Buy & Hold: Do you treat the rehab like a rental or retail?

[Samantha M.]

When you buy and hold property do are your rehab numbers come closer to the rental or retail side of things?

One train of thought I come across is to go ahead and do a full retail rehab while you rent it, if the duration of the rent is short (3-5 years), then assuming the tenants havnt trashed it within that 3 year period, you are ready to sell it with little work to be done when market turns around.

The other train of though I hear is do more of a rental rehab, then after the market has turned around go back in and do additional improvements to put it at retail condition and sell it.

What are your thoughts on this? Thanks