Vacancies are a nuisance every landlord can relate to because they’re a certainty in the world of real estate. However, they don’t have to last long and infringe on your profits when you use the right tactics. While your marketing goes a long way in getting you new tenants, sometimes vacancies are due to your rental value–or, more accurately, lack of value. Too many landlords make the mistake of not upgrading their rentals, so they struggle with months of vacancy and miss out on opportunities to charge higher rent.
But if you’d like to convert your rental into a space that generates leads online and offline, read to the end. This article reveals 6 sustainable home improvement ideas to increase rental value.
When most people think about this term, their mind goes to toilets. But many other fixtures adopt this unique quality, such as showers and faucets. Their design makes them more efficient, which means they waste less water. In other words, it saves you money on your water bill.
Even if you’re not paying for utilities, you can consistently market it as a plus to potential tenants. Besides saving you money and making a great selling point, some states already have a mandate. So if you don’t already have low-flow fixtures, you might either not have much of a choice or use it as an opportunity to stay ahead of the trend.
Yes, appliances can be expensive. But they can be a valuable improvement if done right. It would help if you leaned into devices that will help attract high-paying tenants and make your existing ones eager to renew their lease.
Many people prioritize houses with a washer and dryer unit. And can you blame them? Lugging your dirty clothes to a laundromat every week can be a challenge. If you have a multiple-family complex, you could install a general laundry room for all the residents and save money. Other sleek appliances you can use to boost your rental value include dishwashers and geothermal HVAC systems. Also, remember to buy a home warranty to ensure your devices against damage and malfunction.
Like appliances, amenities can pull in a crowd of highly qualified tenants. First, let’s clarify the difference between the two. As you know, appliances are equipment for performing specific tasks such as your washing machine, dishwasher, and so on. On the other hand, amenities are helpful features of a building. For example, having a designated parking space makes driving more accessible, especially in busier cities. The more convenient your rental is, the more value it has.
Other amenities that are certain to drive demand for your rentals include outdoor spaces, storage units, fences, and so on. Several conveniences fall under the umbrella of outdoor spaces. You could invest in a patio or a deck with room to relax. These are great because they allow your tenants’ to host get-togethers and provide an escape from the house without leaving.
Floors make up a large percentage of your rental property, so they must be durable. Ideally, they should handle a lot of foot traffic while appealing to the tenants’ sense of sight and touch. After all, no one wants to come home to a raggedy carpet or busted tiles.
There are several types of flooring you can choose from, and they all have their strengths and weaknesses. So it would help if you kept that in mind when doing your research. Hardwood is universally acceptable and can retain its beauty for years after installment as long as you refresh it routinely. However, it can be expensive, so that you may opt for a cheaper option such as carpeting, linoleum, or vinyl. Of course, no rule says you can’t mix and match. So you can use two types of flooring in different parts of the house–as long as it’s done tastefully.
It’s more than likely that your tenants will use their kitchen quite often, so appearances matter. An updated kitchen is one of the easiest ways to improve your rental value. Cabinets are an excellent place to start because they’re a visible portion of the kitchen. If you don’t already have them, get them. The extra storage space will work to your advantage, as tenants consider where they can keep their provisions. If your budget doesn’t allow you to replace the ones you have, then fix them up. Replace broken handles and hinges, and perhaps add a layer of paint.
Countertops are another great go-to for an updated look. Granite and quartz are preferable materials because they are highly stained, scratch, and heat resistant. In other words, after installation, you don’t have to replace them for years to come. Other ways you can improve your kitchen include upgrading your faucet, adding a backsplash tile, repainting the walls, and adding more lighting.
After the kitchen, the bathroom is the next best place to get high returns on a home improvement. It’s also one of the first places people check during an open house or a virtual tour. And why wouldn’t it be? No one wants to live in a house with bathroom walls that make their skin crawl. To start there, invest in newer floors and walls if your budget will allow. Although in your renovation, it’s helpful to keep in mind that a bathroom is a place that encounters a lot of water. Thus, water resistance is a top priority.
If you have a bigger budget, you can incorporate a bathroom in every room. This idea is especially ideal if your target market is college students. A 1:1 bathroom ratio is a huge plus that significantly ups your rent. While you’re at it, add some shelves to make storage easier.
To wrap up, remember that home improvements are vital in keeping vacancies at bay and attracting high-paying tenants. Of course, you don’t have to opt for everything on this list. You could enlist professional guidance to assess rental market value and tell you what changes would benefit you most.