A property owner has to leverage everything they can to attract and keep quality tenants. If you're a property investor in Detroit, you want to ensure solid, steady cash flow every month and a profitable ROI at the same time. So, the investment you make into your property must attract tenants and pay off long-term. Therefore, every decision you make about property updates to attract tenants needs to count.
In most cases, it's not feasible to make every potential upgrade to every property at the same time, but some renovations will generate appeal while improving your ROI. In this article, the best property management company Detroit offers shares the top ten upgrades that attract tenants and increase ROI.
1. Enhance Curb Appeal
They say that first impressions are everything! When showing off your property to attract new tenants, curb appeal can either encourage potential renters to choose your property—or discourage them from scheduling a showing. Boosting curb appeal is also a low-cost way to enhance your rental unit's appeal. A level lot, nicely manicured lawn, and a few bushes and perennials go a long way to add to the overall aesthetics.
2. Energy-Efficient Appliances
Renters are interested in energy-efficient products for a couple of reasons. They know that these appliances will save them money, and they are good for the environment. Typically, property owners won't pay high prices for these appliances, as the prices are coming down with the growing popularity. Also, investors may not see as many maintenance requests about broken appliances after replacing these items in your properties.
3. Modern Flooring
Hard flooring is a popular choice (rather than carpet) for the main living space in rental homes. With excellent hardwood replicas, such as the luxury vinyl plank, renters feel like they have the real thing without the cost or maintenance required to maintain real hardwood floors. Luxury vinyl plank floors are an attractive, modern flooring option, yet investors won't have to spend as much as they would for hardwood flooring.
4. New Countertops
You may not have the funds to redo the entire kitchen, but the kitchen is one of the main focal points of an attractive rental property. It's often the place people want to see first. Property owners can add some pizzazz to this room with brand-new countertops. Be careful about overspending on high-end materials like granite or quartz. In most cases, more cost-effective options enhance the kitchen without the high costs.
5. Add Square Footage
Adding square footage may sound like a big feat, but you be close to this upgrade than you think! If you have a large, covered deck, you could enclose it to create Bumping out a few windows and making them bay windows will enlarge a rental home. Of course, if your cash flow is good, and you want to go all the way with an upgrade, adding another bathroom or enlarging a space to make room for a den, dining room, or home office can justify a higher rent amount and appeal to quality renters.
6. Update the Bathroom
Bathrooms are another feature that can attract (or discourage) quality residents. Adding a few touches in this room can attract attention without costing too much. Sometimes simply updating fixtures will add life to an outdated bathroom.
7. Painting (Inside and Out)
Painting the entire house is one of the best ways to improve the quality of your property and boost ROI A new coat of paint gives the house a fresh, clean look without breaking the bank. The right color can also make a room appear larger and lighter or smaller and cozier, depending on the look and feel you want to create.
8. Add Technology
Home technology is an in-demand feature for tenants. Smart home features give property owners several options to enhance the convenience and security of a home that attracts quality prospective tenants. If you already plan on buying new appliances, you could consider making them smart ones, and you'll have a hot selling point for prospective tenants. Also, security cameras are a technology feature that renters often want in a home.
9. Water-Saving Fixtures
Real estate investors can add water-saving fixtures to help save on utility costs for a property. While renters will appreciate the savings, this is especially helpful if you pay for the water bill. Some excellent water-saving products include a pressure-reducing valve on the mainline, a performance showerhead, and water-saving faucets.
10. Upgraded Lighting Fixtures
Light up the place with new lighting fixtures for the interior and exterior of the property. A property manager can tell you that this is another low-cost way to enhance a rental property while adding to the design with an updated look.
Choose Professional Property Management Services for Better ROI!
Simplify your role as an investor by connecting with professional Detroit property management services! The right property management company can assess your current ROI and advise you on the upgrades that help maximize ROI. Whether you own one or two properties or have a significant portfolio with hundreds of properties, Own It Detroit helps investors maximize returns. Reach out to learn more about how our property managers can help you build tremendous cash flow.
Learn more about improving returns! Download our free guide, "10 Things You Should Do To Increase the ROI for Your Investment Property."