There’s a lot of truth behind the idea that upgrading your Antioch rental property will help you earn more money. Not to mention, prospective tenants are always on the hunt for beautiful homes to lease.
But keeping upgrade costs low while upgrading your rental is harder than you might think.
That’s why you should plan for the right property upgrades and stick to a strict budget when renovating your rental property.
If you want to avoid wasting money on rental property upgrades that won’t earn you more money, keep reading. Today we’re going to take a look at some upgrades that may seem great but are actually a huge waste of time and money.
And trust us, if you use Antioch rental home management, your property manager will tell you the same thing we’re going to.
ANTIOCH, CA RENTAL PROPERTY UPGRADES TO AVOID AT ALL COSTS
1. KITCHEN UPGRADES
Many property owners upgrade their kitchens in hopes of ‘wowing’ potential tenants. Plus, they hope the upgrades will help them increase the rent. But the truth is, if your property is in an area with high demand, spending so much time on an entire kitchen renovation is a waste.
Not to mention, major kitchen remodels can cost upwards of $100,000. And chances are you’re only going to recoup 59.7% of your costs.
A rental property doesn’t need custom cabinets or expensive counter tops. It also doesn’t have to have a built-in refrigerator or designer faucets.
While it may seem like these things will attract higher-quality tenants, they won’t. In fact, not upgrading these things will still attract great tenants. Plus, if your tenants are a little rough on your kitchen during their tenancy, making repairs won’t cost you as much.
2. MAJOR LANDSCAPING
There’s no denying that curb appeal is a major factor to consider when trying to lease your Antioch investment property. But putting a lot of money into your rental’s front and back yards can actually have the opposite effect you want.
Let’s see why:
Potential Tenants May Not Like It: Your opinion of what you think looks good is not likely shared by all. This means prospective tenants that love your property, but hate the yard, will not want to lease from you.
Overdone Landscaping Equals Lots of Maintenance: Unless you’re planning on paying for professional landscaping, many tenants will turn an overly landscaped property down. After all, few people are willing to take on the responsibility of extensive yard maintenance.
When you upgrade your rental property’s yard, you see beautiful flowers, an enchanting pond, or stunning rock walls. However, all your tenants see is a lot of watering, weeds, and maintenance. If they even like what they see.
3. CUSTOM CLOSET ORGANIZATION
Sure, tenants want to make sure there’s enough storage space in your rental property for their stuff. And yes, this includes adequate closet space.
But seeing as how a custom closet can run you thousands of dollars, it’s not really worth the time or money to make this kind of upgrade.
When you design a custom closet you have to think about the:
- Materials that will affect the overall cost
- Location of your closet (if you need to make structural changes, you’ll have to secure permits, which take time and cost money)
- Design complexity
- Lighting inside the closet (an electrician might need to get involved)
- Storage options such as shelving, mounted racks, and built-in cabinets
Creating a custom closet is a great idea if you’re going to be using it yourself. But the amount of rent you collect each month is not likely to help you recoup the costs any time soon. This is especially true if you upgrade more than one thing in your investment property at a time.
4. CARPET REPLACEMENT
Experts often suggest that landlords install cheap carpet in their rental properties. This way, should a tenant ruin the carpet during their tenancy, all you have to do is rip it up and replace it.
The problem is, with cheap carpet you’ll find yourself spending a lot of time and money constantly ripping up and replacing it. And while one set of carpeting might be cheap, after a while, the cost to replace it adds up.
If you expect to hold onto your rental property for a long time, you might consider replacing the carpet in your property with something more traffic and stain proof. For example, vinyl is an affordable and waterproof flooring that can mimic the look of tile or even wood flooring. And while it’s more expensive upfront, you won’t have to keep replacing it every few years like you would with ‘cheap’ carpet.
When it comes to the bedrooms, which typically have carpet, it’s important to opt for a better quality product. And look for some that have Scotchgard protection, so it will last longer one tenancy at a time.
5. ADVANCED TECHNOLOGY
These days, millennials are asking for it all in their rental homes. They want high-end security systems, surround sound speakers, and even LED showerheads. On top of that, they demand that all appliances be high-tech and energy-efficient so they can reduce their carbon footprint (and their monthly utility bills).
Before you jump in and give the people what they want, take a look at your budget first. You probably don’t have the time or money to make these kinds of upgrades. And we recommend that you don’t.
Though it’d be nice to be able to offer special amenities like smart thermostats, keyless entry, and security lights within the house that turn on and off to deter criminals, these things can be costly to install. Plus, tenants aren’t likely to pay that much more in rent each month to have them.
6. WINDOWS AND DOORS
Have you gotten an estimate for how much it would cost to replace all the windows of your rental property lately? If not, you should keep it that way. Even if you only have a few windows throughout your investment property, changing them all might cost you tens of thousands of dollars.
If your property’s windows are old, start by having a professional come check them out. You might be able to get away with just replacing the weatherstripping and sprucing them up with some new shutters.
And when it comes to your rental property’s doors, the same rings true. Old and in need of weatherstripping, a new doorknob or a fresh coat of paint is entirely different than needing a replacement. And the cost to do the latter is going to set you back hundreds of dollars.
The impression your rental property gives off as prospective tenants enter their potential home is crucial. But so is earning a profit. If you can get away with adding a little bit of charm to an oldie but goodie, do so.
Understanding which upgrades will add significant value to your rental property and earn you a higher ROI are important when you own a rental property.
If you’re in need of some professional Antioch rental home management, contact us at Blue Line Property Management.
We are a full-service property management company that strives to take your keys and handle everything for you. And if you ever want to know which upgrades to make to your property, our experienced property managers are more than willing to discuss your options.
Come find out why property owners and tenants alike value our dedication to keeping their rental properties in pristine condition year-round, whether they’ve had recent upgrades or not. And don’t forget to start thinking about what you’re going to do with all your free time once you enlist the help of our Antioch rental home management services.