Hi, my name is Lou Brown. I’m here with another of my 101 cash flow accelerators.
And in this one I want you to be aware of what your costs are when you’re doing renovations. I know that sounds simple and uh, but it’s really not. A lot of people really don’t understand what they’re going to spend when they go into a project. Often, actually, as an investor, I buy from wholesalers all the time and one of the things is they bring me projects that are failed projects. Why? Because the unknowing untrained investor came in, purchased the property, started the renovation, ran out of money, got taken advantage of by the contractor. Didn’t know what to do, didn’t know how to do it, crashed and burned. Brings me the deal. I buy it for pennies on the dollar. I’m able to finish the renovation. It’s something you need to be very aware of, particularly if you’re just getting started in the business.
It’s critical that you know your costs literally go room by room. Now in my system all renovations, I actually take you to step by step and room by room in the budgeting process and so you’re identifying the items in that room. Now what I’ve done is already given you a tip-off for each one of the things that I want you to look at when you’re at that project, and so what happens is now you are triggered to actually identify that particular thing. For example in the kitchen, obviously cabinets, then countertops and then the sink, and then the faucet. You see each one of these is a separate budget item and can be highly skewed on the costs by your choices of finishes, by your choices of quality of the cabinet, your choice of the sink, your choice of the faucet. You see each one of these items can vary widely as I was saying, so it’s important that you identify these things by taking that list of budget items, you identify what you’re going to have in your project.
Now you can go online, home depot.com or you can go to other suppliers and you can literally identify the items that you want to be selected for your property and put those item numbers. In fact, you can build a list right there online. Build a list of all the items that you want and they’ll add them up. Now we are certified, affordable housing providers. We have special discounts with various suppliers under our brand. So that’s another thing. Once you become certified, did you get the benefit of automatic, 20% off paint, automatic discounts on cabinets, automatic discounts on the carpet, automatic discounts on packages of appliances? These are things that we’ve been able to pre-negotiate for you or our certified affordable housing providers.
Well, hope this has been of help to you. To learn more about our system, go to StreetSmartInvestor.com click on tools, click on renovations. And I’ll see you soon. Share this like this. Love this, and I hope to see you soon. Yeah, baby!
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