Investing in a cold weather climate

For all of those who invest in California, Florida, or the south, you may not know exactly what it's like to invest in a cold weather climate.

For example, the day I'm writing this, the low is expected to get down to -5 degrees F. Yes, I said negative degrees. As in, it's so cold out that the degrees are off hiding somewhere.

So what exactly do you have to know about investing in a place that gets cold like this and what extra costs might you expect?

1. Frozen pipes

Of course this is the big one. Most people probably fear this. If a property isn't "winterized" and the heat is left off, this is truly a big concern. When pipes freeze, they can crack, and when they thaw, you'll have water going all over the place. Why do the pipes crack when water freezes? SCIENCE! When water freezes it actually expands. This is a unique property of water -- in most other substances, it takes heat to make them expand.

"Winterizing" is the process by which water is completely removed from all pipes. A special anti-freeze is generally put into the toilet tanks. Then, when you need to "de-winterize" the property, you must re-pressurize the pipes and hope for the best. Hiring a company to "de-winterize" a property is a cost that you have to take into account.

2. Pipe insulation

Insulation is put around the water pipes generally to keep them from freezing. This insulation looks like a pool noodle with a slit cut along the entire side and is generally made out of polyethylene. If a property you're purchasing doesn't already have it, it's a wise investment and therefore the cost must be taken into consideration.

3. Water heater blankets

A water heater blanket is just as the name suggests. It's a fiberglass (or denim) covering that wraps around the water heater in order to reduce the water heater recovery time (and thus saves energy). The cost isn't very much, $20-$25, but is something to keep in mind.

4. Roofing

In cold weather climates, a roof isn't just a roof. On all the roofs I have put on, a layer of "ice and water shield" is also put on under the shingles. Warm weather climates don't have to deal with ice dams and melting ice and snow and so this adds an extra layer of protection to the roof. Keep in mind that this does add cost to the total price of a roof job.

5. Windows

In cold weather, wood, vinyl, and fiberglass are much more insulating than aluminum in their frame insulation. Argon-filled windows work much better in cold weather climates but are also more expensive.

Also be sure to caulk or provide weather-stripping around doors and windows.

6. Landscaping

Typically most flowers and trees die every year. When I go with landscaping for a property, I choose things that will come back every year such as bushes and shrubs. (I also personally prefer landscaping that is low maintenance.)

Keep all tree branches trimmed away from hanging over any roof. Once snow settles on a branch, it can weigh it down, and that can cause a branch to snap off and fall onto your roof (or car!).

7. Yard care

If you don't make your tenants do their own yard care, you'll have to budget extra money for snow removal in the winter-time.

8. Furnaces

Furnaces in cold weather climates get a lot more use out of them than in a place like Florida or California. You want to make sure that you keep the furnace properly tuned and change your furnace filters on a regular basis. The worst thing a landlord wants to hear when it's -5 degrees out is that the furnace suddenly died. When I buy a foreclosure, usually the furnace is older and I have to take into consideration replacing it. If it's close to or over 25 years old, then it's pretty much a no-brainer. If it's 20 years old, then I might try to squeeze a couple more years out of it.

If you can think of any other cold-weather climate suggestions, please post below!