When it comes to home improvements, property owners must choose updates that have the most impact on a rental property's ROI. Instead of rehab projects that might not pay off, renovations that attract the best renters and boost the bottom line should be prioritized. So what does the best property management company Atlanta offers recommend? Here are ten renovation ideas for maximizing your rental property's ROI.
1. Let There Be Light
Ensure that all rooms have ample natural or artificial light to give renters a sense of safety and security in the home. Poor lighting can often be dreary and make the space feel small. Home rental companies suggest upgrading light fixtures as a great way to increase visual appeal for prospective tenants.
2. Bring In Technology
Smart technology is a buzz phrase to describe anything from Wi-Fi to electric cars. However, one thing they all have in common is making people's lives more comfortable and convenient. Residential property management companies recommend saying "yes" to the right smart technology to boost your return on investment.
Some examples of smart technology for a rental property include:
- A learning thermostat. This thermostat can be controlled remotely with a smartphone or computer.
- Smart locks. These devices allow renters to lock and unlock the home remotely (without a physical key).
- Wireless doorbells. Give residents an additional layer of security with a doorbell camera and video.
- Smart lights. Like smart locks, renters can turn lights on and off through a smartphone app.
- Fast internet. With more people working from home, a fast internet connection is imperative.
These technology updates are often low-cost items with a big payoff!
3. Upgrade the Curb Appeal
Before they even step inside, curb appeal is the first thing renters see. It's essential to make a great first impression. What do property managers recommend to do that?
- Keep bushes and trees trimmed neatly
- Add flowers or other plants at ground level for color
- Clean up clutter around the front door
- Fix broken steps on stairs
- Power wash siding
- Repair or replace gutters
- Add outdoor lighting
These upgrades don't have to be expensive, but renters will notice these touches quickly when they drive up to the property.
4. Install Modern Flooring
Upgrading the flooring in rental properties can help attract the best renters. New laminate or tile flooring looks nice and has many practical benefits for residents. For example, it's easier to clean and maintain than carpeting, which means less wear and tear on floors.
5. Add Square Footage
Another way to attract the best tenants is by adding additional square footage. Many renters now look for dedicated office space and extra storage areas. Look for ways to convert under-utilized space into something usable.
6. A New Paint Job
A new paint job can make a rental property look brand-new. This, in turn, will help to attract better renters and increase your return on investment (ROI). Choose colors that will make a great first impression and appeal to quality residents.
7. New Countertops In the Kitchen
When rental owners install new countertops, they see an immediate improvement to the look and feel of the kitchen. Plus, renters notice too! This might seem like a superficial update, but it can help attract the perfect tenant. Renters look for more than functional spaces. They also want areas that they can show off to friends and family when entertaining in the home.
8. Don't Forget to Update the Bathroom
One of the best investments you can make with your rental property is to update the bathroom fixtures. This may seem like a small project, but it has an outsized impact on attracting high-quality tenants.
A property manager recommends:
- Painting bathroom walls
- Regrouting around the tile
- Replacing light fixtures
- Installing a new vanity
- Replacing the hardware on cabinets and doors
These quick updates can help you improve returns by reducing vacancy times.
9. Water-Saving Fixtures
Many renters are looking for ways to conserve water at home. Landlords can help by installing fixtures that reduce water usage, like dual-flush toilets and low-flow showerheads.
10. Energy-Efficient Appliances
Some renters prioritize an energy-efficient home. Installing eco-friendly appliances in your rental property can be beneficial for both you and your renters. New appliances often require less energy to function well than outdated appliances, so renters enjoy lower utility bills. Plus, renters will often pay higher monthly rent for homes with new, energy-efficient appliances!
Partner With a Property Management Company to Boost ROI With Renovations
Renovating your rental property can be a great way to increase the ROI and attract better tenants. If you're not sure about the renovations that can help the most, consider partnering with a full-service property management company!
Revolution Rental Management helps real estate investors identify updates that help maximize returns. We also have a network of reputable contractors to handle the work. When it's time to market the home again, our property management services include professional marketing and tenant screening to place the best quality residents.
For a deeper dive into boost returns for a rental property, download our free resource, "10 Things You Should Do To Increase the ROI for Your Investment Property."