What is more valuable: 1/2 Bath or Laundry Room?

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What is more valuable: 1/2 Bath or Laundry Room?

Christian Bunte
Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes

What is more valuable for a 3br rental property: 1.5 baths and shared laundry OR 1 bath and private laundry room?

What is more valuable for a 2br rental property: 1.5 baths and shared laundry OR 1 bath and private laundry room?

Recently acquired a 2-story duplex (3br/1.5ba) and planning out the remodel. Currently the property has NO washers/dryers. There are two feasible options for adding a laundry room: 

A.) Place a shared washer and dryer in the detached garage. 

B.) Make the 1/2 baths into 2 private laundry rooms. 

I included 2br because we may end up making the downstairs openfloor plan by removing a bedroom. 

I feel that a private laundry room makes life much easier, but most people I have talked to say the 1/2 bath is more valuable to renters. What option will give me the highest rent? 


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Dennis M.
Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
6y

Every tenant I have without a W/D complains of going to the laundry mat for various reason’s .its nasty ( especially in bad neighborhoods) it’s time consuming ,it’s very expensive and often the machines are Grungy from folks taking their greasy mechanic and oil field clothes there . If I was to interview my tenants on what they’d pick given the choice they would resoundingly all agree to add a laundry area 

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  • John Teachout
    Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    6y

    We have a 2/1 that we plan to eventually convert to a 2/1.5 by adding a toilet to the laundry room. We already installed a laundry sink so would only need a toilet to make it a half bath. We can do that and still leave the machines in place.

    The only issue is that the direct route for the plumbing would go right through the air handler of the heat pump in the crawl space. We think we can still make it work by stepping down the sewer pipe.

    I used to hate going to the laundromat so to me, laundry would trump an extra half bath. But, depending on how many occupants are in the property, that preference could change. Can't have both?

    1Reply
  • Christian Bunte
    OP
    Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes
    6y
    Originally posted by @John Teachout:

    I used to hate going to the laundromat so to me, laundry would trump an extra half bath. But, depending on how many occupants are in the property, that preference could change. Can't have both?

    Having both is not an option :( The 1/2 bath is very small, only big enough for washer/dryer. Could leave the toilet but no sink. 

    There is the kitchen pantry adjacent to the 1/2 bath that is big enough for washer/dryer. But I am concerned it will be too expensive to plumb in drain and water lines. From my understanding, hooking up the drain would require digging into the concrete slab. 

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  • John Teachout
    Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    6y

    Well, if it's already a half bath, I probably would leave it as such. I'm sure some would prefer the bath and some would prefer the laundry. It is what it is so I wouldn't pay money to make it something different.

    0Reply
  • Lauren Kormylo
    Rental Property Investor · Phoenix, AZ and Rehoboth Beach DE · Member since 2019 · 1k+ posts · 1k+ votes
    6y

    @Christian Bunte  You couldn't keep both toilet and small sink if you used a stacking washer and dryer?  Or do you already plan to use stacking and still can't fit the sink?

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  • Pat L.
    Rental Property Investor · Upstate, NY · Member since 2012 · 3k+ posts · 3k+ votes
    6y

    If you could access the 1/2 bath sink vent piping in the wall adding the drain for the washer wouldn't be a slab breaking issue. We added a stackable w/d in a kitchen party about 12 years ago & it's still in great shape & the tenants love it.

    Then a gain maybe it's time to think outside the box :)

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  • Christian Bunte
    OP
    Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes
    6y

    @Pat L.

    So the drain pipe could snake inside the drywall to meet the 1/2 sink vent pipe (~8-10 ft distance) without issue? 

    Wow, also don't want to feel like I'm playing Russian roulette every time I use the toilet either. 

    1Reply
  • Dennis M.
    Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    6y

    Every tenant I have without a W/D complains of going to the laundry mat for various reason’s .its nasty ( especially in bad neighborhoods) it’s time consuming ,it’s very expensive and often the machines are Grungy from folks taking their greasy mechanic and oil field clothes there . If I was to interview my tenants on what they’d pick given the choice they would resoundingly all agree to add a laundry area 

    3Reply
  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    6y

    Talk to a plumber as you should be able to connect the w/d to the plumbing from the half bath and put them in the pantry or a closet.  Otherwise, I'd keep the half baths.

    1Reply
  • Christian Bunte
    OP
    Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes
    6y
    Originally posted by @Dennis M.:

     If I was to interview my tenants on what they’d pick given the choice they would resoundingly all agree to add a laundry area 

    I completely agree that a public laundry is a major headache, just think of all the time and money wasted for the horrible service provided!

