The topic of this episode is knowing how much rehab to do to your rental properties. If you are purchasing the property for 60-65% of the value like Dwan tells you to, you should have some extra capacity to do some rehab yourself or hire someone to do it for you. You want the property to be nice for your tenants, but if you will need to do too much work to make it livable, perhaps that property is not the best one for you to buy. Dwan likes to buy clean properties and keep them clean by having the right tenants who will take care of their space.
If you provide a good place for your tenants to stay and you build a good relationship with them, they will stay for a long time. Dwan also provides some recommendations such as buying used or scratch/dent appliances, putting down tile, laminate, or carpet squares instead of traditional carpet, and installing smoke and carbon monoxide combo detectors.
Dwan has been diagnosed with rheumatoid arthritis, which isn’t great news but she is relieved to know what is going on and how she can work to keep her symptoms managed. This will be especially interesting during her trip with Bill on Route 66 where they will be eating out a lot and not able to be as active.
If you haven’t heard, Dwan has dropped the fee to join the Dwanderful.com Membership Site, so now you have access to the document library, pop-up training calls, and the chat box for FREE!
Time Stamped Show Notes
- 1:29 – Dwan and Bill are on their trip down Route 66 and they’ve been stuck in the same hotel for 3 days because their a/c went out in their van.
- 5:11 – Since last week’s episode, Dwan has been diagnosed with rheumatoid arthritis. Now that she knows what has been going on, she realizes that she has been having symptoms of RA for about 10 years. She will need to remain on her no carb/sugar/dairy diet for the rest of her life in order to help manage her symptoms.
- 10:13 – Dwan recounts the impacts of having a milkshake on her body recently and talks about having the right mindset.
- 16:56 – Before you purchase a rental property, you should always consider how much rehab needs to be done and whether you should do it yourself or hire it out.
- 18:56 – Dwan recommends looking into getting tile or carpet squares instead of traditional industrial carpet. Keep nice cabinets and perhaps paint them. She also recommends that you build relationships with your local Best Buy or other appliance store to find out how to purchase their scratched or dented appliances and/or used appliance suites.
- 22:24 – Make sure that your tenants are clean. Provide them with enough air filters for them to change them every month and check in to make sure they do. Also, you should purchase smoke detector/carbon monoxide combination devices.
- 24:43 – Don’t pay more than 65% of the value of the rental property. Go back and listen to the previous podcast episodes about foreclosures for a refresher.
- 26:57 – Dwan and Bill purchased another building in Clinton, Iowa.
- 28:54 – Be realistic about your properties and make them nice enough that you would want to live in them.
- 29:43 – Make the best out of everything and have fun.
- 31:32 – Your assignment is to go to Dwanderful.com and download the land trust document and also to subscribe to the podcast.