If you have a rental property that is not producing the expected returns, it may be time to take steps to increase its value. If you don’t know where to start, here are a few tips that will help you improve the value of your property to levels you never expected.
Update, Update, Update
The first thing you need to do is update any old and outdated features. Whether it be the shower heads or kitchen tiles, invest in making the home feel newer. Remember, there is no need to break the bank; you are simply updating features to make the house feel less old.
Try Boxing Day air conditioner deals, look for home sales, and research new additions and features to add to your property.
Make the Basics Extraordinary
The one mistake many owners make is they take “the basics” too literally. An easy way to instantly increase the value of your property is to take the time and try to find the very best basics on the market.
Choose great paint for the walls, spend a bit extra on the light fittings, have a garden that has a few nice plants or trees, etc. These things don’t go unnoticed when a tenant is looking at the property, and they will recognise the value that is being added.
Invest in Areas That are Important to Tenants
Always spend the most time and money in investing in the areas of the home that are the most important to tenants. These areas are typically the kitchen, bathroom/s, living area, and the garden, especially if they have children.
These are the areas where tenants will be spending most of their time. Therefore, a state-of-the-art wine cellar, for example, doesn’t have the same appeal as a beautiful living area or bedroom.
While subtle, having ample storage is another simple way to add value to your property. When tenants don’t have to buy storage solutions themselves, they are often more than happy to pay the extra rent to have said storage included.
Make the Space More Homely
Another way to increase and then further justify the value of your rental property is to make it feel more like home. One of the biggest turn-offs a potential tenant could have is walking into a property and it feels cold and almost unwelcoming.
Use cosy and comfortable paint colours, lighting, etc, to make the space feel lived in; tenants are more likely to feel at home in the space if it feels like one.
Improve any Outdoor Space
If your property has a garden or an outdoor space, don’t underestimate the power it has to increase the value of the property. Whether it be a garden or a simple balcony, taking it to the next level is a must.
Hire a gardener for the day to trim and manicure the garden and plants, or spend a bit of money repairing and updating a balcony space and adding useful features such as shading or a built-in BBQ.
When in doubt, a surefire way to add value is to include furniture in the space. While the furniture you add will depend on the budget, you can keep it simple by adding a kitchen island, outdoor furniture, or something else that not everyone will have.
It is important to note that you shouldn’t completely furnish the space. This will not only cost a lot of money, but you would need to compensate for the investment by increasing the rent to a point where most people can’t afford it.
High-tech or practical security features are another brilliant way to increase the value of your property. These features can range from security gates to something like Ring doorbells. Security is important to tenants, and they will be willing to pay more, as they know they aren’t paying for the feature itself but rather the peace of mind it offers.
One quirk you may stumble across is that some tenants may not like the fact that you have a well-maintained garden or a space that requires a lot of cleaning. If they are very busy or don’t have a lot of time on their hands, they may choose to live somewhere that doesn’t have these responsibilities.
To combat this, having a cleaning or gardening service on your books means that the potential tenant will often be more happy to live on the property and pay for the services, simply so they don’t have to do them themselves.
Finally, if you have the budget for it, investing in a few unessential extras can drastically increase the value of your property. Adding a hot tub, a large shed for gardening and DIY, a room designed for working out, etc, are all features that a tenant wouldn’t know they needed until they saw it.
As implied earlier, these features will cost money, but they also add a ton of value to the home or apartment, as well as bring in far more interest from potential tenants.