A surprising 66% of US workers would move abroad for a higher paying job, according to one survey. However, along with big relocations abroad often comes with an apartment hunt, and the logistics that follow — like shopping for new furniture. For landlords, one way to cater to such an audience is by furnishing rentals beforehand. From the major benefits to important aspects that you should consider, here’s what you need to know.
The benefits for renters and landlords alike
Furnished rentals offer a myriad of benefits and perks to the right tenants, especially those looking to move abroad. For instance, a fully furnished place can immediately bring less stress to those who are looking to cut down the cost of moving all of their previous furniture abroad, and because of that, it can make the move much more realistic and easier to plan. Additionally, a furnished rental can offer a considerable amount of freedom and less stress, particularly when it comes to accommodating those who may be moving abroad short term, or those who may not have had much time to plan in the wake of a job relocation.
On the other hand, offering furnished rentals brings benefits to the landlord as well. If your target audience for renting is those that are coming from abroad (such as rentals located in tourist locations), it’s imperative to keep in mind that due to the high demand, furnished rentals are likely to be filled much more quickly as opposed to an unfurnished rental, which can be great for business. Additionally, with factors like demand and the cost of the furnishings, charging more for rent is another benefit to look forward to.
Some things worth considering
When considering whether or not you should furnish your rental units, there are some drawbacks and even potential risks to keep in mind before fully diving in. For example, while fully furnishing a rental is a major way to draw in renters from overseas, it’s necessary to keep in mind that there is a lot of time, effort and money that you’ll need to invest in upfront — including the cost of the furniture itself, you’ll likely also spend a chunk of time assembling, designing, and tastefully staging the space beforehand.
Furthermore, it’s also important to keep in mind that you’ll need to update your furnishings over time — especially when it comes to household appliances. However, by choosing to furnish the rental with reliable, quality furniture and appliances, you can ensure that both you and your tenants reap the benefits and peace of mind that come along with the investment. For example, by choosing a refrigerator from a reputable manufacturer that has positive reviews, you (and your tenant) can rest assured that you won’t have to worry about frequent breakdowns or repairs: the manufacturer's quality standards will play a large role in how long your fridge will last.
The value in a fully furnished rental abroad
When choosing to furnish your rental properties, it’s necessary to keep in mind that there are generally two options when doing so, both of which offer their own benefits. For example, while semi-furnishing a rental isn’t as all-inclusive as fully furnishing, it still offers valuable, basic furnishings to tenants that can set the stage for their new life abroad and allow for more personalization. However, fully furnished rentals are known to be quite inclusive, and involve providing general furnishings as well as helpful details like kitchenware. Consequently, this brings the major benefit of being completely move-in ready for tenants, who will need such a feature upon arrival in a new country. As a landlord, fully furnishing can allow you to charge higher for both the rent and security deposit, making the idea well worth considering if you're willing to invest the time and money.
For landlords who have rental properties and wish to change things up, furnishing your rentals is a great way to do so. However, while you can cater to a specific market and are able to charge more, it’s important to keep in mind that there are drawbacks to consider when making the decision.