Cost Effective Tips to Increase Rental Returns
There are several ways you can increase your rental rate of return - from looking at your finances, to minor improvements and large-scale renovations. Here are some cost effective tips that we have used to help make our rental property more appealing to tenants.
The upkeep and on-going maintenance of your investment is the key to acquiring and retaining good tenants and can also help achieve increased rental returns.
- Kitchen - replacing, covering or painting high usage areas such as cupboard doors, door knobs, faucets and counter tops can be a quick and inexpensive way to freshen the overall appearance. In some properties we have even used contact paper to give the old counter top a fresh new look;
- Bathroom - clean and lubricate bathroom fans to minimize build-up of mould, replace any chipped tiles and missing grouting, re-caulk around bathtubs and vanity. Repaint painted areas, if necessary, using a mould resistant paint;
- Replace or clean blinds and curtains;
- Paint interior walls where required. We recommend painting and touching up at least once every 3 years
- Add a dishwasher or at the least a microwave
- Replace light bulbs with LED light fixtures and/or LED bulbs;
- Ensure the backyard/garden is as low maintenance as possible;
- New front door - a new front door can be an inexpensive way to create a good first impression. Keep your eyes peeled for a sale which is usually during the Spring and Fall months;
- Replace door knobs and passage sets;
- Add security or sensor lights - preferably LED
- Add storage shelves in a condo unit
Make it family friendly
Families looking to rent generally have more specific needs than other tenants, such as a bathtub as well as a shower, and fenced areas for children to play.
Make the property pet-friendly
To attract pet-owners you could add fencing or make sure your current fencing is pet-proof.
Large scale renovations
When you're renovating, it's important to make sure you don't over capitalize. However, if your property is due for a hearty revamp, here are some suggestions to consider:
- Paint the whole of the exterior
- Provide new laminate flooring
- Renovate the kitchen and bathroom
- Create an extra bathroom/bedroom
- Add an outdoor entertaining area or provide extra storage.
Remember, it's always important to consider other factors including expenses, interest rates and periods of vacancy. For more information contact your property manager.