3 creative ways to add value to your rental property
August 2, 2016
A little DIY here, a splash of colour there – it’s amazing what a few small adjustments could do for the price of your rental property. And let’s be honest, who doesn’t want to be able to charge more rent? The great thing about owning a rental property is that the ball is in your court – there are endless opportunities for you to add value. Sometimes all you need to do is think outside the box.
Below are three creative ways to add value to your investment, without breaking the bank.
1. Rent the property furnished
Moving into a furnished property isn’t for everyone, but for some people, it can be a huge selling point. For example, city dwellers, university students, international visitors and young professionals would probably love the convenience of a fully furnished abode. So if you own property in a thriving city centre, consider furnishing it with some affordable yet stylish pieces.
Keep an eye out for sales, quality second-hand stores, trade me and of course do your research online – you can find some great bargains in today’s competitive furniture market.
Renting a furnished property also gives you complete control over how the home looks and feels. There’s only so much you can do to create ambiance in an empty house, but your options are endless when you supply furniture.
If you do decide to try this technique, you might also want to consider short-term leases. These appeal to students and overseas visitors, and they give you the chance to tidy up the property on a regular basis. What’s more, it’s much easier to put the rent up when you sign a lease with a new tenant, than to convince a current tenant to pay more.
2. Plant a low maintenance garden and maximise your outdoor entertaining area
A beautiful, well designed low maintenance garden can be a huge drawcard for tenants. Most people lead incredibly busy lives, so the idea of coming home to a slice of nature’s paradise in their own backyard is incredibly appealing.
If your property has an outdoor space, make the most of it instead of leaving it bland and boring. Invite your friends around for a planting party and fill this space with colourful flowers, or build an attractive fence to create privacy, and turn the area into an outdoor entertaining space. Many New Zealand homes have outdoor areas, but they are underutilized or neglected – don’t let yours go to waste.
Another way to add value is to offer to pay for someone to mow the lawns once a week or once a fortnight. This can be achieved at very little expense to you, but could be a great drawcard for your tenants.
3. Update the interior design
Any structural changes will cost a lot of money. But there’s a lot you can do to lift the overall feel of your rental without knocking down walls, tearing apart kitchens or renovating bathrooms.
Next time you’re in the property, look around every room and write a list of all the non-structural features you could update. This could include things such as:
Paint, Carpet, Curtains, Door handles, Shower heads, Semi-permanent fixtures, such as ovens and washing machines
Updating one, some or all of these features will do wonders for your property, and ensure it makes a good first impression. So put on your overalls, grab a paintbrush, unleash your DIY skills and add a few extra dollars to the value of your rental.