BRRR- Best Value add investments

[Rigo V.]

Hello everyone,

The key to BRRR is obviously buying right and spending your rehab dollars where it counts. Can anyone recommend any cost effective rehab tips that you have noticed help add value the most?

[Garrett M.]

Rigo Ventura If the property only needs cosmetic help, then new hardwood flooring, kitchen, bath and paint will do the most to make your property feel new and increase your value.

In my experience, I have only gutted everything and started over. New electric, hvac, new kitchen, bath, windows, doors, trim, add closets. This has 2 benefits: it should be a big boost to your new appraised value but more importantly, you have a property with new systems that all the tenants want and you have a long period with few if any cap ex costs.

[Mike McCarthy]

The problem I've found with cosmetic improvements with BRRRRs is that while they will improve the rental price, they won't do much for the appraised value.

Adding a bathroom, new kitchen, bath, things like that will add value to the appraisal. Also buying low will help too compared to the comps in the neighborhood.

[Sandra Kennedy]

If it is a one bath home, do what you can to expand it enough to put in lots of cabinets, and double sinks are a must.  We have taken out adjacent coat closets and reconfigured the bathroom to make more room.  

We (we women) need room for our stuff!  We also need counter space in there to lay out our tools.  Think of the tool space you need in your garage, you get that to yourself.