Making a profit by renovating a property is an ideal opportunity for the investment savvy property owner.
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The ultimate plan is always to buy low, renovate cheap and add substantial value.
That way, you can win out on either rental return, tax return or a return from sale.
There is also a strong demand for renovated properties and a strategy involved in transforming a dwelling into something spectacular without digging too deep into the hip pocket.
Michael Yardney of propertyupdate.com.au is Australia's leading property investment adviser and himself a successful property investor and developer.
He suggests investors renovate with the intention of retaining the property in order to reap benefits created in the renovation.
That way, they should receive a higher rental return and claim tax depreciation.
"Using this strategy, you can essentially build your asset base, create capital growth and increase your overall wealth," he said.
Firstly, Michael advises that the investor seeks council approvals, does good research, considers hiring experts and works out budgets and limitations.
Then let the fun begin! Here are Michael's top renovation tips:
Entrance
An appealing first impression is the beginning step to attract interest.
A quick paint job can effectively refresh the look of your house, with updated trims in a modern look that won't date it.
You can also spruce up the driveway using paving paint, refresh the lawn with turf if needed, and fix up fencing.
Painting
A revamped paint job inside can make all the difference. Gone are the days of splashing dark or brash colours as feature walls to grab attention - bring in a light and earthy look with warm, neutral tones that allow the tenant to add their personal touch.
Flooring
Flooring is an affordable way to transform a property's look and aesthetic.
Whether you replace the carpets or pull up them up to install hard-wearing laminate floorboards for a cleaner, open look, your flooring investment will always deliver an impact.
Kitchen and bathroom
Without outlaying a ridiculous amount of money, you can refresh a kitchen with an updated colour scheme, a modern bench-top or different cupboard handles.
Bathrooms can likewise be updated in colour to something light, bright and airy, though dark floor tiles tend to hide the dirt.
It's the little things
Sometimes, just replacing small fixtures and fittings can make a difference - for instance, updating taps, door handles, lights and ceiling fans can really produce the "wow" factor.