Are you a landlord looking to increase ROI for a rental property? If so, then you’ve come to the right place! In this blog post, we will be exploring practical and actionable ways in which landlords can maximize their returns on investments. With an eye toward profitability, let’s dive deeper into how any savvy landlord can boost their ROI with premium assets.
Offer Something Extra to Tenants
When it comes to finding the perfect property, it’s not just about the basics of bedrooms and bathrooms. It’s about what sets a property apart from the rest. Maybe it’s a prime location with access to all the best restaurants and shops. Or perhaps it’s a fully renovated space with top-of-the-line appliances and finishes.
And let’s not forget about the allure of a refreshing swimming pool, perfect for those hot summer days. Maybe you can include utilities or Internet at a flat rate in the monthly rent. Whatever the extra might be, it’s important to ensure your property offers something unique and practical to attract potential renters.
Keep It Up to Code to Keep It Occupied
Habitability is an important part of successfully renting out a property. You can increase the return on your investment by keeping it rented. This can be easier said than done if a property doesn’t meet all basic safety standards.
Maintaining electrical, plumbing, and heating systems is crucial for every rental property; if something isn’t up to code, tenants can use the habitability clause in their lease to be relieved of their obligation to pay rent or even stay in the property.
There also needs to be working smoke detectors and carbon monoxide detectors in your rental property, and any hazards like mold or lead paint have to be mitigated. Don’t take shortcuts when it comes to the structural integrity and habitability of your rental property, otherwise, you’ll end up paying the price as the landlord.
If you’re not sure if your property is compliant, call on expert engineers, architects, and inspectors to help. Especially if you’re dealing with large-scale rental apartment buildings. In that case, a big project is best handled by qualified professionals, like Anderson Engineering. They specialize in customized solutions for big projects.
Address Small Maintenance Issues Before They Become More Expensive Ones
Maintaining a home can be overwhelming, but there are low-cost techniques that can make it more manageable. Performing preventative home maintenance checks on your rental property can catch small problems before they become big ones, saving you money in the long run.
Regular deep cleanings can also make a big difference in the health and appearance of a home. Whether you collaborate with your tenants to facilitate these or simply require quarterly cleanliness inspections, you can ensure your property doesn’t fall into disrepair due to neglect.
Use Smart Technology to Save Money
In today’s digital age, incorporating smart technology into your rental properties is becoming increasingly important. There’s an initial overhead investment, but in the long run, this tech can save you money on operating costs.
Just think, it can cost over $100 to rekey a house between tenants; if you opt for a keypad or touchless entry instead, you save money every time there’s turnover. Digital thermostats, outdoor lights, and cameras with sensors can increase the comfort and safety your home offers to renters.
Making upgrades to our homes and businesses that promote sustainability not only helps to reduce carbon emissions but can also save money in the long run. Smart appliances can also increase energy efficiency and reduce overhead costs for your renters, making your property stand out against others with higher monthly rents or utilities. From energy-efficient light bulbs to smart fridges, there are many options available for those looking to improve their energy consumption.
Focus on Renovations With the Greatest Impact
When it comes to investing in home renovations, it’s important to choose wisely. Not all upgrades will add significant value to your property, so it’s crucial to focus on the ones that will. Burbach Exteriors recommends increasing curb appeal with upgrades like a new driveway, garage door, or a fresh coat of exterior paint. Not only will this improve the cosmetic appearance of your home, but its functionality for tenants as well.
Consider updating your siding, windows, and doors to boost your home’s curb appeal and energy efficiency. These updates will not only enhance the look of your home, but they’ll also help reduce energy bills in the long run.
Updated kitchens and renovated bathrooms are also smart investments as they tend to have a high return on investment. Let’s take a look at some of the numbers as reported by renofi.com:
- New HVAC: 103% ROI
- New garage door: 103% ROI
- New stone veneer siding: 102% ROI
- New front door: 95% ROI
- New fiber cement siding: 89% ROI
- Mid Range kitchen remodel: 86% ROI
- New vinyl windows: 69% ROI
- Midrange bath remodel: 67% ROI
By putting your money into these key areas, you’ll be making smart choices that will benefit your bank account.
Invest in a Property Management Company to Maintain Your Assets
Managing a property takes more than just owning a physical asset. It requires constant attention to marketing, leasing, and maintenance. This can be a daunting task, especially for property owners who have other responsibilities.
That’s where a company like Rhino Property Management company comes in. By partnering with a property management company, owners can focus on other aspects of their lives while the professionals take care of everything property-related. From finding and screening tenants to ensuring that the property is well-maintained, a property management company takes on the burden of managing the space, allowing owners to reap the benefits without the stress.
With their expertise and knowledge of the industry, property management companies can help property owners maximize their profits and minimize their headaches.
From enticing extra amenities like swimming pools and updated appliances to reliable low-cost maintenance techniques, proper safety regulations, energy efficiency upgrades, and aesthetic renovations– all of these pieces of the puzzle work together to manage profitable rental properties. Taking the time to invest in each of these options will ultimately be worth it for any landlord looking to increase the value of their property.
And if you need help along the way, there is no better option than relying on a trusted property management company. With individualized guidance from an experienced partner, landlords will have access to the best resources that provide them with every tool they need to successfully navigate the rental market. Get started on your journey today – your future success awaits.