If you’re not getting the quality of renters you want, it may be time to do some remodeling.
There are plenty of low budget upgrades you can do to add value to your property while adding eye appeal. The perceived value will allow you to get the rental rates you deserve and attract the tenants you’re looking for.
No matter what market you’re in, chances are if you’ve decided it’s time to remodel, you’ve probably got your sights set on the kitchen and bathrooms. Those are the best areas to start but don’t overlook other tasks that will impress and delight a prospective tenant.
In the Kitchen
- Remodeling a kitchen brings you one of the highest ROI.
- Upgrade the appliances to energy-efficient, they will last longer, save you money, and tenants are starting to expect them.
- Cabinets, like appliances, are the face of the space.If they’re worn and dated, you can save a lot of money by refurbishing/refacing them instead of replacing them.
- Again, like kitchens, bathroom remodeling produces a high ROI.
- You don’t have to go all out here, but sometimes it’s makes more sense to replace instead of refurbishing. The vanity, for example, is easy to replace and will bring a fresh look for not much money. Big-box retailers will have plenty of low cost, quality options.
- New faucets and energy-efficient low flow showerheads will give the space a modern, updated feel.
- A fresh coat of paint is arguably the best and easiest way to freshen up your rental. Don’t get too racy here, keep the transformation subtle by sticking to neutral tones.
- An inexpensive way to get a good return on your investment by appeasing more potential tenants.
- To ensure that they make it past the driveway to see what you’ve done inside, don’t overlook curb appeal.
- No need to go crazy here either, keep it clean, neat, and low maintenance.
- Keep a well-trimmed lawn, replace the mailbox if looks worn or install sensor lighting for safety.
- Give your front and garage doors or shed a facelift with a clean coat of paint.
Things To Be Aware Of
- It can’t be overstated enough, do not over remodel for your market, you’re renting a house, not creating your dream space.
- Plan to exceed your budget and time frame. Keep vacancy in the front of your mind. If your projects will make your property unrentable for too long, break it up into smaller jobs that can be done between tenants.
- You may like being a DIY landlord, but don’t exceed your abilities. There are laws and ordinances that you need to abide by. It’s best to contract work you are unqualified for or feel uncomfortable doing.
- Make safety a priority. Before you start doing cosmetic upgrades, make sure the structure, electricals, and plumbing are in good working order and up to code.
Higher Rental Markets
If your property is located in an area that demands higher rental rates, you might be able to get away with a bit more luxury. Understand your particular market and see what comps in the area are offering. Accents like crown molding or upgraded countertops will add perceived value to the space. As always, don’t over-renovate, do as much as you are sure you can recoup in rent.
As a landlord, you want to keep your expenses manageable while offering a clean and pleasant home to your tenants. As a DYI landlord, you understand your property better than anyone, repair what you can, replace what’s needed, and upgrade when it makes financial sense.