Realtor · VA · Member since 2019 · 10 posts · 2 votes
I always see people talking about throw some paint on top of everything clean the floors and update the kitchen. But what about wanting to make a rental more convenient for tenants? Maybe I'm just getting to much into it but things like kitchen setup is terrible for flow fridge is on one wall stove is on another sink and a little bit of counter space? No windows to let light in? Do landlords ever think of how would this benefit me if I had to live here? I understand not replacing $100 things with $2000 things but small things to make life a little easier for tenants is that a bad mindset to have for owning rentals?
Do it when you remodel anyway, not just because. For example if you are replacing the cabinets and countertops that is the time to rearrange the layout/ flow.
Do it when you remodel anyway, not just because. For example if you are replacing the cabinets and countertops that is the time to rearrange the layout/ flow.
@Bradley Lemen Kitchens and bathrooms are the most expensive areas in a unit; you can easily spend a year's rent there. So unless I am remodeling we paint, caulk and clean, and flooring if needed.
People pay for convenience. They will swear they don't when you ask them straight up but then they absolutely will when faced with a choice. I say go ahead and make small changes that will make your tenant's lives easier. Save the major things like a kitchen redesign for when the renovation is due.
The overall concept of wanting to make a unit/property more attractive to potential tenants is 100% correct. However, if I understand your question correctly, why doesn't EVERYBODY do it? Then easy, it's not feasible. Two high level main factors are market and operator. When you have a small mom and pop investor owning one or two SFR, they may not think of these things period or it just doesn't make sense to do and/or they just don't have the money and they either can't get a loan or a loan will take a very long time to recoup.
The reason I agree with you that it's possible. Professionally done, luxury apartment complexes around my area. You can find some very well planned units, and they are going for the low low price of about $3-5/sqft for a 500-600 sqft studio.
Where it makes sense, sure. It's definitely a matter of ROI, and some of that may be not directly monetary. I try to keep my properties in good shape to attract better quality tenants, and many times they see that I keep the property in good shape so they do too.
For example, my condo tenants are happy with their utility bills because ive our in new furnaces and AC units. Their neighbors (albeit owners) complain about their high utilities, and my tenants keep their mouths shut. Sure, a brand new Hvac system is pricey, but it will/should last 20-30 years and I feel I’m making it back because my tenants can afford to rent my unit, ie less turnover.
I think it very much depends on the situation and if it is a real problem or personal preference. A door that won't open because the toilet is too close to it is a problem; a kitchen light that isn't quite centred in the room, not as big of a deal. I find what I think works well is different from what others things is a good layout and different people have different needs. Someone who doesn't do a lot of cooking will usually be fine in a kitchen with little counterspace. As others said, wait until you need to replace the kitchen cabinets to do a major reshuffle.
We always upgrade our older units, but raise the rents accordingly & it works well for us. We do all the work ourselves so it's more time than $$$.
Another we bought had a 30 yr old furnace & when we were made aware of the high heating costs the two old ladies (lived there 14 years) were paying we offered to install a new HI Efficiency furnace & raise the rent $225/month. They asked if we could install central a/c & they offered to pay the extra for it. So we did it & 8 years later they are still there & paying on-time.