Proposed improvements to a property can range from a patio enclosure to proposed remodeling, rehabilitation or new construction. In each case the owner, investor, builder or prospective buyer needs to analyze the costs of acquisition and the proposed improvements vs. the cash flow available from the investment or the return upon the resale of the property. Updated properties in the southeast part of Jacksonville, Florida appear to return $22,500 to $26,000 for solid surface counters and other updating. Updated solid surface counters. Non-updated counters. Make sure to look for the graphs after the sale data. This level of updating would not allow for the ultimate in modernization but would go a long way in make the dwelling more attractive and useful. Remodeling primed for recovery. In addition investors need to be cautioned not to pay too much for improved properties in relation to potential cash flows. There are plenty of other investment opportunities in this real estate market so don't limit yourself to one source. Jacksonville, Fl. has been publicized has having the highest foreclosure rate in the country. Keep in mind that sellers are human and can make mistakes and embellishments. A double check on each opportunity is strongly advised and could save money in the long run. Investigate the returns that are touted, once you have reviewed this check back with me on adjusting the holding costs by using a replacement reserve for capital replacement items and factoring in a realistic maintenance and repair estimate for a more realistic return on investment. In addition I could complete a review of any proposed or finished remodeled/renovation property to help judge whether the going in price appears to be in line with current market values. Below is a graph of some of the sales in the Cedar Hills neighborhood on the west side of Jacksonville, Fl. The graph charts sales of dwellings between approximate 1,000 to 1,450 s.f. in size in the last year (2010-2011). The Listing prices and selling prices of these properties in the last year seem to converge around $60.00 per square foot with the highest selling price according to the NeFlMLS being around $70.00 per s.f.
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