Have you ever wondered how to increase your property’s rental appeal while potentially boosting your income? Welcome, savvy landlords! Our discussion today revolves around a common question: renting your property furnished. 

We’ll delve into the potential benefits, drawbacks, and considerations for making this potentially lucrative decision. So, pull up a chair, as we navigate the landscape of furnished rentals in today’s bustling property market. Your journey to enhancing your landlord prowess starts here!

What Does a Furnished Apartment Mean for A Landlord?

So, when we say “furnished apartment,” what exactly do we mean from a landlord’s perspective? Picture an apartment where a tenant can walk in with just a suitcase and start living comfortably from day one. That’s a furnished apartment! Let’s break down what you might typically find in a furnished rental unit:

  • Living Room Furniture: This usually includes a sofa, coffee table, television, and sometimes additional seating or shelving units.
  • Dining Furniture: Typically, you would find a dining table with enough chairs for the maximum occupancy of the unit.
  • Bedroom Furniture: Expect to see beds (with mattresses) in every bedroom, along with storage furniture like wardrobes, dressers, or bedside tables.
  • Bathroom Essentials: A furnished rental unit may also include essential bathroom items such as a shower curtain, a set of towels, and a bath mat.
  • Lighting: This includes overhead lights, as well as lamps for additional lighting in living spaces and bedrooms.
  • Window Treatments: Curtains or blinds for privacy are typically included.
  • Decor: While not always the case, some furnished apartments might include additional touches like artwork, mirrors, or rugs to make the space feel more home-like.

entryway of home

Remember, “furnished” can mean different things to different landlords, and the level of furnishing can vary. Always clarify with potential tenants what your furnished rental includes to ensure everyone’s on the same page.

Reaping the Benefits: Advantages of Furnished Apartments for Landlords

Here are some advantages that a furnished apartment can offer to a landlord:

  • Higher Rent: A furnished apartment generally commands a higher rent than an unfurnished one. The convenience and readiness to move in are factors tenants are often willing to pay extra for.
  • Short-Term Leases: Furnished apartments are often rented on shorter lease terms. While this can mean more frequent tenant turnover, it can also offer you greater flexibility in using or changing the terms of your property on relatively short notice.
  • Tax Deductions: In some regions, you may be eligible for tax deductions on the depreciation of furniture and appliances you provide in a furnished rental.
  • Competitive Edge: While advertising your property, offering a furnished apartment can make your property stand out from other listings and attract tenants looking for the convenience of a move-in ready home.
  • Potential for Corporate Leases: Some businesses look for furnished apartments to house their employees who are in town for short-term work assignments. These corporate leases can often be more lucrative and reliable.

Remember, while these advantages can be significant, they should be weighed against potential challenges such as higher initial investment, increased maintenance, and potential for damage. The right decision depends on your individual circumstances, market conditions, and tenant demographic.

landlord on phone call with tenant

Facing the Challenges: Drawbacks of Furnished Apartments for Landlords

While furnished apartments can certainly offer some advantages, it’s equally important to consider the potential drawbacks. Here are some points that landlords should keep in mind:

  • Higher Initial Investment: Furnishing an apartment requires a significant upfront cost. Buying furniture, appliances, and all the necessary items to make the unit ready for tenants can be expensive.
  • Increased Wear and Tear: With more items provided in the apartment, there’s an increased risk of damage and general wear and tear. This means potential repair or replacement costs.
  • Greater Maintenance Responsibilities: As the landlord, you’re responsible for the upkeep and maintenance of all the provided items, which can be time-consuming and costly.
  • Short-Term Tenancies: While this can be a benefit in terms of flexibility, it can also be a downside. Higher tenant turnover means spending more time and resources on marketing the property, screening tenants, and managing move-ins and move-outs.
  • Potential for Longer Vacancy Periods: Depending on the market, furnished apartments may have longer vacancy periods. They tend to appeal to a specific subset of tenants, and if there’s lower demand in your area for such accommodations, it might take longer to find the right tenant.
  • Risk of Overcrowding Your Space: Over-furnishing an apartment could potentially make spaces look smaller or feel cluttered, which might turn some potential tenants away.

furnished living room

These potential cons should be carefully weighed against the benefits when deciding whether to rent your property furnished or unfurnished.

Bottom Line

There you have it, folks! The decision to rent your house furnished is a balancing act, weighing the pros and cons to suit your unique situation. It can change how you price your rental, as well as alter how you market and care for your property. 

Remember, every landlord’s journey is different, and there’s no one-size-fits-all answer. In such instances, seeking professional advice can make your life a lot easier. 

Keyrenter Denver, with its industry expertise and local market knowledge, is always ready to guide you through these important decisions. Let their team shoulder the complexities, while you reap the rewards. Here’s to making savvy, stress-free choices in your landlord journey. Happy renting!