Allocating your savings to purchasing real estate in Rosarito Beach, Ensenada and Tijuana areas in Baja, remodeling and reselling it, is a profitable investment. if you consider the location of the estate and the modifications you'll have to make. It's not always advisable to renovate structural aspects or details to increase your Baja California property value up to 25 percent.
Investing in what's safe and gaining profit is a combination that few tools give. A secure and cost-effective investment, that requires a mid level of knowledge is the remodeling of Baja real estate.
Gustavo Torres, commercial manager of Remax Baja Realty, exposed that the value of a Baja property can be increased by 20 and 25 percent if pertinent repairs are done; without making structural changes.
FACTORS TO CONSIDER
Before purchasing a Baja property, the experts recommend analyzing the location to determine the initial value. Neighborhoods in Rosarito Beach, Tijuana and Ensenada with wide communication routes are prone to increase their value.
It is not convenient for a Mexico or Baja investor to buy a property for remodeling in a lower middle class neighborhood. Since the characteristics of the market are not financially feasible. But if the renovation takes place with the appropriate characteristics, we can recover more than 20 percent of the values obtained in the zone. Floors and paint is recommended for this locations. Mainly because of the competition from the new housing of social interest.
Over-investing in finishes doesn't yield. It's important to point out that a good conservation of the property has to be executed. Making the greater use areas comfortable, unless an expansion is in mind. If only a remodeling is thought of, you should not do a big investment on finishes.
If we are talking about Baja condominiums, the parking space critically increases the value of reselling of a real estate. A property loses 1 percent of its value each year if it doesn't receive maintenance.
Inspect the situation. Make sure the modifications don't require a special permit from the local office or the City Council.
Limited budget. In this case opt for exterior paint and check the electricity and plumbing services.
Resources for finishes. Don't assign a considerable amount to this purpose but do leave the estate in optimum conditions.
Necessary repairs. Leaving the kitchen and bathrooms in good conditions is very important.