Two of the 10 most expensive homes sold in the D.C. area in March were condos.

Does that surprise you?

Not long ago, when I thought of luxury condos, it was just over 2,000 square feet of “feels like a home” with some additional amenities all maintained by someone else.  They sold well to the D.C. weekenders, or their counterparts, the DC work-weekers.

Today – that has all flipped around.  The luxury condo market in DC today has an opening and some out of town condo developers are moving in to provide the product.   Some of these condos are 5,000 square feet or more, and may include 5 or more bedrooms.

These are hardly your college age condos.  These are for the “entertainers” who want a place to mingle with their contemporaries.

Have you noticed a change going on in the DC area over the last few years?

We have always had an Embassy Row, and our local universities attract more international students than ever before.

Some of those international students have decided to stay.  And so have their deep pockets.  Many are opting for the condo life, and perhaps we see their relatives joining them.

You will find an interesting few facts about the recent luxury sales taking place in the DC area on WTOP here.

Just don’t be surprised when you see the 6,100 square foot condo priced at just under $10 million.  It could be yours for a monthly payment of $41,854/mo according to Trulia.

DC’s demand for multi-million-dollar condos grows

Re: “Small business optimism is soaring.”

As a small business owner, we all know it’s important to keep an eye on the little things.

In our last article, we pointed out how Walt Disney kept an eye on his bottom line by looking at his new mouse character who went on to become Mickey Mouse. He noticed that if he cut the number of fingers to only three, it would save him millions over time in saved animation expense.

To produce a short 6 and a half minute film took over 45,000 separate drawings. Disney was on to something when he paid attention to the small “two finger” details.

In our business of renovating homes, the small details will add up as well.

In a recent article posted on USA Today there was an interesting comment:

“Despite the generally favorable environment, small businesses face new hurdles that are increasing their costs. Fifty-one percent of those surveyed said the prices they pay for materials and equipment are higher than last year because of rising commodity costs.”

It got me to thinking.

If costs are increasing, where can we save money on a renovation and still maintain a great product when we attempt to list or lease the property?

Here are three money saving tips on renovating a home.

1. Keep the pipes where they are whenever possible.  Moving water, sewer and gas pipes is an expensive process. You have to patch the old holes, create new access points. Many times, “easy” moves creates other change orders that will never return to your bottom line.
2. Bigger is not always better. Unless your project was built before 1970, many times the size of a kitchen or bathroom is just fine. Additional counter space is useful, but when you buy the extra granite, you realize another additional expense that may not have been included in your initial budget.
3. Instead of opening up an entire room, create a pass through instead. The small room will suddenly seem larger and most of the time structural issues will remain a non-issue. A good contractor can help keep you within local building guidelines when it comes to opening walls.
   These three simple tips could save you anywhere from 10-30 thousand dollars in additional contractor and material expenses on a single project.

Keep in mind, every home is different. Know your markets.

A row house in DC built in 1937 is very different from a townhouse in Fairfax built in 1987.

The DC row house probably needs everything opened up – maybe even down to the studs – and completely rebuilt.

The townhouse in Fairfax probably just needs new appliances, carpet and paint. It’s probably time to look at the roof and other exterior items. At the end of the day, the expense of opening walls and taking a 1987 townhouse “down to the studs” is unlikely to ever find its way to your bottom line.

There is a fine line between being cheap and being thrifty. Cheap can get you into trouble. Thrifty on the other hand, can put a few more dollars in your pocket at the end of your project.

As our economy continues to improve keep an eye on your bottom line.

Never stop learning.

Re-build safe.

If you want more tips like these, make plans to join us at our WREIA meeting this coming Monday, May 8th.

We are going to show you not only how to save money – no matter where you are in your career – but also how you can bring in income of 75k (or more) by the end of the year.

Some of our seasoned members will bring in 75k or more in May. But they also know if they can uncover another 75k in “side hustle”, it comes in handy at the end of the year.

Aspiring renovators might like to know how to make their first 75k over the next 7 months. We have you covered too.

