Recent years have changed drastically the property market, tenants are prepared to pay more for good quality property, landlords must offer something that tenants want and are willing to pay more rent to have it.
I have been letting properties for over a decade, and in old days any property could be let, sometimes this was shocking, but this is how it was, now tenants require quality, if we are not able to offer this to them it always results in property stuck on the market for weeks. I have seen this many time, and many times when I was called to value the property I was suggesting changing the look of the property, sometimes just a few repairs, sometimes a total renovation. Those who have listen, have let the property quickly and for higher rent, renovation normally paid back between 12 to 24months and after was still achieving high rent.
Those who didn’t listen…. Normally it resulted on having property for weeks on the market and after when property was not let, owners decided to do the work, but that time when property was empty costed them money plus they had to spend another time for renovation so it normally resulted in property not bringing income for about 3 months, if this was done at the very beginning that lost time would pay for renovation…
There is no better way to increase rental property value than with relatively small initial investment which will pay off further down the line, but we need to be careful, I have seen those ones that when I went back to see after renovation I wished the work was never done, but I am glad this didn’t happen to often..
Some people go over the top and decorate a rental property like their own home, they spend way too much money on the renovation and the return will take a lot longer, it’s important to remember that it’s not you who’ll be living in it.
Some people go to basic and, and the value will increase but just a little.
My advice would be, when you’re decorating a property, it needs to appeal to the wide range of people possible. But you will know that area also attract different calibre of people. For example, if you have a property in Westminster, you can go very luxurious and you know you will let it for crazy money because there will always by a rich tenant who would love to live in luxurious apartment. But if you do the same work somewhere in Thornton Heath where annual salary most likely is less than monthly in Westminster that refurb will completely have no sense. So, it is important to make a wise decision, you need to know the area.
It needs to appeal to the wide range of people possible, but you must set realistic expectations.
Consider going for neutral colours and furniture, say NO TO MAGNOLIA, we are in 21st Century, everyone hates magnolia, go for white or grey which is a new magnolia these days. I actually love to make a statement that appeal to prospective tenants, it could be a touch of colour, for example one wall dark yellow or queen green, but again this all depends what kind of tenants you wish to attract and how much more rent you can charge.
Think about outside space, garden, however small, can be a great asset for increasing the rental value of a property, but it needs to be properly looked after so make it easy for tenants, decking is a great option.
Bike storage, most people have bikes, if you don’t provide storage they will bring them home, this will damage the walls.
If your property is located in a good area, consider going a bit extra, your property is in a competitive rental market, you might consider adding some special extras to attract tenants who are willing and able to spend a bit more.
Kitchen and bathroom have always been selling point, for example, you could invest in top spec kitchen units, nice contrast in between tiles and walls. Try to go for fully tiled bathroom, tiles are easy to maintain and last longer. You can achieve a luxury feel for a relatively affordable sum, but you must know how to plan, not too much and not too little.
Work with an expert
These tips will hopefully help you increase rental value, but if you need further assistance or guidance, please contact me. I am highly experienced in assisting landlords, and I look forward to helping you receive the best value for your rental property. You can also see some case study videos here:
CEO, Kings Accommodation