If you’ve ever been to an auction house, you will know that you can come across some bargains on the property market.
Although many of these properties are often in a state of disrepair, you can find some hidden treasures under the auctioneer’s hammer.
If you’re looking to invest in an auctioned property, here are 3 tips for helping you get the most out of your punt into the market.
1. Budget Wisely
When buying an auctioned property, you’ll likely find that although the initial investment may be much less than you were expecting, but be prepared to place most of your budget into making the building a habitable place to live or work.
For this reason, you’ll need to make a plan for the intended outcome and stick to it religiously. If you can, try to keep a separate emergency budget in the event of sudden needs, for example, burst pipes, previously undisclosed problems, new roofing, damp problems, or subsidence.
Get help choosing the best savings account for your emergency budget; online tools like Money Supermarket can show you a comparison for each type of account, and how each compares across the market. This will allow you to make an informed decision quickly and efficiently at the beginning of your project.
2. Have a Purpose in Mind for Your Property
You may have had a purpose in mind for your property when you purchased it, whether for a domestic home, or a commercial reason. However, having a plan in mind for your property when you’ve finished renovating it can help you to push through the tough times, and stay on track.
Consider using your renovated property as a means of building a brand new career. While you’re working on your property, why not enrol in a distance learning course with a university like Anglia Ruskin?
Their distance learning courses are specifically designed so that you can study around other life commitments. If you studied a course like the Early Childhood BA, you could open up your auctioned property as a fully fledged state of the art nursery after graduating, and turn a fantastic profit. The opportunities are endless!
3. Preserve and Restore Historical Features
Many older buildings will commonly carry evidence of historical features including fireplaces, stained glass, and pillars amongst others. If you can preserve these features, and restore them to their former glory, it can help to increase the value of the property in the future should you choose to develop and sell it on for a profit.
If you need guidance for restoring historical features, websites like Build It can give you guidance on how to tackle these delicate features to get the maximum impact from them.
Do you have any tips for developing auctioned properties? Share your thoughts in the comments section below!
