To be successful in real estate investing, you need to ensure that your property remains attractive and desirable. However, with the tough competition amongst rental property owners these days, staying ahead of the competition has become more challenging.
As a rental property owner, you should know how to attract residents and get them to stay in your property long-term. After all, retaining good tenants is more advantageous than having to list your property on the market time and time again to get it re-rented.
One way to help you improve your occupancy rate is to perform important renovations on your rental unit. In the article, we at Keyrenter Property Management Denver will talk about some important renovations you can make to your rental home!
Things to Consider
Before you get excited about making home improvements, you need to keep the following essential tips in mind:
Set a Budget
Renovating a property is an investment, so you need to set a proper budget to stay within your financial means. Keep in mind that when it comes to performing renovations, it’s easier than you think to spend more than you planned. Be vigilant with your project plans and ensure that you don’t go overboard with your expenditures.
Plan Your Renovations Thoroughly
While it’s exciting to give your rental unit a total makeover, failure to plan ahead can be disastrous to your budget and the overall renovation. Make sure to determine which rooms need improvements and what kinds of renovations tenants tend to value most.
Don’t Prioritize Your Personal Preferences
You may have your own preferences when it comes to design and colors, but you have to remember that you’re not the one staying in the rental unit. To be safe, you have to keep things neutral so you can attract a wide pool of prospective renters.
Stick to Improvements that Boost Your Property’s Value
If you are short on budget or you’re not sure what improvements to make, stick to those that will either increase the property’s overall value or generate interest from prospective tenants.
5 Rental Property Renovations
Here are the top five renovation tips that can help improve your property’s value:
1. Kitchen
In any type of rental unit, the condition of the kitchen can either make or break a deal. Most renters these days want to spend a lot of time in the kitchen, so make sure that your kitchen is appealing to a wide range of tenants.
Here are a few tips that can improve your kitchen’s overall appearance:
- Replace Old Appliances: If your property is furnished, make sure that all appliances are in good working condition. Replace the old ones with energy-efficient ones, and ensure that they match for aesthetic purposes. Note that you don’t necessarily need to buy expensive brands.
- Repaint the Cabinets: If the old cabinets are still good and working, you only need to give them a fresh coat of paint so they will look brand new. You can also update the cabinet hardware.
- Invest in New Countertops: Granite countertops are the most preferred option, but if you can’t afford them, just choose a material that is sturdy enough to withstand wear and tear.
2. Bathroom
A modernized bathroom is something that will make your rental property stand out in the market. You may consider the following bathroom remodeling tips:
- Change the Toilet: If the toilet is old, it’s best to change the entire toilet. But if it’s still in good condition, then you only need to change the toilet seat.
- Add a Full Bathroom for Every Bedroom: Only do this if your budget permits. A full bathroom for every bedroom can increase your property’s value.
- Add a Vanity and Shelves: Make the bathroom more functional by adding vanity cabinets and shelves.
3. Flooring
When it comes to flooring, using carpets is no longer in fashion. These days, residents prefer hardwood floors. However, this material can be expensive. You may use other options like tiles or luxury vinyl. Make sure to replace the floor last so that it won’t collect dust and dirt while you are still renovating the other parts of the house.
4. Walls
Keep your walls clean and pleasing to the eyes. At the very least, you can opt to add a fresh coat of paint, using a bright and neutral color. Avoid using dark paint as this will make the room look smaller.
If you want the room to look bigger than it really is, you may opt to install some mirrors. If you want to make the rental home more welcoming and homey, you can also add some aesthetic decorations like a few framed paintings and other small accessories on the walls. Ensure not to overdo the decorations as some tenants will want to personalize the space a little.
5. Lights
One of the most important things that make the rental property homey is the lighting. Lighting can change the ambiance in a room. Use the proper lighting fixtures in different rooms, but make sure that they match each other.
If it’s within the budget, invest in smart lighting so that the tenants can control the lighting based on their preferences even if they are not in the house.
Additional Improvements
Other home improvements that will increase the value of your rental property include:
- Security cameras and alarm system
- Smart home technology
- Open floor plan
- Popular amenities like outdoor living areas, fenced-in yards for pets, and off-street parking
Conclusion
Renovating your rental home is a necessary step to increase its overall value. If you want to attract high-quality renters, you must set aside a budget for renovations and home improvements.
If you need help managing your rental properties, you can contact the experts at Keyrenter Property Management Denver today! We can help you maintain your units, screen tenants, market vacant properties and so much more.