Property preservation is the process of maintaining the inside and outside of a property that may be occupied or vacant. The objective of property preservation is to keep a vacant property in tip-top condition. This means maintenance of the roof, walls, piping, electrical wiring, and everything else that can possibly go wrong inside a property. It includes a thorough cleaning and performing preventive maintenance to ensure the property is safe for occupation.
Property preservation is important because it prevents the property from falling into disrepair. Banks often engage property preservation vendors to maintain their foreclosed properties so that these properties may eventually get sold at a decent price.
Property preservation income
Property preservation income comes in the form of conducting physical inspections of foreclosure properties, repairs, and maintenance jobs. As a property preservation vendor, you will be responsible for:
Conducting weekly or monthly inspections for banks’ foreclosure properties help determine occupancy status and current physical condition of the property. You are required to report any damage and monitor the progress of current repairs that the bank or field service company has hired to carry out.
Draft a repair report estimate which includes but are not limited to roof repairs or replacement, repairing damages caused by theft, water ingress, vandalism or other disasters, and total refurbishment.
It is crucial to come up with accurate estimates on the start and finish dates. Stay well-connected within the industry to have access to the necessary equipment, workers and subcontractors should you require to complete a project in a short period of time.
Typical property preservation maintenance includes boarding up broken windows, cleaning, pest control, and lawn maintenance such as grass-cutting and weed control.
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Disclaimer: The information and/or documents contained in this article does not constitute financial advice and is meant for educational purposes. Please consult your financial advisor, accountant, and/or attorney before proceeding with any financial/real estate investments.