Comments on: What to look at when buying a rental property???

By: Big Deal Maker

Big Deal Maker — Wed, 03 Mar 2010 14:31:08 +0000

Home that where built in the 1930 where built to stay. Even though they need upgrading. The lumber in that home is fantastic. not like today`s lumber.
Homes always need upgrading and brought up to todays codes. Look for foundation problems. The home is 78 years ancient and particular was made to last 100years.
The electric panel see if it has been updated to todays codes.
An over all inspection will only help with the general foundation and structual condition of the home.
Personally i would have the inspection before making a bid. Reason would be you can let the sellers know why your bid is at X because it needs Y, With the inspection report this will hold better to the sellers than just a plain ancient fashion under bid.

By: therainbowseeker

therainbowseeker — Wed, 03 Mar 2010 13:42:02 +0000

I agree with the other responders, certainly get a thorough building inspection.

I also recommend running several detailed financial scenarios that look at property tax trends, rent levels, vacancy rates for the area, and accurate insurance costs. Within your financial projections, also include a replacement schedule and budget based on the building inspection. It should estimate the cost of replacing or periodically repairing items like the kiln, roof, hot water heaters, a/c units, and repairs to interior finishes (painting, drywall, floors, windows…).

By: HTBSE

HTBSE — Wed, 03 Mar 2010 13:23:44 +0000

Hi MissLiss –
The primary thing you need to be attentive of are the major systems and components of the house: the internal systems – heating/cooling, plumbing, electrical – and the external equipment – foundation, roof, siding.

Also, spending a small amount of money on an inspector is money VERY well washed-out. Not only can you re-negotiate the previously agreed upon price if something(s) come up in the report that is vacant to cost a lot to rectify, but you will also have a excellent thought about the condition of the property.

If you are honest about buying the property, you should view the inspection as a necessary and required part of the buying process.

In terms of specifics, cracks in the foundation are a major concern first and foremost – that may possibly potentially be the largest deprivation you would incur if you need to cure it. Also, pay concentration to the disorder of the roof; if the roof needs to be replaced, and to avoid water hurt throughout the house, you should check the house for previous (or on-vacant) water hurt.

Hope this helps and excellent luck!

By: Rosa

Rosa — Wed, 03 Mar 2010 12:30:03 +0000

Will the most vital element of a house is the foundation. Make sure the basement isn’t molding or cracked along the walls.

By: budhah1

budhah1 — Wed, 03 Mar 2010 12:11:19 +0000

My thought would make your house too ancient. Too many equipment can go incorrect, and it has been remodeled so many times. The insulation is sub par, and utilities will be high on renters. Also the neighborhood is ancient.. Might be in tough shape there too..

The thing is, you are buying a house that has been worked on for 80 years, and you will have a lot of repairs…

Been there done that. Glad when I sold it.. Was a mess from day one. But I made excellent money on the place.