Investment Guide

Full-Time vs. Part-Time Property Investors

As you may have noticed, I have often referred to a Full-Time property investor and a Part-Time property investor. I’ll describe my view of these two sceneries here…

Full-Time Property Investors

You have the time to invest totally into searching for neglected home properties at the lowest prices and are prepared to invest a lot of your time to renovate and remodel the properties you purchase.

Your typical scenario might be this:

fl-home-70sBuying an aged home that may have been built pre-1980’s

Your renovations will most likely include the following. . .

ROOF – most certain the roof shingles will have to be removed and replaced.

AIR CONDITIONING – most certain the air conditioning compressor and handler will have to be replaced.

KITCHEN – most kitchens constructed before the 1980’s will be outdated and need to be totally renovated. This will include new cabinets, sink, counter-tops, and the costly appliances.

BATHROOMS – most bathrooms at this age will have yellow, olive, or pink sinks and tubs along with cheaper laminate counter-tops and cabinets. These will need to be replaced.

DOORS AND WINDOWS – most aging homes will be equipped with single pained glass windows that may be cracked as well as a front entry door that is outdated.

PAINTING – EXTERIOR AND INTERIOR – most of these homes will always need this improvement. If you encounter the worst, wallpapered rooms, you’ll need to spend more money and time to remove the dreaded wallpaper.

LANDSCAPING – More than likely the yard will need some work. This may require incorporating planter beds, planting some new trees or bushes and flowers. You may even have to re-sod as a worst-case scenario.

 

Part-Time Property Investors

This would describe a Part-Time Property investor. . . You have a professional career that you work at over 40 to 50 hours a week. You earn a family income doing something other than property investments. You have some savings to spend on purchasing an investment property but you need to purchase a property that is in relatively good condition at an affordable price because you’re not going to have much of your own time to work on improvements.

Your typical scenario might be this:

wrenwood-flBuying a home that has been built less than 10 to 15 years ago.

Your renovations will most likely include the following. . . very little. . .

PAINTING – You’ll want to find a home that might only need a complete interior paint job. If you’re going to be renting the home it’s best to paint the entire interior just one or two different colors and make those colors light and bright and neutral. I like to use a satin sheen paint finish because it’s easier to wipe off scuffs.

BLINDS – You’ll probably need to inspect all of the window and doors blinds because over the years they tend to loose pieces or wear out so some may have to be updated and replaced.

LANDSCAPE – If you’re lucky you’ll just need to put down some fresh mulch.

 

Well I’m sure you get the idea now about how investing can be a full-time or a part-time position for you. Of course the full-time property investor will have the potential to earn more money in less time but the part-time investor can create a long-term investment from minimal efforts especially if they acquire a management company to take care of the leasing.

 

 

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