Renovating Your Rental Property the Right Way

 

Investing in renovations for your rental property can set it apart from competitors and maximize its appeal to potential tenants. By improving both the aesthetic and functionality of a property, you can create a compelling offering that has a better chance of attracting high-quality tenants. The secret to a successful rental property reno is knowing where (and how) to add the most value while staying within your time and budget constraints. Here are some of our favourite tips to consider before you start picking up the power tools:

 

Establish a Budget

Setting a realistic budget – and sticking to it – is the most important thing you can do before you start renovating. Ideally, whatever money you put into your renovation project should be recouped in the short-term through either increased rent or lower vacancy rates.

To stay within your budget, sometimes it makes more sense to scale back a project. For instance, giving an existing bathroom a facelift instead of creating a new bathroom from scratch might add the value you want at a much lower cost.

If you decide to hire a contractor for your project, thoroughly discuss your budget and timeline with them and be clear about your expectations. Signing a contract for the work with your contractor will ensure that both of you are on the same page.

Keep It Simple 

Keeping your rental property interior simple and updated can offer several advantages. Firstly, simplicity tends to have universal appeal, making your property more attractive to a broader range of potential tenants. A clean minimalistic interior allows renters to envision their style and belongings within the space, fostering a sense of ownership and comfort.

Go Green to Keep Energy Costs Down

Enhancing a property’s energy efficiency is something you might want to consider, especially if you include utilities in your tenant’s monthly rental costs. Lower utility costs for your rental property by incorporating elements such as energy-efficient windows, and a programmable thermostat. Upgrading insulation or appliances to newer, more efficient models can also go a long way to reducing your utility bills.

Take it Outside

Maintaining landscaping around your rental property is essential for enhancing its appeal. Whether it involves hands-on yard work or investing in quality lawn care equipment for tenants’ use, ensuring the grass and landscaping are well-kept creates a welcoming outdoor space. 

In addition to maintaining the yard, incorporating trees, shrubs, and flowers contributes to a visually appealing environment while attracting tenants who appreciate nature. Opting for native plants that thrive in your region will give your rental a well-maintained look while requiring less upkeep and water. Installing outdoor lighting and creating well-lit entry spaces can make your tenants feel safer when entering or leaving the property at night.

Check Your Permits

It’s important to acquaint yourself with the local building codes, permits, and regulations relevant to renovation projects. Depending on the scale of the renovation, securing permits from local authorities may be necessary. Neglecting to comply with these regulations could lead to penalties and project setbacks.

When in Doubt, Consult.

If you’re having trouble deciding what upgrades make the most sense for your project, consulting with experienced real estate agents and reputable contractors can provide insights into current market trends and tenant preferences. These professionals can help identify the renovations that will make your property stand out to potential tenants and increase its rental value. By leveraging their expertise you can make informed decisions that align with your budget and renovation goals, to make your rental property reno a success for both you and your future tenants.

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