Turning Your First Hanover Home Into an Income Property

Offset Your Rising Mortgage Payments

Whether it's a 100-year-old Victorian home, a multi-apartment property, or a fully renovated unit on 10th Street, here are the top 10 tips Neil Kirstine and Marlene Voisin from Coldwell Banker Saugeen Real Estate suggest before you invest in that Hanover property!

Make sure its worth it

The cost of renovations has to be able to pay itself back within two years rent. Scout out local markets like Walkerton, Mildmay, and Durham, and get a professional opinion.

Tag Team

TWO HEADS ARE BETTER THAN ONE, and home-owning is no exception. Getting to your desired final product is a journey, and having a teammate to share frustrations, anxieties, and most importantly, costs with is invaluable.

Learn Through Experience

As one Hanover homeowner puts it, "you can read as many books as you want, but you have to experience it." Every home is unique, and every home will reveal its own problems and potential solutions.

Finance Rule: Add 25% to Your Budget

When renovating your space, despite what a professionally quoted budget says, add 25 per cent, just in case. If you dont go over, nothing lost. But if you do, at least you were expecting it.

Hanover Houses are like Onions (delicious, beautiful, and full of layers!)

The more layers you peel back, especially while demolishing, the more problems you're going to find. Count on hidden gems like mould, live wires and any other hidden costs, just in case. Be sure to consult with professionals when it comes to serious issues like foundation, electrical, and plumbing.

Think About Layout

If you have a three-story plus basement house, why just rent out only the basement? As Neil Kirstine & Marlene Voisin know, doubling the space not only allows you to live mortgage-free by increasing the rent, it also increases the value of the home. However, living on the upper level may not be the best option for you, especially if you plan on expanding a family or you want access to your backyard.

Is the Space Livable?

If the kitchen has zero counter space and the bedroom can only fit a bed, not only is it going to be hard to find someone to rent out your unit, but think of the demographics in Hanover who might be wanting to rent out your unit.

Sound Proofing

Not only do you want a fire barrier between you and your new housemates, you might be thankful for a little bit of sound-proofing in the long run, so don't skip out on the drywall... especially on the ceiling!

Begin With the Exterior

A separate entrance is key when renting out a basement, especially if you dont want to mingle too much with your new Hanover Rental Tenants. And you might want to make sure there are no potential lawsuits hanging around - such as slippery stairs or rotting wood.

A Short Term Income Source can help with the Long Term Dream

If a long-term investment is what you seek, turning your space into a home right off the bat isnt going to help pay those accumulating bills. Your No. 1 priority should be making your home into an income source, or at least a manageable entity.