As a landlord, there is a constant pull on the purse strings as to where to invest your money. While there are sometimes things that need your immediate attention, like a broken dishwasher or a leaky pipe, new renters are looking for updated amenities to help justify the rental price. If you are thinking about making your rental unit stand out to potential renters, here are two things that you can invest in and be sure to secure a good return on your investment.
Full or Partially Furnished
For new grads, or those starting over after a life-changing event, having a new place and new furnishings can help ease the transition to a big move. For long-term rentals, a furnished or partially furnished apartment can command up to 15-20% more in rent. (Short-term rentals can bring in up to 50% ). Keep in mind, this optional feature doesn’t come without its lists of pros and cons. While you may have to replace items due to natural wear and tear, you can also deduct a portion of the costs from your taxes.
In Unit Laundry
Renters are always looking for an amenity that will make their life easier. Having an in-unit laundry means not having to take your laundry elsewhere to get it done. It also saves time. According to the National Apartment Association, adding a washer and dryer unit can increase your rental income by 15%.
In 2017, the National Apartment Association produced a publication entitled, ” Adding Value in the Age of Amenity Wars.” This document is a great resource to help you determine if things like adding higher-end kitchen appliances are worth the investment or do ceiling fans make a difference? It is always good to know how much of an impact a seemingly small change can make on your investment property.