The majority of investors know that upgrading your Central rental properties on a consistent basis is an important way to keep them attracting tenants. Nonetheless, property improvements are also the key to adding value to your investment. A key factor to home improvement is knowing which ones actually add more value to the property. For rental property owners, knowing which improvements offer the best return on investment is critical to your business’s long-term success and profitability.
Kitchen: Prior to renovating your rental property, the first thing you should consider is the construction costs versus the expected gain in property value. In a recent nationwide survey, most home sellers indicated that kitchen updates offered the best return on investment (ROI) for the money spent. Nonetheless, the rise of property values isn’t solely based on an upgraded kitchen. On the contrary, minor updates, such as refacing cabinets, replacing appliances, or adding a new countertop, sink, or faucet can add significant value to your property without draining your funds.
Bathroom: If the rest of your property is up to date and well maintained, you can opt for small renovations to your bathrooms. In so doing, your property’s value will definitely shoot up. Consider covering old, worn tile tub and shower surrounds with a new fiberglass overlay. Place a new vanity and mirror, or consider painting the room a fresh, light color. Tile would be the better choice to use as a replacement for old vinyl flooring. Tile is a really popular choice among many since it has a lot of long-term benefits. For one, it lasts a long time without needing constant replacement. And, it’s not even that much more expensive than laminate flooring!
Stone Veneers: Interior and exterior upgrades are key to adding value; therefore, don’t forget your property’s curb appeal! First impressions can definitely be a factor in a rental property’s success, and its resell. Therefore, give your property’s exterior some attention, too. Adding a stone veneer to the front exterior of your property is a really good way to getting a return on investment. According to a 2020 report, replacing vinyl siding with stone veneer around an entryway, pillars, or lower third of your property’s front-facing exterior walls helped sellers recoup almost all of the cost of installing it. Going for an upgrade like this before selling will most likely lead to making your Central rental home more marketable and allow you to charge a higher monthly rent.
Doors and Windows: If you want a guaranteed and high return of investment, upgrade your garage doors and windows. If your rental property has a garage, it would be wise to replace the door if it already looks worn or damaged. A relatively inexpensive replacement, new garage doors offer a huge spike in the property’s resale value — just like stone veneers. The same thing is true of replacing old windows with new vinyl windows. Offering more than just aesthetics, new windows offer both security, and energy-efficiency, too. That being said, replacing old windows should be one home improvement to prioritize since it offers a high return of investment, as well!
Property improvements and upgrades can be expensive and time-consuming. But they are essential to long-term rental property investing success. Plan your budget and improve your Central rental property so that you can make sure that your property stays competitive and keeps growing in resale value.
Looking for tips to help you build a rental property that attracts both renters and buyers? Give Real Property Management Baton Rouge a call at 225-389-6860 to speak with a Central property manager today. We can help you evaluate your property’s current condition and suggest budget-friendly ways to ensure that your property stays competitive in rental and resale markets.
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