    Unfortunately the numbers don't agree with us. The consumer wants what the consumer wants:

    In 2003, the National Association of Realtors came out with a study on the characteristics that increase and decrease the price of new housing (assuming all other characteristics, i.e. square footage, remain the same). Here is what it found:

    • Full Bathroom: 23% increase
    • Partial Bathroom: 15% increase
    • Garage: 13% increase
    • Central Air Conditioning: 12% increase
    • Fireplace: 12% increase
    • Basement: 9% increase
    • Close to Golf Course: 8% increase
    • Higher Ceilings (9 Feet): 6% increase
    • Additional Bedroom: 4% increase
    • Laundry: 2% increase
    2Reply
  • Christian Bunte
    OP
    Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes
    6y

    Welp, always check your sources people.

    I checked the source of the study (above) and they completely botched the data?! The report actually says, "Laundry in the basement DECREASES the value of the home by 2%" It says nothing about laundry vs no laundry.... 

    1Reply
  • Anthony Rosa
    Rental Property Investor · New York City · Member since 2019 · 703 posts · 538 votes
    6y

    If the county records show half bath then id say leave it as a half bath. Plus, Kitchens and bathrooms sell!  

    I like the idea of placing the washer & dryer in the detached garage because if the washer leaks it won't affect the apartments.  You can probably get a full size W&D, section off an area in the garage for the washer/dryer and add some shelves and folding table. 

    There are lots of apartment complex's where access to the washer and dryer requires a very short walk to the next building.

    1Reply
  • Sylvia B.
    Rental Property Investor · Douglas County, MO · Member since 2014 · 1k+ posts · 1k+ votes
    6y
    Originally posted by @Christian Bunte:

    Welp, always check your sources people.

    I checked the source of the study (above) and they completely botched the data?! The report actually says, "Laundry in the basement DECREASES the value of the home by 2%" It says nothing about laundry vs no laundry.... 

     Even if the data is correct for home purchases, I don't think it applies to rentals. There is no way in the world I can get 23% more rent for an extra bath, but another bedroom adds much more than 4%!

    0Reply
  • Matt P.
    Investor · Columbus, OH · Member since 2015 · 625 posts · 601 votes
    6y

    @Pat L. That's amazing

    0Reply
  • Dennis M.
    Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    6y

    the national association of realtors doesn’t have to drag all their crap in baskets to the laundry mat and sit with meth/crack heads that stink like BO for three hours while their clothes are being washed in grungy expensive machines in a bad part of town . That study is about as useful as tits on a turtle in the real world

    1Reply
  • Steve K.
    Realtor · Boulder, CO · Member since 2016 · 3k+ posts · 5k+ votes
    6y

    @Christian Bunte I would not get rid of the half baths. That’s like taking a step backwards, why get rid of two perfectly functioning bathrooms? Shared laundry in the garage sounds like a better solution, but have you considered adding small over/under stackable W/D elsewhere inside the units? I wouldn’t go as far as the photo with the machine above the toilet, but we have some units in older buildings with small stackable W/D units located in some pretty creative spots that work just fine, such as in the closet of a bedroom, a crawl space or even in the kitchen. Tenants don’t seem to mind. I know some landlords prefer not to have laundry at all as it can be a leak liability (always use metal hoses not the rubber ones that corrode, and having a floor drain in the room is obviously nice) plus it creates another expense/headache to repair/replace. However I find units without them have higher turnover, and I hate turnover more than anything so I think it’s a good idea to add if reasonably possible. Some landlords just provide the hookups and let the tenants worry about the machines to avoid the hassle and expense of paying for and maintaining any “superfluous” appliances. It’s probably becoming more common to simply provide them in most markets. The stackables used to be unreliable and got a bad rap which persists but the newer ones are much better in my experience. The ones that are both washer and dryer in the same unit (combo) are junk in my opinion and cost just as much as the stackables while taking up just as much space so no real benefit over a stackable.

    1Reply
  • Kaveh Jafarabadi
    Member since 2019 · 6 posts · 2 votes
    6y

    @Christian Bunte 1.5 bath for 3 Br and private laundry for 2 Br

    2Reply
  • Christian Bunte
    OP
    Rental Property Investor · Houston, TX · Member since 2019 · 16 posts · 6 votes
    6y

    @Steve K.

    Thank you for the thorough response! I never thought about the higher turnover, makes since that people would be more inclined to stay if it is set up like a “ forever home”.

    We have been racking our brains for the past week trying to think of a decent alternative to the garage.

    Pantry is an option, but my S.O. disagrees about removing that too.

    Kitchen would be possible, but there isn’t really any way to conceal it?

