An award-winning buyer’s agent has provided insight on the biggest mistakes investors make when it comes to renovating property.
Speaking on a recent episode of The Smart Property Investment Show, Amanda Gould of HighSpec Properties Buyers Agents discussed the common blunders investors make during a renovation process.
The recipient of the Buyer’s Agent of the Year gong in this year’s REB Top 50 Women in Real Estate ranking said the first mistake is investors not understanding what their target market is.
“Look, I think the thing that people get wrong is really not working out what their target market is and knowing if you’re in a certain area, some family areas work better than if you’re looking in, for example Potts Point or Darlinghurst. You’ve got to have a little bit more bespoke interest. It’s got to be something that people are going to remember,” Ms Gould told host Phil Tarrant.
“So, I think the biggest mistake is not knowing that market and who you’re actually targeting. So, know the area that you’re renovating and what sells well.
“Look at the research. Research property and see what’s been selling quickly and well. And even go to high-end places and see if you can replicate that a little cheaper for the renovation that you’re doing.
“You don’t need to spend a fortune on a renovation to get it right, you just need to have it a little bit more bespoke and a little bit more interesting than a generic Caesarstone glass splashback, which I can’t believe people are still doing. But I see it more often than not.”
However, it’s not just about knowing your market that is essential for investors to be across during the renovation process, Ms Gould said, who noted that investors also need to be in tune with what expectations are of those looking to rent and use this to create value.
“Look, if you’re buying to rent [out your property], of course, it doesn’t need to hit every single spot. Like, the tap doesn’t need to be a really expensive, beautiful brushed metal tap. For a renter, it’s not too bad,” she explained.
“But still, renters can go through a number of properties on a Saturday. And unless it’s something that stands out, they’re not going to remember that property. So, they don’t put in an application. So, something that does have a little bit more interest will either sell better or rent better automatically.”