If you’ve owned a rental property for a few years, maybe it’s time to think about property upgrades, particularly if your property is on the older side or has been subject to wear and tear.
You may initially recoil from the idea. After all, if your real estate property is earning, why make alterations? However, being open to rental renovations can help make way for optimal returns on your property, paying for itself and then some.
Upgrades and renovations often require specialized knowledge, and one of the benefits of working with a property management company is that they can carry them out renovations on your behalf.
Here are some of the top reasons for renovating your property.
The Benefits of Conducting Renovations
Renters that see consistent rental improvements will apt to renew their leases. It brings joy to live in a place that is refurbished and well taken care of.
Happy renters end up being long-term renters, which is great for the long-term stability of your rental property investment, as you'll be able to count on consistent rental income each month.
Increase Property Value
Renovated units tend to fetch higher rent prices. If you sell your property down the road, your asking price will be higher.
A higher asking price will be justified given the added property renovations you've made.
If your rental property doesn’t offer unique features and just blends with average homes, it can be difficult to drive interest. Renovated spaces will attract more prospects, which will help you keep vacancies low.
Tenants are always comparing one property's features to another's, and they’ll choose to live in a property that offers the most.
Here Are Some Of The Top Renovation Upgrades For Your Units
Renters appreciate amenities that make their lives easier and offer a higher standard of living.
Here are some ideas to for appliances and other features you can offer in your rental properties to make them more attractive to tenants, and more valuable down the road.
Washing Machine & Dryer: Washing machines and dryers are convenient appliance especially in places where the cold climate makes it hard to dry clothes in natural air.
Consider the benefit for your tenants of being able to do laundry in their own units, rather than having to frequently visit a laundromat.
Dishwasher: Having a dishwasher saves time, especially for busy tenants with large families or those who frequently entertain guests.
Outdoor Areas: Balconies and patio spaces inspire relaxation and allow tenants to enjoy the weather outside.
Parking Spot: Having a reliable parking area is always appreciated, especially in dense cities.
Storage Space: Extra room to store belongings is always a welcome feature.
Renters like living in spacious quarters that provide plenty of natural light. The benefits of living in a space with plenty of light are well documented.
Follow these tips:
Consult a Professional: Before knocking down the walls, take time to have a professional inspection performed. You want to avoid ruining the structure of your home because of a mistake.
Plan Well: Opening up your floor plan is not an impulsive decision. It requires detailed planning to check areas where it’s best to add more windows.
Nothing impresses new tenants more than stepping into a rental unit with an aesthetically pleasing interior.
Consider installing the following:
Modern Lighting: With the range of beautiful and inexpensive lighting choices that is available these days, it is easy to find attractive lighting for home styling.
New Paint Coat: Refresh the look of your rental by adding a new paint touch up.
Improve Interior Details: Little things can make a home more comfortable and impressive. If you don't have them already, consider adding window blinds, using stylish and sleek faucets, and installing new cabinet handles, for example.
Floors cover the entire part of the home, so picking a good the best available type of flooring for your units can be a huge benefit.
Plenty of flooring types exist and it’s best to study the advantages of one over the other.
Consider the following:
Hardwood: Hardwood has been one of the most popular flooring style for years. It's appreciated mostly for its durability and its warmer surface compared to other floor types.
Tile: Tile flooring popular for a reason.It generally lasts a long time, is affordable, and gives off a better impression than cheap, flimsy options like linoleum.
Energy Efficient Appliances and Features
The trend towards environmental consciousness has made it popular for tenants to maximize green technology.
Try these tips:
Install Solar Panels: If you install solar panels, tenants will be able to save when it comes to electric bills. You can advertise this feature in your property listings so tenants will be aware that your property is a green option.
Use LED Light Bulbs: Not only are they environment friendly, but they’re energy efficient and last longer than regular ones, which can save you money.
Get a Smart Thermostat: Heating and cooling systems contribute to the bulk of energy expenses in a home. When you’re using smart technology, you can remotely control the heating in your home, which will save you money.
Find Energy Star Certified Appliances: Appliances that use plenty of energy include fridges, dishwashers, washers, and dryers. Make sure to buy Energy Star certified options to ensure you're saving money.
Particularly during the ongoing global pandemic, your tenants will be spending more time in the kitchen than usual, with many of their typical dining options closed off.
As such, they'll appreciate it if you ensure their kitchen spaces are in top-shape.
Here are ideas to try:
Kitchen Islands: Kitchen islands act as an additional dining space or preparation area, which tenants typically appreciate.
Backsplash: It makes it easy to tidy up splatters and spills, especially after frying. They also look stylish in the kitchen.
Cabinets: Repaint cabinets and choose elegant handles to improve your kitchen’s appearance. It’s an affordable way to beautify your storage cabinets.
Upgrade the Bathroom
The bathroom is one of the critical makeover zones, since people love easy-to-clean, fresh-looking and well-lit bathrooms.
Check out these tips:
Underfloor Heating: During winter season, having this feature in the bathroom can make tenants more comfortable.
New Grout: Re-applying grout is an easy way to make a bathroom look sparkling new and clean.
Step-in Shower: Installing a new showerhead is another affordable improvement trick to enhance the look of your bathroom area.
Focus on Curb Appeal
Even if your property has a wonderful interior, what gets often judged is the external front area of the property. You want to make people admire your rental unit from the outside.
Follow these ideas:
Foliage: Choose low maintenance plants to save time and effort. Tend to the lawn and pull out the weeds frequently.
New Paint: Apply fresh paint to the exterior of the home and garage.
Maintain the Driveway: It makes the property look more put together. If there are notable cracks, have them repaired.
The Bottom Line
Renovations need not be too costly. You can always add affordable fixes and features along the way. The important thing is to keep improving your rental home so that its value grows and your tenants are satisfied.
Tenants will be inspired to stay in well-maintained properties where the owners actively provide convenient amenities.
Do you need help with renovations or any other aspect of managing your rental property?
Get in touch with the team at InterWest. For decades, we've been providing residents of the Portland, OR and Vancouver, WA areas with the best local property management services.