When it comes to making improvements to your investment properties, there are some upgrades that offer a guaranteed return for the money – and others that don’t. One frequent mistake that Cambridge owners of rental property can make is investing a lot of funds on upgrades that don’t add a lot of value to their property or simply don’t do enough to boost the overall appeal of the rental home to soon-to-be residents.
Understanding which upgrades to avoid can help you spend sensibly in the right kind of property improvements. Industry experts largely agree that when it comes to upgrades, the three items you may want to skip include elaborate landscaping, installing hardwood flooring, and updating the closets.
Neat, minimal upkeep landscaping is a tempting factor for a rental home to have. Most renters want a garden that looks pretty but isn’t difficult to maintain. Upgrading your rental property’s landscaping by growing a lot of gorgeous plants and trees or designing lovely flower beds alongside a broad, lush lawn area may seem like an important addition to your rental property. After all, curb appeal is a big component of the perceived financial worth of a rental home.
However, going ridiculously excessive and setting up a high-maintenance yard is money misused because it doesn’t really boost the property value or to renter well-being. Furthermore, although your renter might initially be drawn to the gorgeous landscaping, he or she may soon realize that it’s too much of an inconvenience and disregard your property or choose to leave. When it comes to landscaping a rental property, simple is more appropriate.
Who hasn’t enjoyed the sheen of an elegant wood floor? They are a favored choice for many proprietors because of their classy and refined style. But wood flooring also requires a lot of upkeep and can be easily marred by water leakage or other accidents. Also, how adequately will renters take good care of a hardwood floor? So, while wood flooring is another upgrade is something tenants may enjoy, most renters are happy with a low-maintenance comparable option. Remember, genuine hardwood is also one of the more financially substantial upgrades, which means you likely won’t reclaim the cost of installation, even if you raise the rent.
When it comes to closets, we know that bigger is better. Residents need adequate storage space to feel comfortable in their rental home. What they generally don’t need, however, are custom closet systems with extra features. The issue with spending money on closets is how little it adds to your property value compared to how much they cost. Upgraded closets simply aren’t a good investment. While a resident might enjoy a fancy closet, most renters are just as content with a few clothing rods and standard shelves.
When it comes to closets, everyone has heard that spacious is preferable. Tenants need sufficient storage area to feel satisfied in their rental home. What they normally don’t necessitate, however, are custom closet systems with special add-ons. The problem with spending money on closets is how little it augments your property’s worth in comparison to how much they cost. Upgraded closets just aren’t a wise expenditure. While a tenant might appreciate a special closet, most renters are just as appeased with a few simple clothing rods and standard shelves.
As you can see, it’s astute to be careful about where you put your investment dollars. Keeping your Cambridge rental homes secure, pleasant, and cost-effective is the way to prosperity. At Real Property Management Boston we’re here to assist and easily available to give you handy guidance on maximizing the returns on your investment properties. Contact us online or call us at 617-996-0708 today.