Before you rent out your home or investment property, you should consider making certain property upgrades. Perhaps you have the know-how to complete DIY renovations. Or maybe you’ll need to hire a contractor. Either way, if you’re considering making upgrades to your rental home, you’ve likely realized that renovations come with costs.
Weighing these costs is a natural concern for rental owners, especially for those who are new to investing. But offering your tenants an updated home can be more than worth it. Here are just a few of the benefits of renovating your rental unit:
- Your rental will stand out from competing homes on the market
- Promotes energy efficiency and reduces the cost of utilities
- Elevates the resale value of a property
- Delivers tenant satisfaction, which leads to tenant retention
- Lowers the cost of maintenance
Your rental unit should offer your tenants comfort, but it should also offer you the security of an additional income. Though there are endless ways to improve and redesign a home, it’s best to choose any upgrades wisely.
Some renovations are especially appealing to tenants, while remaining cost effective. These are the kinds of renovations you should focus on, as this will provide you with the best rate of return, while keeping your tenants happy.
Here are the top upgrades to make on your income property:
High Quality Kitchen
There’s a good reason many of us think of the kitchen as the heart of the home. As a central area, the kitchen may just be the most frequently used room in a house. And that’s why furnishing the kitchen with high quality appliances can have prospective tenants scrambling to sign the lease.
Purchasing matching appliances may seem like a pricey investment, but the initial investment will pay off. That’s because high quality appliances are more likely to last longer.
If you have concerns that prospective tenants may not care for expensive appliances, you can reach out to a property management company. At Keyrenter New England we screen and pre-approve potential tenants, among many services. And screened tenants are likely to take care for your rental as if it was their own.
Kitchen renovations that are must-dos:
- Spruce up cabinets by sanding and painting existing cabinets
- Install a quality countertop, such as granite. Some countertop materials even offer heat-proof protection
- Replace the old with new affordable extras, such as new light fixtures, faucets and kitchen island stools
Along with the kitchen, prospective tenants love upgraded bathrooms. You can improve bathrooms by replacing old and leaky faucets, redoing caulking around the bathtub, and adding more storage areas.
Additional bathroom improvements to focus on:
- Install a sliding door to save on bathroom space
- Put up new shelves to create more storage
- Opt for a walk-in shower rather than a bathtub which can expand the space
- Budget a bathroom for every bedroom since this can allow you to rent each individual bedroom to different people who value having their own personal bath space
All About Curb Appeal
A city like New Hampshire is known for its beautiful scenery and once you’ve upgraded the interior of your rental home, the exterior shouldn’t be ignored.
This is an important step that shouldn’t be overlooked because a well-maintained exterior provides the first impression. To maximize your rental’s curb appeal, make an impact by investing in landscaping.
Curb appeal improvements to apply in your rental home:
- Paint the exterior of your home
- Designate a garden space
- Fix damaged or old fences
- Place planters at the front of your unit
- Trim shrubs and trees
Pay Attention to The Smaller Details
When thinking about renovations, our minds immediately shift to costly upgrades. Though some upgrades can be expensive, it’s not always the case.
Here are some examples of easy, yet effective upgrades:
- Fresh paint in a neutral color that will effortlessly match a tenant’s belongings.
- Light fixtures that are clean and modern can instantly change the aesthetic of a room.
- Small touches such as doorknobs, blinds or cabinet handles are inexpensive ways to improve the look of your rental home.
Don’t Forget the Floors
Among homeowners and tenants alike, hardwood flooring is preferred for its elegant and classic look. And landlords appreciate how low maintenance hardwood flooring is, as worn or damaged wood can be sanded and refinished.
In contrast, carpets can be hard to maintain and easily acquire stains. Along with stains, carpets can trap odors.
It’s advisable to offer less expensive area rugs that can be easily changed, while protecting your rental’s hardwood flooring.
Provide Additional Space
Amenities can help your unit stand out from others and make it easier to find tenants. With additional amenities you might even be able to assign a higher rental price!
- Storage space is a highly value feature that will make your property organized and functional
- Air conditioning provides heat relief through a cooling system can make your rental more comfortable during the summer months
- Renters who have personal vehicles to commute to work will especially appreciate a secure parking area
- Outdoor living areas, such as a deck or patio can offer tenants a pleasant way to enjoy New England’s weather
Renovations and upgrades are additional expenses that offer long-term benefits. Potential tenants will appreciate the care and time you’ve invested in your income property. And a renovated rental is more likely to attract quality tenants.
If you need additional advice, we can help. We can advise you on the best renovations you can make, without breaking your budget. At Keyrenter New England we’ll use our expertise and knowledge to make sure you’re getting the most from your rental.
Don’t hesitate to call us today. We’re happy to discuss any concerns and answer your questions.