? for landlords: How can I provide value in this deal?

? for landlords: How can I provide value in this deal?

Buffalo, NY · Member since 2019 · 4 posts · 1 vote

I'm a newbie and still learning the basics. But I think I have an opportunity sitting right in my lap.

My grandmother owes a few properties herself, including a tiny apartment on the back of her house. I currently live with her too. The apartment was in the middle of remodeling. I got the idea of helping her out with that back apartment and then getting some cut of the rent once it's rented (as well as real world experience).

She has already agreed to that because she is an awesome grandmother, but I want to make sure I'm bringing real value to this deal. So my question is, what would you value as a landlord in this situation? I was thinking I help out with the rest of the remodeling and maybe I could find and manage dealings with the tenant. 

Here's a little more detail. The apartment is a tiny studio apartment and still needs a lot of work. There's no shower, toilet, sinks. The floors need to be done. My grandmother said it will easily get $500 a month. If you'd like more information I can provide it, maybe I'll upload some pictures too.

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Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
7y
Do you have the skills to do the remodeling? That would certainly add value. Ask your grandmother what would be most helpful to her. If she doesn't have online applications, background checks, marketing, and rent payment set up maybe you could set that up for her? Get yourself a google number for advertising and tenant maintenance calls.
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  • Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
    7y
    Do you have the skills to do the remodeling? That would certainly add value. Ask your grandmother what would be most helpful to her. If she doesn't have online applications, background checks, marketing, and rent payment set up maybe you could set that up for her? Get yourself a google number for advertising and tenant maintenance calls.
  • Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    7y

    Is this a rehab or new construction? The shower, toilet and sinks are "gone" or just need to be replaced?

    As far as what you could "add" to the situation, maybe ask her as she would be the best one to answer that question.

  • Rental Property Investor · NC · Member since 2018 · 776 posts · 776 votes
    7y

    IMO you do the remodel for your grandmother for free and then manage the property for a normal 10% plus one months rent to lease. You won't get rich but it'll get you in the game.

  • Buffalo, NY · Member since 2019 · 4 posts · 1 vote
    7y
    Jill- I don't have the skills, but I can work alongside and assist the guy that will be doing the work (which is what my Gran suggested). And as you can imagine that's not really very valuable to do, which is why I came here for more ideas. My grandmother is being very generous here, but I want to treat this like a professional deal for experience.

    As for your suggestion about online accessibility I'll look into that! Thank you.

    John - It's a rehab. I'll grill her a little bit more and tell her I don't want the grandson treatment here, but I'm still going to try and get outside ideas too.

    Frank- Thanks, this is what I was looking for. I guess I could have asked "What would this deal look like in the real world, without the benefit of being the owner's grandson."
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