    Bedrooms closet seems negative b/c the inhabitant wouldn’t have anywhere to hang their cloths...

    The duplex is a slab foundation so drain instillation/ creative plumbing is too much trouble right? (I don’t know b/c I’ve never had to break concrete for a rehab)

    0Reply
  • Steve K.
    Realtor · Boulder, CO · Member since 2016 · 3k+ posts · 5k+ votes
    6y

    Hard to say what the best solution is without seeing your units, but from your description it sounds like maybe the pantry would be my choice (if there is a way to drain). Yes a drain through the slab will be difficult so I would go on the opposite wall of a bathroom/sink or in the kitchen and share and existing drain. The ones we have in kitchens are incorporated into the cabinets and share the sink drain. Yes it’s a little strange to have W/D in the kitchen but really not that bad if done well, you could even hide a small stackable behind a cabinet door potentially if you thinks it’s too much of an eye sore. Mine are next to the dishwasher against the outside wall and it’s really not that bad, tenants really don’t mind at all in my experience because they’re happy to have laundry in their unit and these are older units with some classic charm which always comes with some trade-offs and funkiness vs. a more modern building. I would go look at the smallest W/D units available, get the dimensions and figure out where all your existing drain lines are then brainstorm the best location based on those things, sounds like what you’re doing already just hard to say without seeing your layout.   

    0Reply
  • Steve K.
    Realtor · Boulder, CO · Member since 2016 · 3k+ posts · 5k+ votes
    6y

    If nothing makes sense within the units the shared detached garage isn’t too bad of an option either assuming it’s heated with plumbing and electricity, the bonus there is you only have to buy one W/D unit. As long as you can check yes in the listing that you have laundry on-sight, problem solved. I wouldn’t sacrifice a perfectly good bathroom if there is any other way as bathrooms are important too especially with resale value. 

    0Reply
  • Stacy PrestonPro Member
    Realtor · Indianapolis, IN · Member since 2018 · 32 posts · 14 votes
    6y

    @Christian Bunte

    Option A - shared laundry in garage - leaves you open for tenant issues/disputes that could be a huge pain in the neck.

    I’d go for laundry in each unit and forgo the 1/2 bath.

    0Reply
  • Shannon C.
    Rental Property Investor · San Francisco, CA · Member since 2017 · 9 posts · 14 votes
    6y

    As a long-time renter, I'd say for the 3-bedroom you definitely need 1.5 baths. For the 2-bedroom, 1 bath and private laundry might be better. 

    As others have said, if there's any creative way you can fit the washer/dryer in the unit that's even better. I would definitely forego a pantry in favor of W/D.

    If you can't, though, shared laundry between only two units shouldn't be that bad for the tenants - still beats dragging stuff to a laundromat. Any way you could put two washers and two dryers in the garage?

    1Reply
  • Quincy Lockett
    South Holland, IL · Member since 2017 · 374 posts · 432 votes
    6y

    @Christian Bunte

    That study was return on investment in remodeling the existing laundry room in a house. A house is expected to have a laundry room.

    0Reply
  • Joseph R. Smith
    Rental Property Investor · Carthage, NY · Member since 2019 · 72 posts · 47 votes
    6y

    Hands down, the 1/2 bath is more valuable to renters. And more valuable to the investor, hands down. The half bath adds to property value, and adds to the market rent in either the 3bdrm or 2 bdrm case.  Moreover, I would NEVER convert an existing additional bdrm into a more open floor plan. I just did the opposite on a property. Converting an open floor plan into an additional bdrm. A single wall costing a few hundred dollars to put in increases the value of, just say a $100K 2 bdrm property by 15K making it 3 bdrm, and commands an additional 20% or $300 per month in rental income. I believe the rule of thumb is 15% value added by a 3rd bdrm vs. 2. I do not know the % increase in value of having the 2nd 1/2 bath offhand. Less bdrms or bathrooms will also decrease your market for tenants. Many tenants who could get by with a 3 bdrm 1.5 bath, could simply never even look at a 2 bdrm 1 bath. 

    2Reply
  • Rhonda McDaniel
    Realtor · Tulsa, OK · Member since 2019 · 76 posts · 42 votes
    6y

    @Christian Bunte have you considered a stackable washer dryer in smaller unit? Very little space. I’ve had laundry room’s consist of just washer dryer in my master closet, washer dryer behind double doors off the kitchen, and in the garage. In the garage is my least favorite.

    1Reply
  • Whitney Castillo
    Member since 2019 · 6 posts · 3 votes
    6y

    For whatever it's worth, I have moved from a rental because it didn't have a laundry room, but I never moved because I didn't have a 2nd bathroom. 

    2Reply
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