The most common mistake many real estate investors make is not taking the time to fully evaluate their properties. Its one thing to do your research and find a rental property that can produce positive cash flow every month. But if you don’t factor in the potential cost of repairs and maintenance work, a property that seemed like a bargain to buy could be anything but on closer inspection.
Then what do you do?
Send in the experts such as Vital Building Inspections Sydney . Now we know what you’re thinking: ‘great, another added cost’, but the benefits of this pre-purchase building inspection could save you thousands of dollars in the long run. Thousands compared to the few hundred you received to obtain your rental property.
Worth the Money
By hiring a qualified professional, they can thoroughly examine your property for possible signs of construction defects. The biggest is any foreseeable future structural problems.
Investigate your Property
Would you be able to spot something that could prompt expenses and fixes later on? Likely not, yet the most well-known property fix issues are more normal than you may might suspect. Regardless, you can discover them in a few homes:
- Water damage
- Termite damage
- Deterioration of the wood
- Defective masonry, including cracks in individual bricks and walls
- Roof defects
- Even illegal construction practices.
However, these are just a few of the things that a property inspector will check for you. They can offer you other forms of additional resources to ensure that your property is worth the investment.
With this in mind, it is important that you review all of these elements before signing any document. It is truly amazing what they will discover that you, yourself, could not see.
Also, there is an additional bonus to this expense. As they conduct this inspection, pending disputes between neighbors – construction, barriers, and property repairs – can be resolved. Any problem and they can detect it.
And it is good to know how to recognize the potential of a future troubled neighbor. After all, the inspection can show that the property is generally in excellent condition, but if it comes from a bad neighbor, it could cost you in other ways, namely your monthly rental income.
The final decision… Now here comes the even more valuable part of your building inspection: Pest inspections.
You see, even if you see the properties yourself and are experienced in building inspections, there are some things that you might miss in your search. Things that you will not be prepared to discover: mites, termites, hidden wasp nests … you get an idea. Any of these could cause leasing problems.
So take the right preparatory steps before buying any of your rental properties. Building inspections can add an additional cost, but the savings you could make later are well worth it.
Especially if you keep your tenant’s income and positive cash flow constantly flowing.