Have you done a detailed feasibility study before you buy?
Does the facade need an uplift?
Do the gardens need an upgrade?
Will making simple changes like flooring, painting walls and replacing window dressings make a significant difference to the property value?
Can you convert from a 3 bedroom to a 4 and does the resale value make it worthwhile?
Could you Improve the room design and layout economically?
Does the layout suit the way Aussies like to live with entertainment near the yard.
Does the demographic demand a pool and is there access to install one?
Do the fixtures & fittings need replacing?
Can you add value by enhancing the character of the home?
Do you have a particular style in mind that the house could easily convert to?
Do any windows require replacing to achieve the desired look and do you have the budget to replace windows?
Is there potential to add on a studio / granny flat, is this desirable for the demographic?
Is it expensive or is it affordable?
Do you have your loan organised (if required)?
Do the owners expect a lot?
Are the owners negotiable?
Have the owners committed to selling and do you know the reason why?
Are you one of many many competing buyers, therefore you feel like the price is being inflated?
What is your budget for the property purchase and what have you allocated for the renovation?
It may or may not be worth it for you. That is for you to decide by asking yourself these questions.
What is the layout like?
Does it flow for you or will it flow for the next buyer with a few simple changes?
If it needs changing, will it be too costly?
Is there underfloor access?
Can you add an island bench to the kitchen or open up a wall?
Could a non structural wall be removed to create more open plan living?
Is the renovation purely cosmetic or is structural required?
Does it have 2 bathrooms, or at least 2 toilets or can you add a loo within the existing structure?
Is there room to fit in a study?
Also consider the demographic you might sell too.
A family? The layout needs to work with their lifestyle.
Your tradies (and your budget) will love you if you can work with the current layout and not shuffle too much around!
What are your priorities for this property?
Do you need to compromise?
Do you have a ‘must have’ list?
Dual-purpose spaces – can you combine any wet areas to save on space? Laundry with your powder room as an example – you might get more bang for your buck.
Does the property have a problem and is that problem easily fixable, example dirt or smells.
Or might there be unknown costs in relation to fixing that problem that are hard to determine at the point of purchase, example termite damage.
Or will the problem be expensive to overcome?
Consider the things that could become problems in the future?
What do you need to repair or change that will increase your renovation spend?
Will they blow your budget or increase your profit well beyond the cost of repair?
Make sure you are aware of what is around you before you buy.
If there is an unfixable problem, is purchasing the property worth the risk?
These are just a few of the things you might need to consider before deciding to pursue or pass on a property purchase.
This blog was written by Alanna C
Alanna is our Community Manager here at RARE and makes everyone feel welcome within our community, she is our go to girl for all administration and organizes our events & workshops + contributes to our social media. Alanna also runs her own Renovation Consultancy Business specializing in material & colour selections & property styling.