All of those investors who have purchased properties know that they will have to fix things up from time to time. But how do you prioritize which projects will give you the biggest bang for your buck?
I came across this interesting article by Jens Schoell and – while I certainly don’t agree with everything he suggests – there are some ideas to consider when scoping out your investment property projects.
Rehab Projects to Consider for Your Rental Property
If you own rental properties, then you know how important it is to earn as much revenue from them as possible. There are a few ways to do this. You could buy more properties, or somehow find ways to put more people in the same space, but one of the best ways to increase income from investment rental properties is to make improvements to the space that make them more attractive. Of course, they can’t be overly expensive or it will take too long for you to earn your money back, but a wise renovation will greatly increase your rental income for the long run. Here are a few rehab projects that make homes more attractive, without breaking the bank.
If you currently have tenants, they won’t appreciate it if you leave a bunch of new furniture in their space, but if you’re searching for renters, offering to include furniture in the deal can greatly improve the potential renter’s impression of the place. You don’t have to get fancy furniture, by any means, but it is important to find furnishings that are comfortable and reasonably attractive.
The walls are one of the most visible parts of a property. Consider repainting the inside walls if it has been a while and the paint is starting to peel. It’s also a good idea if the current colors are dark or dull, because that gives the place a tired, sad look, or if they are a wild or inappropriate color, such as pink or bright green. Painting, especially if it’s the right color, can make the place feel more alive, and will definitely attract new renters, and you can also offer to repaint for current renters if you’d like.
Appliances will certainly cost you more than new paint, but it will be very much appreciated by renters, whether they are new or current. Because appliances such as the dishwasher, laundry machines, and even stove and oven are such a big part of our lives, they affect us more than we realize. If the stove is rusty, or the dishwasher is stained, or the washing machine only works half of the time, it makes us feel dirty, or like our life is a mess. People don’t want to feel this way, and a rental that instead makes people feel like everything is just going right is sure to bring in more money.
Don’t tell your renters, but this one is really more for you than for them. By harnessing the sun’s energy instead of using the power out of the lines, you’ll save a considerable amount of money every year. Every situation is different, so do the math for yourself, but many solar panels pay for themselves in less than two years, and the technology is improving rapidly. Once you’ve had the panels installed and have started benefiting from the savings, you can also tell your renters that the property that they live in is environmentally friendly. Although it may not bring the masses rushing for your door, it’s sure to at least turn a couple of heads, and just might end up being the thing that seals the deal.
New light fixtures
Light fixtures tend to get especially dirty due to dust and bugs, so clean them often if you can, if not, replace them when necessary. This will keep your property well-lit and clean feeling, which will make your current and potential renters feeling happy.
Looking for more ideas for rehab projects that will make your rental property more attractive? Contact us at Center Street Lending, http://www.centerstreetlending.com We’ve been doing this for a while and just might have the perfect answer for you.
Article Source: http://EzineArticles.com/expert/Jens_Schoell/2278730
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