Any multifamily real estate investor knows that hiring professional inspectors to walk their property is required before buying. But how much should a property inspection cost? Through decades of experience, Rob Rowsell has learned that the $100 per door cost that real estate investing school taught him is WAY high.
Rob uses a formula in his agreements in order to cover every cost that is involved. These expenses include inspecting building utilities, determining structural integrity, pest control sweeps, and more.
Property Inspection Cost Guideline Explained By Successful Investor
When you are investing in real estate, you should always consider the property inspection cost. You get what you pay for, so you do not want to underestimate how much it will take. However, many investors tend to overpay, just because of the estimated figure they are used to.
One caller on our recent Inner Circle Meeting was interested in buying a 100-unit apartment complex. He asked Rob what he thought he should pay, per door, for the property inspection.
Off the top of his head, Rob suggested the caller should budget $50 per door. However, if an investor already had a good relationship with a property inspection company (and they should!), they could possibly reduce that property inspection cost to $25 per door. In his own experience, Rob’s expenses for property inspections have not exceeded that number in ages.
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Do you invest in multifamily rental properties? If not, do you want to do so one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It is not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!
