Despite being more complicated than stocks, real estate is a popular choice for many investors: it offers a predictable cash flow, higher returns, and equity growth. However, property investment is more than just renting it out. An important part of real estate investing is making sure that you get a good tenant, you turn a profit, and your property increases in value over time. Having all three might sound like an impossible dream, but with a bit of time and effort, you’ll enhance the look of your property and attract potential buyers.
The first step to boosting your property’s value is to make sure that it’s clean because nobody wants to live in a dirty house.
Get rid of any clutter, dirt, and unwanted odors by giving your property a deep clean inside and out. Consider placing diffuses or air fresheners around the house to make the whole place smell more pleasant. Scents are often linked with memory and emotion, so if you make an effort to make the unit smell good, potential buyers are more likely to remember your property.
Don’t forget to mow the lawn, add some flowering plants, and make sure there isn’t any stray garbage lying around.
Prioritize What Needs Replacing
One of the best ways to increase the returns on your investments is to lower expenses. Don’t rely on tenants to replace your HVAC filters or keep the plumbing in check. Walkthrough your entire property and make a list of any fixtures and utilities that need repairing or replacing. If you find anything that needs to be repaired or replace, place that at the top of your priority list before adding or upgrading anything.
Regular inspections can help find any issues and allow the proper professionals to deal with them right away. By doing this, you can prevent any major problems and keep the property in good shape, which is the key to retaining your tenants.
Upgrade Your Plumbing Fixtures
A plumbing system is one of the most crucial systems in a home. One faulty pipe could mean a pile of accidents and disasters just waiting to happen. While most fixtures don’t often need to be replaced or require little maintenance, it’s still important to have your plumber inspect plumbing fixtures regularly.
If you want to cut down on your monthly utility expenses, consider going green and adding energy-efficient upgrades to your property. Ensure that the unit is properly insulated and uses energy-efficient light bulbs like LED, low-flow showerheads, smart thermostats, and other energy-efficient appliances. These little changes can go a long way in helping lower your utility expenses and reducing your future tenant’s carbon footprint.
Stage Your Property
First impressions matter, so staging the property is just as important as maintaining utilities and fixtures. The goal of designing and decorating is to make a walk-in prospect imagine your property as their future home. However, this doesn’t mean only appealing to aesthetics but creating a space that applies to a buyer’s interests and emotions. To do this, you’ll need to research your target market and make sure that you stage your property accordingly.
It’s also important to work on the property’s curb appeal. There are many ways to go about this and make your property look more attractive:
- Changing the doors and windows to let in more natural light and reduce outside noise
- Adding a fresh coat of paint to renew the look of your property
- Simple landscaping with fresh flowers
- Hanging plants by the entrance
- Adding a porch light
These additions can go a long way in making it feel more like a home than a rental. If a buyer feels like they can connect to the property, they’re more likely to sign on the dotted line.
Emphasize the Location
Location is an important factor in the real estate industry, but it isn’t exactly something that can be changed. Whether you’re located in a popular district or neighborhood, it’s important to emphasize what the area does have rather than what it doesn’t. Compile a list of amenities, nearby shops, activities, tourist spots, and other unique destinations worth visiting. It’s also good to consider any alternative transportation options that a tenant can use if they don’t own their own vehicle. Add this information to your property description so that buyers know what they’re getting into.
Improving your property and increasing its value is one of the best ways to turn a profit, but remember not to overdo it. Before renovating and redecorating, make sure you do some research on your area to avoid over-improving your property and spending more than what’s necessary to see returns.