Almost any Englewood property management company will tell you that appliances can play a major role in how much rent a house or apartment will command. Can it really be that simple?
While new appliances can't make up for other areas that could be contributing to a low ROI for your rental properties, they can certainly make a big improvement. So what do property owners need to know about winning kitchen wars when competing with other rental properties in the area? Keep reading to find out!
Win Them Over With a New Stove
Property management experts will tell you that newer, more efficient appliances make up for the lack of an updated kitchen and give tenants a clean slate to cook on, leading to higher rental rates than properties with outdated kitchens and older appliances.
That means it's possible to make your property's kitchen more appealing to tenants in Englewood, FL, without going through the time and expense of a significant kitchen renovation. Replacing appliances means you have:
- Shiny new appliances that photograph well (compared to old or damaged appliances)
- Something you can feature in your rental listing to make your property stand out
- An amenity that renters want in a rental home
It's true! An Englewood property manager can tell you that a new stove, dishwasher, refrigerator (or new set of matching appliances) can make a significant impression on prospective tenants. While replacing these kitchen necessities might seem like a significant investment, property owners can raise the rental rate to offset some initial costs. Then, when it's time to do your Englewood rental property business taxes, you also benefit from depreciation on new appliances.
Stop Paying For Repairs
You might be thinking, "that well-loved dishwasher has a few more years of life left!" However, if you're responding to frequent maintenance requests about the malfunctioning appliance, you're spending money on repairs to keep a dishwasher on life support when you should put your investment dollars toward a new one and let the old one retire in peace.
Old appliances become inefficient, a hassle, and an ongoing expense to keep them running beyond their "best usage" lifetime in a rental property. Even if you've kept the dishwasher in your private residence year after year, rental property appliances probably get more use (and abuse) than the ones you care for in your home. Do some research to find the ideal lifespan of the big appliances in your property, then budget for replacements when that time comes.
More Bang For Their Bucks
Property managers can also help investors understand how replacing old appliances can help lower costs. Whether you or your renters cover utilities, energy-efficient appliances reduce utility costs. Today's fridges use far less energy than those made as recently as fifteen years ago. A quality refrigerator (without too many bells and whistles) is often more affordable than what you probably paid for one ten years ago, making replacement well worth the initial investment.
Combined with other energy-efficient appliances such as washers and dryers (if you also provide in-unit laundry), property owners may see savings that they never expected! Saving money without spending rental income on costly (and lengthy) renovations is an excellent way to improve ROI.
Renters Will Often Pay More for New Appliances
We mentioned raising the rental rate, and property owners need to consider it when making any updates to a rental property. the right property management company can help you evaluate potential upgrades, and the impact on the monthly rent amount based on rental market research, renter demands, and what competitive properties offer as amenities.
While new appliances can attract quality tenants, they can also help improve your renewal rates. When good, energy-efficient appliances are in the home, residents have one less reason to find a new rental unit. They also enjoy not needing to place frequent maintenance requests to report an oven that won't heat or a fridge that won't keep food cool.
Tho we're not recommending replacing a dishwasher or cooktop before it's necessary, the best property management companies can help you monitor the lifespan and condition of your property's appliances and recommend the best timing to budget and plan for replacements. Whether a property owner replaces them all at once or buys one every year or two, new appliances are a worthwhile investment to enhance the bottom line!
Boost Returns With New Appliances and Englewood Property Management
Sometimes, the best way to improve your property is to invest in new appliances. We know that it can be an expensive investment, but if you're looking for a smart way to upgrade your property, maintain competitive rental rates, and improve returns at once—new appliances are worth considering! If this sounds like something you might want help with or have questions about, please don't hesitate to reach out. Gulf Coast Property Management can analyze your current ROIs and help you budget for new appliances or other upgrades that can boost returns. We're happy to chat about property management services anytime!
Enjoy better returns! Download our free guide, "10 Things You Should Do To Increase the ROI for Your Investment Property."