Items and Issues That Are Often Overlooked While Assessing A Property
Being an REI general contractor in Indy – we hear it all! But more often than not, we hear the same issues again and again. We understand you have to make quick decisions on investment properties these days and you need to know about larger ticket items that may cause issues when you go to rehab. Below are some of those often-missed items that get looked-over during an in-person walk-through, when talking with the seller, or when looking through pictures remotely.
- When was the last time the water was connected to a property? If it’s been over a year or more, you may need to look into getting the sewer & water line scoped by a plumber. If it has been over 7 years or more since the water was last connected, you may be looking at a sewer & water line scope PLUS a replacement of both lines to bring the infrastructure up to date. A simple call to AES here in Indy will allow you to check on the status of the property and the dates of the last connection.
- Is the foundation solid? Taking time to trek down to the basement and take pictures of bricks that are misaligned, windows that aren’t sealed, cracks in the block wall, pooling water in any area. When you’re inside, do you notice any gaps between the floors and the baseboards? Any doors that don’t quite fit in their frame when closed? Then, trek back outside and walk around the perimeter – how does the foundation sit against the ground? Look at the porches/patios – are they appearing level against the earth? Is one corner sitting higher than the other? Are the posts, connecting the overhanging roof to the porch, in good condition?
- If the power is on, you may be able to look at the mechanicals yourself. Look at the date on the hot water heater (anything over 8-10 years may need to be replaced). Can you turn the HVAC system and confirm heat and cold air from the vents?
- Take a look at the windows. Are they wood? Single pane? You may need to look into replacing these with a more energy-efficient and insulated option. Right now, Aug. 2021 – production and manufacturing are causing severe delays with custom windows or otherwise. You’ll want to take this into consideration and ask about lead times on custom windows. Calculate any additional holding costs associated with delaying your rehab due to manufacturing or shipping delays.
- Make sure to consider landscaping costs! Not just the final presentation but making sure the lawn is mowed and bushes are trimmed DURING the actual construction phase of your project. If your contractor can take care of it during the course of the project, then make sure your realtor takes over the exterior maintenance once it is listed on MLS or otherwise. Indianapolis is pretty strict about foliage and lawn fines – keep those extra expenses to a minimum by keeping things trimmed.
- Last but not least are… chimneys! You’ll want to assess to ensure that not only the interior is sealed properly but that the roof has flashing installed appropriately around the chimney to ensure there is no leaking or issues with the roof itself.
Wishing you the best of luck with your REI endeavors! Happy scoping!