Need Advice: Should I Have Remodeling Done During Tenancy
Hey BiggerPockets Community!
Hoping I can lean on some working experience for a current situation. I currently own a duplex and plan to renovate the kitchen and bathroom in one of the units as they are lagging behind the current market as well as my newly renovated downstairs unit. I currently have occupancy through next May (2019) for this unit and was wondering if I should renovate now or wait until they vacate.
I am a little tore because realistically I would not be able to raise rent to offset some of the improvement costs until this lease was terminated and the current monthly rent is already a tad below market without the improvements. On the other hand, these tenants have been fantastic (my best so far) and renovating with them present would help generate more goodwill and perhaps lead to extended tenancy and other network benefits (They are both nurses and may have co-workers who are looking for apartments). There is of course the other benefit of quick turnover if necessary as vacancy costs for these improvements would not be incurred.
I was going to split the difference and perhaps target the bathroom for now and the kitchenette later.
Any suggestions or other things to consider? Feel free to be blunt as well as I understand being "kind" does not always translate to success or reciprocity. Thanks!