As a property owner, if you are seeking to boost the value of your rental property in 2024, you may adopt a highly proactive approach by starting with the treatment of your investment as that of the highest property – much like that of your own home.
After you’ve found the right rental property, its time to increase its value. Place an emphasis on a variety of different aspects. These include property upgrades, maximizing return on investment, and investment strategies. These combined with ensuring that the property remains attractive will guarantee you experience the highest level of profitability from the property. These strategies will aid in providing a boost to rental value and maximizing the return on your investment.
Curb Appeal is Critical for Boosting Value
The exterior appearance of a rental property is often referred to as its “curb appeal”. To make a great first impression, it is essential to consider the exterior appearance of the property. Minor aesthetics enhancements have the ability to result in major improvements to an investment property.
Examples include updating or adding shutters to the windows, applying a new coat of paint to the door, trimming and maintaining bushes and putting a modern touch on certain elements – such as the mailbox and the house numbers – can greatly enhance the value of the property.
It has been established that if you paint the exterior of the home, you can increase the value of the property by approximately 5%. You will find that by taking these steps, you can rent the property more quickly and that you can actually charge a higher rental price.
Easy Exterior Upgrades
There are several different easy exterior upgrades that may be done that will enhance the overall appeal of your rental property. These include – but are not at all limited to – the following:
- Installation of Window Shutters or Planter Boxes
- Replacing the Front Door
- Applying a New Coat on Paint on the exterior of Structure
- Providing an Upgrade to the Mailbox and/or the Address Plaque
- Maintaining the Lawn
- Investing in the Landscaping of the Property
In addition to increasing how much the property is worth, these upgrades will also allow you to secure a higher rental price as tenants will be more likely to pay more for a home that looks better.
Landscaping
Landscaping is considered to be an absolute essential aspect of a rental property’s curb appeal. If you want to increase the value of your rental property, you may do so in numerous ways – as far as landscaping is concerned. You may plant latticework that includes ivy, you may install hedges to provide a boost to the privacy of the property.
You may plant flowers to add a bit of color to the property, or you may add rare and exotic plant life to set the property out from others in the neighborhood. You may want to invest in a professional landscaper to make sure that the property is well-maintained. A beautiful ground will instantly increase the value of the property. When the value is increased, you will be able to easily justify increases in the rent.
Exterior Renovations
There are many exterior renovations that have the ability to render substantial types of monetary returns on a rental property. Examples include adding a new innovative type of garage doors, retractable awnings on the structure, and even the addition of new, weather-resistant vinyl siding. Strategic-based renovations on the exterior of the structure will allow you – as a landlord – to effectively market an investment property and establish a higher baseline in the amount of rent that is charged on the property.
Interior Renovations That Increase the Value of a Rental Property
The interior of your investment property plays a highly significant role in attracting tenants. By strategically renovating the inside of a property, you may make your property more inviting and attractive for tenants. The possibilities are nearly endless on the interior renovations that may be performed that will increase the overall value of the property.
Inexpensive Kitchen Updates
Renovations in the kitchen of the home not only increase the value of the investment property, but also impact the satisfaction of the tenants. The kitchen is often referred to as the “heart” of the entire structure. Updating this room with new and matching appliances, fresh paint, countertops that are modern, and similar activities may instantly attract tenants that are willing to pay more for living in the structure. Examples of inexpensive kitchen updates include the following:
- Making certain all main appliances such as the refrigerator, the microwave, and the stove all have the same type of finish.
- Painting the cabinets in the room and adding new handles to modernize the appearance.
- Upgrading the countertops to a material that is more durable and visually appealing.
The previously-mentioned upgrades for the kitchen not only improve the interior aesthetics, but also increase the overall functionality of the room. You will find that tenants appreciate the improvements and feel that the home is more valuable, overall. In turn, this could justify you charging more for rent.
Transforming the Bathroom
Updating the bathroom that is part of a rental has the ability to instantly increase the overall desirability of the property. There are many simple changes that you may make. Examples include replacing the toilet or just adding a new decorative toilet seat, installing new faucets, adding a new energy efficient showerhead, and even adding a new vanity. These may prove to be new standout features for tenants that attract them to the property. By investing in newer-looking, more modern bathrooms, you have the potential to attract higher-quality tenants and to charge more on your deposit and rent.
Update the Paint
In addition to those projects already mentioned, you may also update the interior of your rental by updating the paint on the inside of the structures. This can prove to have an absolutely profound effects on the general ambience on the inside of the structure. Paint can instantly transform an old, outdated space into a modern and highly attractive living area. Use the tips outlined below to help you:
- Choose paints that have neutral colors so that they are easy to maintain and they are appealing to a large range of tastes.
- Replace old and unappealing light fixtures with modern light fixtures that are energy efficient.
- Paint cabinets and old doors. Then, upgrade all of the hardware associated with the cabinets and doors – such as the knobs and hinges.
These simple improvements have the ability to instantly modernize your rental property and improve the overall marketability of the property to all prospective tenants. If the interior of your property is visually appealing, you will find that it can lead to an increased demand as a rental and you have the potential to charge higher rental fees and it will prove to be a worthwhile investment to you, as the property owner.
Flooring
Many property owners do not realize it, but flooring is crucial in enhancing the satisfaction of a tenant and in playing a role in the valuation of the property. In fact, it is considered to be a prime focus as it relates to investments. Olde carpeting, outdated linoleum, damaged flooring, and other bad types of flooring can be very off-putting to tenants. In fact, engineered hardwood flooring, beautiful granite tiles, and a lush carpet can lead to a cleaner looking space that is highly attractive.
You should opt for flooring that is durable and low-maintenance. This will attract tenants and will also help to reduce the turnaround costs between one tenant and another. Great flooring attracts tenants and provides enhancements between both aesthetics and setting a higher precedent for rental prices. The following outlines some of the best types of flooring for your rental property:
- Laminate
- Luxury Vinyl Plank
- Engineered Hardwood
- Porcelain Tile
- Ceramic Tile
What you will find to be true is that the right type of flooring can improve the appeal of your rental property, the durability of the property, and your overall return on investment.
Remember, you should choose flooring that aligns with the needs of your renters. For example, pet owners may have unique flooring needs to non-pet owners. Those that have mobility issues and disabilities may have unique needs. The goal is to go for flooring that is considered to be a value-adding improvement.
Conclusion
Rental property enhancements are responsible for playing a crucial role in maximizing the value and the overall competitiveness of a property in today’s market. If you make targeted investments in the appearance, functionality and durability of your rental property, you will discover that it is easy to make more money than other landlords in your area. You will be able to justify higher rents due to the added value. If you would like property management assistance, consider using the services that we offer here at Pioneer Property Management. You may learn more by giving our management specialists a call today at the following phone number: 720-839-7482
