Are you a landlord who is looking for new ways to get the most out of your rental property? In today’s rental market, it can really make a difference when you make the effort to stand out from the crowd.
This is one of the main things that can keep you generating interest among new prospective tenants for your rental property when it’s vacant.
After all, vacancies can pose some problems for landlords, so it is important to find ways to make your properties as appealing as possible. This allows you to attract more tenants, lower your vacancy rates, and generate a higher income from your property.
The biggest way that you can do this is by investing in renovations and upgrades to your property. In the end, an appealing, high-quality rental property with lots of amenities will allow you to charge more for your monthly rent.
In this article, we will go over everything that you need to know about renovations and upgrades for your rental property. First, we will talk about why exactly you should be investing your time, energy, and finances into upgrades for your property.
Then, we will go over our seven most recommended upgrades and renovations for any landlord who is looking to boost their rental property’s appeal to prospective tenants.
By the end of this article, you should have a good idea of how to plan your property’s next round of renovations without completely breaking the bank. We will offer ideas for upgrades that you can do with any budget, from full-scale remodeling to small paint jobs.
So if you want to learn more about the best renovations that you can do for your rental property to increase its value and attract more tenants, keep reading!
Why You Should Consider Rental Property Renovations
You may be asking yourself this, wondering whether or not it is truly worth it to spend all this time and money upgrading your rental property. While updating your appliances, putting in new floors, and re-painting the home might seem like a hassle, we think that it is usually worth it for any investor.
So, here are a few reasons that we think these renovations are worth it:
- You can stand out from the crowd: When you renovate your property and add unique touches, you can make your rental property as attractive as possible to prospective tenants. If you have room in your budget, you can make the space look and feel more modern, allowing you to charge a little more in rent.
- You can make your rental property more energy efficient: When you add features to your rental property such as energy-efficient appliances or a programmable thermostat, you will be able to lower the utility costs. This is a huge selling point for your property, whether utilities are included in the cost of rent or not.
- Increasing the value of your rental property: One of the biggest benefits of having upgrades done on your rental property is that you will be able to up the resale value once you decide to sell.
- You can deduct renovation costs from your taxes: Some of the repairs that you make to your rental property are tax deductible! These are mainly the costs associated with maintenance.
7 Upgrades and Renovations to Consider for Your Rental Property
1. Kitchen Renovations
When it comes to upgrading your rental property, the kitchen usually has a wide variety of opportunities for improvement. The kitchen is also a space that can really increase the value of any rental unit if the upgrades are done correctly.
Here are some ideas for things you can do to freshen up your rental property’s kitchen area and increase the value of the home:
Give some attention to the cabinets
Before you spend a fortune on new cabinets for your rental property, we recommend trying to do some work on your existing ones. Simply sanding your cabinets and adding a fresh coat of paint can do wonders to elevate the kitchen space of your rental property.
You can finish your work by buying new hardware and giving the cabinets a sleeker, more modern look without spending too much money.
Invest in some new countertops
If you have a bit more room in your budget for upgrades, we recommend investing some of it into new granite countertops for your property. Granite countertops can give the kitchen the elevation it needs to appear completely newly renovated.
At the very least, we recommend finding a countertop material that is durable enough to withstand heat, stains, and scratches from regular use over multiple different tenancies.
Match your appliances
One excellent investment that can generate a decent return is to make sure that all of your appliances match. If you purchase a new rental property with a mismatched set of appliances, we recommend choosing the newest one and matching the other appliances to it.
Matching the colors and finishes of the property’s oven, dishwasher, refrigerator, and microwave is a quick and easy way to make your kitchen look cohesive and elevated.
While you may not need to necessarily buy appliances that are top of the line, investing in good quality appliances can increase the functionality of your kitchen, which is a huge plus for any prospective tenants.
Complete the look by paying attention to the details
A lot of upgrades that you can do to your kitchen are small and relatively inexpensive. This includes details such as replacing the faucet or adding a modern new backsplash. If you choose to add a backsplash, we recommend opting for something modern and easy to clean, such as glass tile.
It’s important to remember that any time you are upgrading your rental property, you will want to keep convenience and property maintenance in mind. These are things that most tenants value in a new home, so they should definitely be a priority for any landlord upgrading their property.
2. Remodel the Bathroom
Since up-to-date, functional bathrooms are things that each and every tenant will be on the lookout for when finding a new home, taking the time to remodel this area of your property is definitely worth it.
Even if you don’t have the budget for a full remodel of the bathroom, there are smaller things that you can do to update the space without breaking the bank. For example, changing out the toilet seat, or the whole toilet, can be a relatively simple way to make the bathroom more up-to-date and less dingey.
Other small things you can do to upgrade the bathroom are adding a new shower head, switching out the faucet, or refreshing the cabinets (like we mentioned above).
Here are some other ways that you can improve the bathroom of your rental property:
- Amplify the storage space: Even if the bathroom is on the smaller side, there’s lots you can do to improve the storage. Shelves are an affordable and easy way to add more storage, even in a small space. The functionality of a space is a huge thing that many tenants look for, so this will be more than worth the effort.
- Convert the bathtub into a walk-in shower.
- Install a pocket door or a sliding barn door.
- Elevate the design of the bathroom by replacing the mirror, counter space and vanity: If you have the room, you can even do this without spending a fortune by upcycling an old dresser into a sink or vanity. Places like Costco and Ikea will have many affordable options for this as well.
