If you own rental properties—from a multifamily unit or two all the way up to entire apartment complexes or condo developments—you want to make the highest income possible on those properties.
If you, like most investors, purchased existing properties (rather than new builds), then you have a pretty good idea of the value of those properties. You also know what the market is willing to pay in rent.
But you’d like to get more, right?
Savvy rental property owners are always looking for ways to boost rental property value (and thus, rent rates).
Location Is Everything, But Curb Appeal Is a Close Second
Everyone knows the old maxim, the one that says that there are only three factors that matter in real estate: location, location, location.
We’ll grant that. Location is everything to a prospective buyer or renter. But assuming we’re talking about properties you already own, you can’t do much about the location. Running a close second to location, however, is curb appeal. And that’s something you can do a whole lot about.
This isn’t exactly rocket science: If your multifamily unit looks like a cheap rental property, you’re going to get cheap rental property rates. If it looks like a place you’d want to live if you were looking for an apartment or condo, chances are it’s going to rent for much more.
There are countless ways to improve your property’s curb appeal. The difference between a drab, 1970s appearance and an up to date one could be as simple as a coat of paint in a striking modern color. Paint the exterior doors in your property a contrasting yet bold color for an added visual touch.
Consider refreshing the landscaping as well, especially near entrances and in places that face the road.
Repair the Insides Right
Damage happens over time in the rental property industry. There’s no way around it. The properties that sag in value are the ones where damage lingers, or where landlords take shortcuts in repairing the damage.
Anytime you have a unit that comes vacant, take time to do a detailed inspection. Repair anything that’s broken or malfunctioning, and spend the time and money to do it right.
When a prospective tenant tours your vacant unit, consider the negative impact of unmade repairs. On the flip side, if everything looks the way it should and functions properly, tenants will be more eager to pay a higher rate.
Renovations Aren’t Cheap, But They Make a Big Difference
In some properties, updating the curb appeal and keeping up with interior repairs aren’t enough. To boost your rental property value, you’re going to have to do more. Renovations are an excellent way to increase your property value and rents.
The problem with renovations is, of course, cost. They’re always expensive, and your costs can shoot up if something unacceptable is found in the process of renovation, like asbestos or mold.
That said, renovations make a huge difference to prospective tenants. Refreshing kitchens and bathrooms to be more in line with the tastes of 2020’s consumers will do wonders for your average rent rate— and your occupancy rate.
Of course, not every rental property is “worthy” of luxury cabinets and granite countertops. But no matter your price point, a modern look and configuration will make a difference.
Upgrade On-Site Amenities
If your rental property is a larger complex with amenities for residents, some upgrades in this arena can make your property much more attractive. Do you have a fairly spartan pool? Evaluate what it would take to add some resort-style features, like loungers and umbrellas. Or consider adding or refreshing a business center and fitness area.
Provide Next-Gen Internet Service
Internet service for multifamily and apartment housing can be a frustrating experience for tenants. It can be slow, and service calls always take too long. And yet high-speed internet access is increasingly seen as a requirement for tenants, not a perk.
One great way to differentiate yourself from your competition and to add value to your rental properties is to offer next-gen internet service like what you can get from Starry. One trend we saw in 2019 and that continues into 2020 is internet quality and choice being a frequent factor in rental decisions.
Don’t get left behind with slow, outdated internet. Make the switch to Starry as a part of your plan for boosting rental property value in 2020.