Quadplex Advice - please help!

[Taylor Bennett]

When analyzing a quadplex that needs rehab in some units and not in others, how can you analyze what works for you? Would it benefit you to rent out two while completing renovations in the others? Would you wait until all renovations are completed and try to match highest rents? What would hold you back from taking on this project?

Thanks!

[Anthony McEvoy]

Hello @Taylor Bennett - Unfortunately, it depends!  If the units are that need to be rehabbed can be done without disturbing the other units, then I would rent them out and start to get cash flow.  At least have them on the market if it takes a little bit to get them occupied.  Some of the things to consider are if the utilities are not separated or if parking will be an issue between the tenants and the contractors.

Another thought to consider... what if a future tenant does not take care of a unit and you need to do some significant work then?

Would you wait until all renovations are completed and try to match highest rents?  You do not have to sign a 12 month lease from the start.  All of my leases end in July/August no matter when the first month of occupancy is.