Investors generally know that upgrading their Royal Oak rental properties is key to making them appealing to tenants. Furthermore, such improvements can lead to a higher investment value.
Certain improvements can significantly elevate a property’s value. Rental property owners should recognize which renovations offer the highest ROI for sustained success and profitability.
Kitchen
Before renovating your rental property, assess the construction costs relative to the anticipated boost in property value. A recent survey across the nation revealed that most home sellers consider kitchen updates to have the highest ROI.
Yet, this doesn’t mean you have to entirely renovate the kitchen to enhance your property values. Rather, modest updates like refacing cabinets, replacing appliances, or adding a new countertop, sink, or faucet can rejuvenate your property’s interior without a big budget. This gives you the ability to make important improvements without overspending.
Bathroom
This same principle applies to bathrooms; even small updates can significantly increase value if your facilities are modern and appealing. Consider revamping old, worn tile tub and shower surrounds with a new fiberglass overlay. Put in a new vanity and mirror, or contemplate painting the room in a fresh, light color. Replace old vinyl flooring with tile to achieve an even better upgrade.
Tile offers substantial long-term benefits, lasting for decades without needing replacement and providing a more upscale feel than laminate flooring, without much higher cost. This assures you that your investment will withstand the test of time.
Stone Veneers
The first impression is vital in renting a property. So, why not refresh the exterior of your property? One of the best enhancements you can make is adding manufactured stone veneer to the front of your property. This upgrade not only revitalizes your property’s appearance but also boosts its appeal to tenants, providing a good return on investment.
A cost vs. value analysis showed that replacing vinyl siding with stone veneer around entryways, pillars, or the lower third of your front exterior helped sellers recoup nearly all installation costs. Enhancing your property before selling can raise profits by making it more marketable and allowing for higher rent prices.
Doors and Windows
Remodeling specific parts of your home can offer the best returns. Two notable areas are garage doors and windows. If your rental has a garage, consider replacing the garage door when it shows signs of wear.
Though it seems minor, a new garage door can greatly boost your property’s value, akin to stone veneers. Similarly, updating old windows with new vinyl ones improves aesthetics and enhances safety and energy efficiency. These upgrades can greatly aid in filling a vacant rental property.
Property improvements often demand significant time and money. Even so, these upgrades are crucial for the long-term success of your rental property investment in Royal Oak. By budgeting for regular upgrades, you ensure your rental property remains market-competitive and gains value.
To create a rental property that will attract both renters and buyers, call Real Property Management Metro Detroit at 248-808-6550 or contact us online. Property managers in Royal Oak can evaluate your property and suggest affordable solutions to keep it competitive.
Originally published: July 8, 2022
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