Worst $10K renovation you should avoid

PORCH TALK

Hello neighbors,

Charlotte’s heating up, and we’re not just talking about the weather. Prices are wobbling, investors are shifting strategies, and buyers are getting choosy. One bad reno could cost you $5K and a migraine.

This Week’s Quick Hits:

• Smart plays that don’t trigger the IRS

• How DSCR loans are heating up deals near the airport

• A lease clause that could save you thousands

• Got $10K to spend? Here’s what not to do with it

No fluff. Just real estate intel. Charlotte style.

Pull up a seat.

MARKET WATCH

• Median Home Price: $435,000 (Up 2.35% MoM)
  Prices continue trending upward, signaling solid appreciation, especially in suburban zones.

• Median Rent (3BR): $2,095/mo ( Up 3.8% YoY)
  Rental demand is keeping pace with home price growth, steady cash flow potential.

• Mortgage Rates (30yr fixed): 6.43% (was 6.89% last month)
  A slight dip in rates could spur more buyer activity. Watch for competition to increase.

MONEY MOVES

How to Expense Repairs Without Raising Eyebrows

Tax season or loan apps? Not the time to get sloppy. Here’s how to keep your property deductions clean, legit, and audit-proof:

Repairs vs. Improvements:
Paint = repair (expense now). New roof = improvement (depreciate later). Know the difference.

Receipts + Pics = Protection:
A $1,500 plumbing job? Snap before/after photos. Build your paper trail.

Stick with Pros:
Jumping between shady handymen = red flag. Consistent, licensed vendors = less scrutiny.

No Creative Labeling:
A new kitchen island isn’t routine maintenance. Be real. Be accurate.

Tenant Damage? Note It:
Document everything. It separates wear-and-tear from capital upgrades, and may help recover costs.

Bottom line: Treat your property like a business. Clean records = clean hands = no tax drama.

THE PLAYBOOK

The DSCR Play: Townhomes by CLT Airport

Savvy investors are skipping W2 drama and using DSCR loans to snatch up townhomes near Charlotte Douglas.

Here’s why it works:

💡 What’s a Debt Service Coverage Ratio (DSCR) Loan?
It’s simple. If the rent covers the mortgage (DSCR ≥ 1.0), you’re in. No personal income docs needed.

✈️ Why Near the Airport?

• Steady rental demand (flight crews, travel nurses, biz travelers)

• Cheaper than Uptown buys (~$275K for 3-bed)

• HOA handles the exterior = fewer headaches

• Mid-term/corp rentals are often allowed

💰 The Play:
Buy low, rent at ~$2,100/mo, and qualify based on property cash flow, not your tax returns.

⚠️ Heads Up:

• Check HOA rental rules

• DSCR loans = higher interest rates

• Be realistic with rent comps

If the rent covers the note, lenders don’t care about your W2. That’s leverage, Charlotte-style.

THE DEED WHISPERER

Write This Lease Clause to Save Your HVAC

Your HVAC can burn out fast, and tenants often forget the basics. One simple lease clause can save you thousands:

The Clause:
"Tenant agrees to replace HVAC filters every 30 days and understands that failure to do so may result in tenant liability for system damage. Landlord reserves the right to inspect filter replacement upon notice."

Why It Works:

• No excuses: Sets clear expectations up front

• Built-in accountability: Ties filter neglect to system damage

• You’ve got leverage: Allows inspections or photo proof

• Big savings: Dirty filters kill compressors and your wallet

Pro Tip: Drop off filters or use a filter mail service. Bake the cost into rent. Make it easy = better compliance.

No clause = No protection. Get it in writing, your HVAC depends on it.

HOT TAKE

The Worst $10K Renovation This Year? Turning Your Garage into a Gym

Sounds like a hustle-culture flex, but here’s why it flops:

❌ Buyers want storage, not your bench press.
Losing garage utility is a dealbreaker in tight markets.

❌ No appraisal bump.
Rubber mats ≠ livable square footage.

❌ Climate disaster.
Poor insulation = sauna in July, freezer in January.

❌ Kills resale flexibility.
Buyers don’t see “dream gym,” they see a project to reverse.

Smarter $5K Play: Epoxy the floor, upgrade the garage door, add sleek storage.
More function. More wow. Less regret.

DEAL RADAR

This refreshed 2-bedroom, 1.5-bath condo offers a bright, airy atmosphere with modern updates including new flooring, appliances, and countertops. Conveniently located near Archdale light rail, I-77, shopping, and featuring community perks like a pool and two assigned parking spots, it’s truly move-in ready.

• Location: Montclaire South

• Price: $195,000 | 2BD 2BA | 892 SF

• Estimated Rent (Est.): $1,231/mo

• Cap Rate: 4% — 6%

• Investor Outlook: Light cash flow, strong equity upside

• Rehab: None required

• Investor Play: Buy & Hold

This move-in-ready condo in the sought-after Carriage House Community is perfect for first-time buyers or investors, offering easy access to Charlotte’s amenities with the Archdale light rail station nearby. With Charlotte's growing real estate market, this condo offers exceptional value and is a rare opportunity that savvy investors will recognize.

• Location: Montclaire South

• Price: $215,000 | 3BD 2.5BA | 1,169 SF

• Estimated Rent (Est.): $1,631/mo

• Cap Rate: 4% — 6%

• Investor Outlook: Light cash flow, strong equity upside

• Rehab: None required

• Investor Play: Buy & Hold

HOT SHEETS

Starter Townhome That Caught My Eye

3840 Cheyney Park Dr
$349,990 | 3BD 2.5BA | 2,047 SF

This townhome community offers easy access to Charlotte with the charm of a local lifestyle, all without the high Uptown cost. The Murphy plan features 3 bedrooms, 2.5 baths, and a spacious open-concept living area, ideal for first-time buyers or those seeking low-maintenance living. With a cozy front porch, a second-story balcony, a two-car garage, and a newly opened pool, this home offers both convenience and comfort for a perfect Charlotte sanctuary.

FINAL DEED

The best investors and homeowners aren’t the ones who know everything. They’re the ones who stay curious, stay strategic, and know when to call bull on bad advice.

Charlotte’s market isn’t for the passive. It rewards the observant, the intentional, and the bold.

So, whether you're dodging an unnecessary garage makeover or writing smarter leases, keep in mind that small decisions compound. The edge goes to those who play the long game, one smart move at a time.

See you next week. Same porch. Same playbook.

Until next week,

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