- Capture the narrative, starting with something blighted and turning it into something amazing is a story that everyone appreciates and over time, there is marketing equity that will prove tremendously powerful.
- Address functional obsolescence to the extent that is possible. Apparently, people like larger kitchens and bathrooms more today than they did 100 years ago. It’s not uncommon to encounter 5 or 6-bedroom houses with a 25-square-foot bathroom, and 75 sqft kitchen in a house that is 1700+ square footage. Your high-value improvement is to address the obsolescence first, then the aesthetics.
- Invest in professional electricians, plumbers, HVAC, and roofers. It’s more important to develop safe and mechanically sound houses than pretty ones. Familiarize yourself with local expectations and vet your contractors and subcontractors thoroughly.
- In time, you’ll develop a reputation for excellence which will open more doors for you than following the norms ever will.
Design for Marketing
In all things, there are levels to which investment can be made. Design for marketing is understanding the value of your investment into your project as it relates to your future marketing potential and building equity in the portfolio of work you are doing. Designs easily become stale when they are basic and repetitive. As an investor, spending extra on completing an aesthetic at a slightly higher level will be 10X the marketing value of your project and increase the shelf life (equity) of your marketing! Spending more on adding value beyond builder grade to your kitchens and bathrooms will take you far. Bottom line, go for amazing, and you’ll see amazing gains.
Jaime Perez, CRS
Keller Williams Platinum Realty