If you’ve decided to invest in rental property, you may find yourself facing the task of a renovation. Often, you can get a good deal on houses that need a bit of work. This lets you put in less money upfront, but you’ll have to make some changes. If you’re ready to take on a rental property in need of love, here are seven tips for a successful rental home renovation.
- Search For Savings
First, let’s make sure you’re saving as much money as possible upfront. Here are some options to lower your out-of-pocket cost when buying your rental property.
- You already decided to choose a home that needs a bit of work, so great job there.
- Next, consider a home in an area that’s not super developed yet. These houses will be cheaper than those in well-known parts of town.
- Consider getting a vacation rental loan to cover the upfront cost of the house.
Once you’re certain you’ve saved what you can, it’s time to get to the reno.
- Set A Budget
This isn’t the most thrilling tip, but it’s a necessary one.
- Decide upfront how much money you have to spend on renovations.
- Make sure you won’t be investing money you won’t get back. Go with tried and true renovations that are sure to draw interest in your rental.
- Prioritize health and safety issues to avoid running into problems with building codes.
Set a realistic budget and stick to it. Going over won’t necessarily increase the amount of money you make later.
- Decide On A Timeline
You need to set a realistic timeline along with a budget. Here are some questions to ask yourself when you’re figuring out what your timeline should be.
- Is there a set date the renovation needs to be done?
- How long do renovations of this kind usually take?
- How long will it be before the renovation is over and you can rent out the property?
It’s important to consider potential conflicts in scheduling before you begin the work.
- Start With The Kitchen And Bathroom
If you don’t have any major safety issues to address first, start with the kitchen and bathroom. Here’s why:
- Kitchen and bathroom renovations are high on the list of preferred items for buyers and renters.
- Both areas involve your plumbing, and if there’s an issue with that you should find out in the beginning.
- These are the areas that involve appliances that may need to be replaced, which can get costly.
Kitchens and bathrooms are areas that need to be fully functional and attractive to lure in renters and buyers.
- Let In More Light
Why should you maximize the amount of natural light in a home?
- It makes a room feel lighter.
- People get a welcoming feeling from natural light.
- More natural light means less money spent on artificial lights.
Pay attention to the lighting in the space and decide how you can improve it.
- Add Energy-Efficient Windows And Doors
Adding energy-efficient windows and doors is a great update to make to a home.
- They lower the electricity bill by creating a tighter air seal in the home.
- They help keep the house at a comfortable temperature.
- They can lower your heat and air use by up to 30%.
This is a cost-saving feature as well as an eco-friendly feature so don’t forget to add it to the home’s description.
- Open Up The Rooms
If you don’t have the budget to make the house completely open concept, there are a few things you can do to create a more open feel.
- Arrange furniture in a way that doesn’t divide the room.
- Use a color scheme that makes a room feel bigger.
- Add mirrors to your decor to create the illusion of more space.
These little changes will have everyone swearing the house is bigger than it is.
Use these seven tips for a successful rental renovation and you’ll be seeing a return on your investment in no time.