How do I increase value in a four family

Question

Hi, I’m looking for ways to increase the value of my four family without displacing tenants to do renovations. One unit that I’m living in is already renovated as a mini split new floors all that.

Hi, I’m looking for ways to increase the value of my four family without displacing tenants to do renovations. One unit that I’m living is already renovated as a mini split new floors all that.

I’m looking for ways to improve it, cost effective, increase value and keep tenants. I will raise some tenants rents slowly and I’m not selling now but I want the property to be the most expensive I can when I do sell.

Some of the ways would be to pave the driveway right now it’s just rock Dirt, etc. Another one would be new stairways and decks that lead to the apartments either brand new or paint them. I have a large basement, but it’s too costly right now with these rates to add a unit, but I was thinking of finishing one side for tenants to be able to use in the unit that I’m living in (I will move out in the next year or so). I have whirlpool washer and dryer maybe upgrade them to speed queen? The front yard has no plants maybe some trees or one tree? The heating systems are separate. They’re all electrical baseboard except my unit may be upgrade them to mini splits? Or fans electric heat? What about hot water heaters? I have four old ones and the non-working fifth one for the laundry that nobody seems to care about. If I replaced all five would that add value? I could add storages downstairs, but only the market rate unit would probably be able to afford it but in the future, they may all be market rate units so should I add four storage units down there? There’s no lead no asbestos building was built in 1991.

Jim McWethy · Answer

Separate water and sewer meters to each apartment. Then in the next lease shift responsibility to the tenant. You can hold the rent steady, but your expenses go way down. People pay for what they use. Not disruptive to tenants. When you go to resell, NOI is higher due to reduced expenses, dividend by CAP rate and you have your elevated sales price. If a tenant moves out, renovate the apartment to command more rent, another NOI bump.

Elealeh Fulmaran · Answer

Smart move keeping tenants in place. Prioritize value that boosts NOI and appraisal without heavy disruption: pave or gravel the drive for cleaner parking, replace unsafe stairs/decks or at least tighten, paint, and add railings, and give the exterior a quick win with lighting, mailbox numbers, and simple landscaping for curb appeal. Inside, focus on turnovers: fresh paint, durable LVP, bright LED fixtures, new hardware, and water‑saving fixtures. Offer paid add‑ons that don’t disturb units now—secure basement storage cages, locked bike area, and coin/ app laundry; upgrade to reliable laundry units if maintenance is high. Consider mini‑splits at natural vacancy to cut utility load and raise rent justification; baseboards can stay until turnover. Swap old water heaters only as they fail or if you’re standardizing for reliability. Track each upgrade’s cost versus expected rent bump to avoid over‑improving.

Denise Supplee · Answer

Hi @Eric Girard Small, visible upgrades that improve curb appeal and tenant experience often give the best ROI without major disruption. Paving the driveway, fresh paint or repairs to stairways/decks, adding some landscaping or a tree, and upgrading appliances like washers/dryers can all increase perceived value. Replacing aging water heaters is also smart—it improves reliability and can be a selling point later. Finishing part of the basement for your unit could add long-term value, but only if costs are reasonable. Focus on improvements that are noticeable, durable, and enhance tenant satisfaction.