- If you have the budget and want your property to have some real added luxury, you could take on a larger project by adding another bathroom or even matching the number of bathrooms to the number of bedrooms on the property. While this may be a larger commitment and investment, it can result in a higher return.
3. Improve the Curb Appeal
While it may not seem like a big deal, the outdoor area of your rental property will be the first thing that future tenants are noticing about it. When you are trying to fill a vacancy, first impressions are crucial to your success.
When you are considering the curb appeal of your property, we recommend also making it low maintenance and inexpensive for the tenant to keep up with. Most tenants don’t want to spend too much time and money on upkeep for the yard, and we are guessing that you won’t want to either, so it is important to keep this in mind.
Here are some things that you can do to up the curb appeal on your property:
- Landscaping: You want the landscaping to look welcoming and lush without making prospective tenants think the upkeep will be too much to handle. We recommend adding a small garden, planting some new grass, and trimming any trees or shrubs on the property so that everything looks clean and well-maintained.
- Get some planters: Even if you own a multi-family rental property such as an apartment complex, you can still make sure the curb appeal is up to date. Try installing planters in front of the building to greet new applicants.
- Upgrade the property by pouring new concrete, installing new pavers or laying bricks. This can do wonders for your curb appeal.
4. Update the Flooring
The flooring of your rental property is much more important than you may realize. If you have a rental property with carpeted floors, we highly recommend switching them out for luxury vinyl plank flooring.
Studies in recent years have revealed that hardwood is the most popular kind of flooring for rental properties because it’s easy to clean and nice to look at. However, not every property has hardwood floors that are worth using.
That’s why vinyl plank flooring is such a great option. It looks great, is easy to maintain, and is more accessible for you as the property owner. We wouldn’t recommend carpeting, since it can look dated, trap smells, and be overall more difficult to clean and maintain.
If you are planning on upgrading your entire rental property, we highly recommend replacing the floors last. This is mainly because other renovation projects tend to produce a lot of debris and can overall damage your flooring. Installing the flooring at the end of your renovation process will help you keep them looking their best when you’re done.
5. Make Small and Easy Upgrades
Even if you are not ready for a full remodel of any rooms in your rental property, there are still some things that you can do on a lower budget to boost how appealing the home is to new renters.
Here are some of our most recommended ideas:
- Panting the unit: If your rental property is feeling a bit dull or drab, try adding a fresh coat of paint! We recommend keeping the color neutral so that it can go with whatever design style your tenants choose. However, you can also go the extra mile and consider offering to paint the walls a color of your tenant’s choice.
- Lighting: Try adding new light fixtures to a room to give it a quick updated look and brighten the space a bit without breaking the bank.
- Hardware and details: Update door knobs, cabinet handles, or blinds to add a quick and easy modern touch to the home.
6. Try Out an Open Floor Plan
If you have the time and money for a larger project, you can try knocking down some walls and really opening up the space. Open-concept homes are becoming increasingly popular as time goes on, and we’re positive that this investment would pay off in the long run.
You can also install more windows to make the inside of the property look and feel brighter and more spacious. This is a huge plus for any renter, and it will ultimately make the space look and feel a lot bigger.
7. Include New Popular Amenities
When you’re a landlord looking to fill vacancies and ultimately have your rental property thrive, you will want to have a good answer to one important question: what makes my property special? What makes it more appealing than other rental properties in my area?
Here are some things that you can do to set your rental property apart from the crowd and make it more appealing to renters:
- Add a dishwasher: Anything in your rental property that has the potential to add convenience to a tenant’s life is a major bonus. Trust us, this will not go unnoticed! Make sure that if you do opt for a dishwasher in your property, you go with one that is stainless steel to add a sleek, modern look.
- Amp up the storage space: Another thing that most renters look for in a new home is functionality. They want a place that has enough storage for their belongings, so we recommend finding creative ways to keep adding storage to the home.
- Include central air conditioning: Having AC is a huge win for tenants that is often considered a luxury. If renters are able to avoid suffering in the hotter months of the year, they will.
- Include off-street parking: This is especially appealing if your rental property is located in a busy area. Having a driveway or a carport can really pique the interest of any renter who owns a car. If your rental property is in an area that tends to get more snow, then a covered parking spot is a major plus.
- Invest in appealing outdoor living spaces: Whether it’s a deck, balcony, patio, or backyard, many tenants love the idea of having an outdoor space that they can enjoy during the warmer months. If you can, make this area appealing to prospective renters so that they can really see themselves enjoying the space.
- Install a fence for the yard: Including a fully fenced yard can be a huge plus for most tenants, but this is especially important for tenants with pets. Even for tenants without pets, fencing can add more privacy to the space, so we think it’s worth investing in if you own a single-family home with a yard.
- In-unit washer and dryer: According to recent studies, about 77% of renters would not choose a rental home without a washer and dryer. This comes back to the convenience factor. Are you able to make your tenant’s lives easier? Many tenants are willing to pay extra for these small conveniences, so it is definitely worth considering!
Rentals and Renovations: Bottom Line
At the end of the day, if you own a rental property, there is a wide range of upgrades and renovations that you can do in order to increase the value of your investment and attract tenants.
From large projects that include knocking down walls and replacing all of the flooring, to small touches such as replacing door knobs and cabinet handles, we recommend taking the time to go through your rental property and find your own unique set of opportunities for improvement.
If you have any further questions on how to increase the value of your rental property, contact Blanket today.
