The majority of investors I encounter are nervous about properties that don't look pretty and the thought of "works" makes their face go pale. For most, it's not the money that bothers them - it's the thought of hassle, dealing with tradesmen, getting their hands dirty, etc. I explain that we'll sort all that out for them, quickly and at a fixed price - so they don't need to get involved. But that requires a leap of faith on their part which I understand, so maybe I should feedback more often on this blog about refurbishment works we've undertaken.
So here's one we've just completed - a Victorian terraced property that the owner was managing herself and which came back in fairly basic order. 4 weeks later, and all for a fixed price, everything is done and we've managed to raise the rent by £150 per month due to the better condition. The owner isn't UK based so we've chosen the spec etc.
If you're buying a property to let, picking one that needs refurbishment is often a good idea - especially when the alternative is buying a fairly average one at the 'market rate'. By the time you've spent money on refurbishment you may end up having paid the 'market rate' for your property, all in. But yours is now is really good condition, with many things under guarantee, and as it's sparkling you can try for a premium rent. You're in a far better position than if you'd bought the average one, found out that it needed a few things you hadn't factored in, and ended up paying ABOVE the "market rate" by the time you'd sorted all the problems out.
