GAmanda Boccalatte, property manager, illustrates how putting a fresh coat of paint on a client’s house can increase the value. IVING your investment property a facelift could simply give you an extra $ 50 in your pocket each week.
Landlords can often reap major rewards by carrying out minor improvements to their rental property with increased property value, greater appeal to better quality tenants and higher rental returns, says LJ Hooker Edge Hill principal Ross Moller.
Not all improvements to investment properties need to cost the earth, he said.
Mr Moller said a fresh coat of paint or new carpet were simple, but effective ways of helping to improve the internal appearance of a rental property.
“ There are some small and inexpensive improvements that can make a huge difference to the appearance of your rental property and help it stand out from the rest,” he said.
“Externally, it could be something as simple as ensuring that lawns are moved and garden beds are in order and that paths and driveways are clean.
“ For older properties a fresh coat of paint or even some new guttering or roof repairs may help. Landlords need to ensure the quality of all work carried out is good as shoddy work can easily detract from the value of a property.
“Certain tasks also need to be done by a qualified tradesperson.
“Where the budget allows, updating old kitchens and bathrooms with new appliances can also provide added value to an investment property.
“Similarly, simple installing an airconditioner or a dishwasher may prompt a prospective tenant to pay a little bit extra for a particular rental property.
“If the property is furnished well then you will get a better rental return and clean furniture is desirable. If the property is fully furnished new flat screen televisions, a good refrigerator, good beds, lounge and dining suites are essential to attract the best tenants and rent.
“ The tenants are more likely to take better care of the furniture if it is in good condition.”
“By completing renovations the owner will firstly rent the property much quicker and also achieve a higher rent. This will reduce down time and therefore costs if the owner has a mortgage.”
Mr Moller said owners of units are advised if the block is poorly presented then they should encourage the body corporate and other owners to ensure the unit block is well presented with the gardens well maintained and each owner making sure their property presents well.
Mr Moller said it was important for landlords to do their sums and work out if the potential return could justify the cost of the renovations.
“Remember also that tax benefits such as depreciation allowances on improvements often make the initial investment in renovations worthwhile.”
“Also make sure good photos are taken for the internet when advertising the property.
“I suggest professional photographs and make sure the property is on all the major websites.”