Tenant Proofing rental

Tenant Proofing rental

Annie BalagotPro Member
Member since 2022 · 22 posts · 12 votes

Hi,

we just purchased a SFH in Austin that is only a few years old, however, has builder grade brown carpet that is generally OK once cleaned but thinking I want to replace all the carpet with good quality laminate now as this will be a long term rental and would reduce cleaning and fixing on each turn. But while looking at lots of other homes for sale and rent, most have carpet in living area and bedrooms. Is this typical in Austin? I live in NY and everyone hates carpet. I want to make sure I'm not going to alienate renters who expect carpet.

Thanks!

Annie

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Bruce WoodruffPro Member
Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
4y

Forget what the tenant wants. They will be fine with any nice looking flooring. You need to put in what will work for you in terms of durability and easy repair......

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  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
    4y

    Forget what the tenant wants. They will be fine with any nice looking flooring. You need to put in what will work for you in terms of durability and easy repair......

  • Real Estate Agent · Atlanta, GA · Member since 2020 · 1k+ posts · 1k+ votes
    4y

    @Annie Balagot, I can't speak specifically on behalf of the Austin market, but if other lease comparables are indicating market value rents and limited vacancy with carpeted rooms, then more often than not leaving your rental carpeted should not be an issue. The reality is, there's a huge rental demand in booming cities like Austin. Prospective tenants can't be beggars when a marketed rental has received 20+ applications. To play it safe, I would double-check all leased comps within the area and note those that are carpeted from those properties that have laminated flooring. Furthermore, run your numbers to determine if the expense of installing laminated flooring will eat into your ROI significantly. Hope this helps!

  • Austin, TX · Member since 2022 · 7 posts · 1 vote
    4y

    Congrats on your Austin purchase, @Annie Balagot.  To answer your question: I don't think you will alienate renters with laminate.  You see carpet in older homes more here but not as much in newer, updated homes.

    I live here in Austin (26 years) and WOW it is a hot market.

    Best of luck!

    Steve 

  • Annie BalagotPro Member
    OP
    Member since 2022 · 22 posts · 12 votes
    4y

    @Michael Dumler Thanks for your reply. Yes, the flooring would eat into the ROI but thinking in the long term, it will save costs of carpet cleaning and replacement in a couple years, and reduce turnaround time, and I think I can get 50% bonus depreciation if I do it in the first year versus a few yrs down the road. Also, would like to price slightly higher rent unless renters want/expect carpet, which is my main concern. Wondering if there are any agents or property managers in Austin that might be able to chime in on the desirability of carpet - though I can't imagine anyone liking basic brown carpeting.

  • Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes
    4y
    Quote from @Annie Balagot:

    Hi,

    we just purchased a SFH in Austin that is only a few years old, however, has builder grade brown carpet that is generally OK once cleaned but thinking I want to replace all the carpet with good quality laminate now as this will be a long term rental and would reduce cleaning and fixing on each turn. But while looking at lots of other homes for sale and rent, most have carpet in living area and bedrooms. Is this typical in Austin? I live in NY and everyone hates carpet. I want to make sure I'm not going to alienate renters who expect carpet.

    Thanks!

    Annie


     Hi Annie, 

    I cannot speak on Austin area although in Columbus I have found tenets tend to like hard wood/laminate floors. It is easy for them to buy a rug if they really do want carpet. 


  • David SandvigBusiness Member
    Real Estate Agent · Austin, TX · Member since 2018 · 63 posts · 48 votes
    4y

    I think that's a good idea.  I've got 5 units in Austin. I generally look at rental properties that are already hardened up as a plus.  I don't think you'll alienate anyone by going all laminate; I've had one property like that and it rented just fine.  A couple of other ideas: sealed concrete can look nice and is very low maintenance.  I'm not sure if that's more difficult/expensive than laminate though.  I've got one property with sealed concrete that was like that when I bought it, and it makes for very easy maintenance.  Alternatively, I know some people add to their lease that the tenant will pay for a professional carpet cleaning as part of their move out.

  • Annie BalagotPro Member
    OP
    Member since 2022 · 22 posts · 12 votes
    4y

    @Steve Ward I appreciate your feedback! Would love to hear your thoughts being an Austin native. My husband has wanted to buy in Austin for years but we had trouble selling our NY apt and now we finally did and Austin was crazy! We were doing a 1031 so didn't have much time and lost out on many other homes so can't say it was the most financially solid transaction, but think over time, Austin will be very successful for us as we can manage for the long term. We bought a SFH 4/2 in Hornsby Bend, near the Tesla factory. There's not much there yet but hoping proximity to Tesla and the airport helps to grow that area.

  • Ryan KellyBusiness Member
    Real Estate Broker · Austin, TX · Member since 2018 · 1k+ posts · 1k+ votes
    4y

    @Annie Balagot I own several rentals in Austin and work with a ton of investors. Don't overthink it. Austin is not different from any other market. Most investors, buyers, and tenants today prefer a "wood look" floor. This can be wood, laminate, vinyl, or ceramic tile. I prefer a luxury vinyl plank (LVP) flooring for rentals and they seem to hold up well. If the carpet is in good shape, it shouldn't affect the amount you can rent for much and you could simply replace it when the next round of tenants move out. Just do what you prefer and congrats on the new property.