Make plans to join us on May 8th. You will walk away with a personalized game plan and strategies you can pick and choose from that most appeal to you and your business.

Bring your questions, bring your wholesale deals and bring a friend.

See you on Monday May 8th!

*********

Interested in a seat or a WREIA Membership?

Save a few dollars and reserve your seat early.

Tremendous Savings and Additional
“Members Only” Perks for WREIA Members

*********

FOCUS and make 2017 a great year for your business!

Let me know how I can help you,
John Peterson
301-881-5541
Washington REIA Network, President
Profitable Property, Founder

P.S.  Are you interested in a lender or construction partner for your project? Yes, we do partnerships! We lend to and partner with people all over the DC area. Call the office and lets set up a time to talk through or walk through your project.

So, why does Mickey only have three fingers and a thumb?

Disney said that this was both an artistic and financial decision, explaining “Artistically five digits are too many for a mouse. His hand would look like a bunch of bananas. Financially, not having an extra finger in each of 45,000 drawings that make up a six and one-half minute short has saved the Studio millions.”

Little things, done over and over, add up.  True in every industry, including animation.

And including our business.

Great video right?  It was raining, it was cold and it was windy.  None of which was going to stop us from getting it done.

We all know that if we wait for the sun to come out, things might not get done.  Ideal conditions for this video?  Certainly not.  Just do it. No excuses.

Let me tell you, when you end the day with a long list of things you accomplished, it’s a good thing.   It’s a much better feeling than procrastinating and putting things off until tomorrow.  Right?

At WREIA this month we are going to talk about the Three Things you can focus on to make an additional 75k (or more) by the end of the year.

It doesn’t matter where you are in your career.  Making 75k over the next 7 months is very, very doable.

But – you have to FOCUS.

Don’t get distracted by too many vacations.  You can let months slip away and the year will be gone before you know it.

The sun might not come out for a few days. Don’t get discouraged.  Focus and get your next step done today.  Just keep moving.

Don’t let your lack of knowledge get in the way.  Sometimes the best way forward is just blindly taking the first step.  If you hit a wall, start looking for a door, or a window, or do whatever you have to do to keep going.   (Lack of knowledge is the silliest excuse possible in 2017.)

If there is anything I’ve learned in this business it’s this – Nature rewards action.  If you have questions.  Ask.  I’m right here.

Don’t make excuses for why you can’t make it to WREIA this month.  We are all busy.  Unless you protect your time, and block off two hours to be with other successful investors each month, you will find something else to do.  Someone or some thing will come in and steal your “You” time from you.

Block off Monday evening – May 8th – right now.  Plan to be with us.  Reserve your seat at this link. 

Get focused and get moving.

Let’s make 2017 a great year for you and your business!

John

P.S.  So what does WREIA have to do with Mickey Mouse hands?  Did you miss it?  Little things, like procrastinating, making excuses or missing WREIA once or twice, start to add up.

Discipline yourself to invest in time for yourself.  How many other places can you go in the DC area where you will surround yourself with other investors who will genuinely want you to succeed and applaud you for your success?

Hello WREIA MEMBERS!

Despite the chilly but sunny Sunday we are having here in DC we are in for a potential record setting storm starting tomorrow evening on through Tuesday.

That said – we just checked with the talented people at the WREIA Weather Headquarters and after a lengthy discussion  they have advised us to

RESCHEDULE THE MARCH MEETING TO MARCH 20TH. 

So, if it’s ok with you, lets get bundled up at home tomorrow evening and stay off the roads.  We all know what happens to DC traffic during this type of weather event.

Stay home and stay safe!

We will see you NEXT Monday – March 20th!

John Peterson

Founder, Washington REIA Network
Profitable Property
Rockville, MD
301-881-5541
ProfitableProperty@gmail.com

P.S. All pre-purchased tickets have already been credited to the new date.  If your schedule will not allow you to attend, we would be happy to work with you to credit for the April Meeting or refund your purchase.   Just let us know.