All Real Estate owners want to increase the value of their property. Whether it be a rental or their own personal homes, it can increase equity and cash flow. For rentals, increasing value means being able to charge more for rent, making it easier to rent thus less vacancy time, attracting higher value tenants, and less turn over rate on those tenants. Before doing anything you must understand what your current market can handle. Trying to increase rent beyond the point of which your market can support can cause your apartments to sit vacant. Once you understand this you can understand the amount and quality that you should aim for to increase rent to supported and appropriate levels. Then as your market hopefully appreciates you can gradually make more changes and in turn increase rent. Some of the best ways to increase the appeal and value are;
Updated Plumbing Fixtures
When prospective tenants are looking at apartments remember that they are looking for a place they can call home. Everyone wants to live in a nice home. So when they are looking around the apartment, updated and clean plumbing fixtures can really catch the eye. Think about it this way, if before you moved in the sink was rusted and looks like it was 20 years old, would you want to live there? The first thought would be if this is what I can see, what can’t I see? Update with the times as often as affordable and suggestively at least every 10 years.
Low quality countertops are not always in your best interest. They might be cheap immediately but, they are not durable. Countertops see some of the most use in a home and discoloration, burn marks, and other damage can be easily seen and cause prospective tenants to find your apartments not appealing. If possible, countertops made of granite, slate, quartz, or other solid surface materials will boost the look of any room and will also add to the durability. Thus, the less repairs and replacements you have to do.
Probably one of the easiest ways to make a space look brand new is flooring. New flooring catches the eye very quickly and is something that a lot of tenants will even make a decision on. If there are scratches, breaks, stains, or whatever else you can think of damaging the floors it can make an apartment look terrible. Staying up on cleaning of rugs and maintenance on flooring can be a huge difference and speaks volumes to the type of landlord you are. Not to mention tenants might be afraid they might get charged for damages if the flooring continues to deteriorate.
Have you ever moved and realized just how much stuff you own? Whether it is consistently used or not most people have a lot of things that they need to keep. No one wants to just sprawl their things out everywhere to make their place look like a mess. Thus, appropriate and larger amounts of storage is one of a renters top priorities. Easy ways to add storage can depend on your property. Add some hooks on the wall, in wall storage, closet space, organizational systems, more cabinets and drawers in the kitchen locations, or even a shed on the property.
Working and updated windows can be a huge benefit of the property. Not only are they a main source of lighting for the property but, windows are also a key part of keeping heat and cold where they should be. Old and outdated windows can lead tenants to believe their heating/cooling expense will be higher than expected and in turn putting your rent cost in question as to high.
A roof should be maintained consistently. Not only does it look good for the house but, it protects the investment inside. Leaks and water damage are some of the most detrimental expenses and issues in a home. When it is left unchecked rot and water damage can compound to an issue that could cost a fortune. A roof is usually said to need to be replaced every 15 years. It is highly suggested to routinely have a roof inspector make sure your roof is in good condition.
People spend most of their time and energy at home in the kitchen and bedrooms. So a nice kitchen can be an instrumental to raising the value of a rental. This of course has been covered majorly in prior steps. But, things such as fridge, stove, or microwave if being left to the tenants can be something that can help make the place look inviting. Clean appliances that are working correctly and fully are great but, just as the plumbing fixtures, they should be updated periodically.
A bedroom is any person’s personal space. If you have followed the past items this should already be covered in full. But, if budget is an issue, it can be beneficial to make sure the bedroom is done well over other parts of the unit.
Clean and Comfortable
Over everything to increase a unit’s value, owners should focus on the goal of “Clean and Comfortable”. Cleaning the entire apartment of remnants and reminders of past tenants, a fresh coat of paint that brightens the room (light gray for example), and an appropriate amount of lighting can change the entire appeal of the apartment.
Remember when making improvements that it is all for nothing if your market and budget do not support it. You need to get a ROI from improvements just as much. But, always keep up with maintenance and shoot for clean and comfortable and you will find a good starting place for your improvements. How you keep your apartments says a lot about you as a landlord and can attract good tenants if they know you are willing to keep up with the units maintenance.
Don’t know where to start? Contact us here at Mr. Property LLC and let us take some of it off your hands. We appreciate you reading this and would love to hear your thoughts leave a comment or message us about what you think!