    Ryan Kelly Group - Keller Williams5110 Reviews
  • Austin, TX · Member since 2022 · 7 posts · 1 vote
    4y

    Hi @Annie Balagot - well it's hard not to be biased.  I LOVE Austin and I see the evidence of its popularity every day.  I constantly run into people who have moved here from near or far (Ireland and Bogata, Columbia are some recent new friends I have here who picked Austin).

    The fundamentals for Austin are really positive.  The lifestyle, amenities, education system, higher ed (UT and others), outdoor life, "weird" in a good way vibe, tech and non-tech entrepreneurship....just a great mix to my mind. 

    Every other week it seems some big corporate relo is being announced so I think demand is going to continue to be strong.  Anyone I know who is looking to buy or even rent is having trouble finding housing or are putting in bids on homes which have multiple competing bids.  

    Happy to help answer any specific questions too.  Cheers and hope I can help in some meaningful way.

    Steve



  • Contractor · Canton, GA · Member since 2015 · 107 posts · 81 votes
    4y

    @Annie Balagot

    For 30$ more on resale, I’m seeing stained concrete floors in newer homes. That’s crazy…but less is more. - Van Der Rohe

  • Rental Property Investor · Atlanta, GA · Member since 2016 · 60 posts · 53 votes
    4y

    @Annie Balagot love this topic.

    Question for you: can you get more rent with nicer floors? I would assume so regardless of the market you are in. It gives the unit a more cleaner and modern look. Imo it's also easier to maintain.

    One tip: go for laminate flooring that has 12 or mm thickness. This will last longer and also increasing the padding in case it's an apartment unit with a top and bottom apartment. This is slightly more expensive but worth it. I recommend going to the pros like LL flooring and not home depot when shopping so you can learn more about the tradeoffs and figure out which floor type to go with.

    Good luck!

  • Investor · NY · Member since 2019 · 171 posts · 80 votes
    4y

    I would say in just about any market LVP is more desirable than carpet especially for rentals, it is the national trend of today. Generally speaking if you see carpet in 2022 it is simply for cost reasons. On an older home that person decided to not fork over the cash to pay for upgraded flooring. On a newer flip/build that person went over budget and probably added carpet in 1 or 2 bedrooms to scale back expenses to make the numbers work better.

    We typically do LVP on everything and carpet on stairs. You can charge more for LVP and they are way better with pets than carpet giving you the ability to charge more rent for pets and increasing your tenant pool. 

  • Jared HottleBusiness Member
    Real Estate Agent · Cedar falls IA Waterloo, IA · Member since 2020 · 902 posts · 549 votes
    4y

    Unsure on Austin but as a general rule of thumb in both real estate sales and renting people are liking the LVP or hardwood in the kitchens/living room, tile or vinyl in the bathrooms and carpet in the bedrooms. Personally I do LVP in living/kitchen, carpet in bedrooms and sheet vinyl in bathrooms or mudrooms but I definitely would leave your carpet until it is worn out. No sense in changing something that is not ruined especially if you are able to rent it quickly.

  • Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    4y

    All up to you, if you believe you will have long term tenants with a low vacancy rate carpet may be a better option. I always put LVP in my rentals to avoid the turnover expense. 

  • Member since 2020 · 671 posts · 937 votes
    4y

    @Annie Balagot

    I think the best description I've ever heard of carpet is that it's the biggest filter in your house.

    We've always had good luck installing a nice, but cheap tile from Home Depot, having a talented handyman install, and throwing an extra case or two in the garage in case a tile breaks over the years.  So easy to turnover new tenants as years go by and the costs are very reasonable. 

    Originally, we started with carpets, but the constant cleaning (and less than stellar appearance after even one turnover) led us to the tile. 

    Good luck with whatever you choose!

  • Dave SpoonerPro Member
    Rental Property Investor · Cincinnati, OH · Member since 2020 · 869 posts · 823 votes
    4y

    Hi @Annie Balagot, congrats on the purchase! I believe you do what you believe will look great rather than what the current market has...tenants will want to stay as long as it looks good. Carpet, in general, makes places look older and a lot dirtier in my opinion. 😀

  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
    4y
    Quote from @Chris John:

    We've always had good luck installing a nice, but cheap tile from Home Depot, having a talented handyman install, and throwing an extra case or two in the garage in case a tile breaks over the years.  So easy to turnover new tenants as years go by and the costs are very reasonable. 

    Yes tile is probably the next best thing to a real hardwood floor. Some people think it's a little cold feeling, but the newer 'wood look' tiles are ok. Also consider engineered wood over vinyl....vinyl is just so, well, cheap looking, I hate it, even for a rental.....


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