Purchasing property through your self-directed IRA is one of the most common types of investments one can make. The reason it’s such a popular investment choice is pretty obvious; for most, it’s the ability to control retirement funds not only in securities but in real estate, it’s definitely a more appealing option for those do-it-yourselfers. To top it off, with rates where they are, the ROI that real estate offers, and the fact that anyone is able to take advantage of it, the pros definitely outweigh the cons. You’ve just got to get familiar with the rules the IRS has set, and then you’re off!
After a property is purchased, depending on the type, your first priority might be to make some renovations, especially if it’s a family home. Whether your motivation for improvement is for resale value, or to be more appealing to potential buyers and renters, we’ll get you on the right track.
No one needs to be told why solar power is the way of the future. With potential savings for an average household of up to 30 to 40% on energy, a rough estimate of $7,000 for the unit and installation, and $2,100 back in green tax credits. A solar-powered water heater could save as much as 80% on water and heating bills for an average household.
Solar energy makes a house more desirable not only to potential buyers/renters, but also to appraisers, and other investors. Not to mention an ideal renter, someone who almost definitely is in tech, and will most likely take great care of your property.
Never ever underestimated the importance of flooring, 90-something percent of home renovation pros suggest new flooring, and that’s for good reason. And it doesn’t have to cost an arm and a leg, for example, for an estimated average investment of $700 to $1000, professionals say that the return value can almost double instantly.
Even less than that can be spent, a few well-placed nails can eliminate those awful floorboard squeaks. Also consider repairing broken tile instead of the entire floor, and replacing that worn down wall-to-wall carpeting that’s almost undoubtedly in the hallway.
Depending on the area that your rental property is in, like in the city, you might be wanting to appeal to young professionals, and that’s simple enough to do. With small upgrades like replacing that old thermostat with a Nest smart thermostat, or the front door knob with a key-less entry pad, you can almost instantly bring your property into the 21st century.
A Fresh Coat of Paint
The paint that’s now on the walls doesn’t necessarily have to be chipping off of the walls to be unappealing to prospective buyers and renters, a dining room that’s dark red and a kitchen that’s a bright yellow is enough to send anyone running. Neutral colors like light grays or soft whites always fair best, and suite everyone’s liking.
If a little more money is in the budget, then additions like wainscoting and crown molding bring elegance and beauty throughout the house.