There comes a time in the life of even new rental properties when they begin to look second-rate. Even with the best tenants taking the utmost care with every aspect of the property, the passage of time dates the internal colour schemes. Changes in fashion colours and treatments of kitchens and bathrooms make them look dated and tired, and it becomes more difficult to keep them rented in back-to-back tenancies.
Most investors don’t want to spend large amounts of money on renovations to their investment properties because they see it as a reduction in returns. However, when their properties consistently fail to attract quality tenants for weeks on end, it is our job as their managing agents to convince them otherwise.
1. Basic Renovations will Bring Back the Good Tenants:
Our Property Managers recommend that their owners do some upgrading, but they caution against spending too much on properties that will not appreciate in value as a result. The worst thing property owners can do financially is to over-capitalise their properties relative to the values in the area and the type of properties they own. This will affect the selling price quite badly if they do decide to sell out.
Simple renovations and do-it-yourself work can make a tired old homestead into a bright, attractive contemporary dwelling. The outside needs a careful inspection to identify any areas that need quick repairs, like securing that loose brick on the front steps. Any other obvious repairs should be attended to including the front fence and letter box. For a final touch to an old red brick dwelling, rendering and painting in a light, modern colour immediately brings the property into the 21st century.
2. Cleaning and Painting Costs Little but Improves a Lot:
Clean and paint anywhere inside that looks shabby. For a bathroom where the tiles, bath and vanity basin are in good condition but the colours are horribly outdated, spending a few hundred dollars on having them professionally spray painted will save thousands as opposed to replacing them. Spruce up the cabinetry with a glossy paint job and replace the fittings and fixtures with modern ones and the bathroom will look like a complete renovation. Similar results can be had in the kitchen using the same techniques.
Getting stuck into the concrete pathways and driveway with a gurney and some paving paint is a sure way to update the yard, and our Prudential Real Estate property managers will have no trouble finding excellent tenants.
To prove the worth of this work, check the value of your investment property by getting accurate home valuations done by a professional.
