To renovate or not to renovate?

Good question!  The answer to the question, in short, is a mix of yes and no. It comes down to “it depends” rather than any one answer.

There may be a need for a renovation in Perth, but you could be facing other obstacles like budget issues that would make you rethink the whole process. If you’re a landlord and your property is being leased, you need to think both ways before making it work.

Property Group is here to make your decision is easy for you. We do this by making a distinction between the advantages and disadvantages of renovating a rental property. So, let’s get into it.

 

Let’s look at both sides of the fence

 

Speaking of potential pros of it, if your property is in excellent shape with all in-trend renovations, the property is going to get rented at a higher rent, boosting your ROI. The money you invest in renovating your rental property is guaranteed to come back to you shortly after. Another benefit is you will attract good-paying, high-calibre tenants who would want to stay long-term. By investing heavily one time, you would be reducing future maintenance costs.

On the other hand, there can be some drawbacks that may make you rethink renovating altogether at this stage. Investing highly in your rental property is surely going to increase the property value, and claim a higher rent, but that does not mean the property will be snapped up right away. There may be a period where your property in unoccupied, and you will need to consider this potential lull period. This also goes for the period you are renovating. While renovating, you rental will not be occupied, and you have to account for that. Secondly, renovating is indeed costly, you have to ensure you have budgeted for it.

 

What should you consider before proceeding with renovations?

 

Now that you are aware of the advantages and disadvantages of renovating your rental property, here is a checklist that you can use before you make any decision.

• Is your investment going to come back to you?
• Are you focusing on current trends only or increasing longevity as well?
• Does the neighbourhood allow you to increase your monthly rent amount?
• Do you have a budget to start with the renovations?
• Are you considering using environmental-friendly material?

 

Go with ProProperty Group for your property manager in Perth needs

 

From residential and commercial properties to property management, projects, land sales, house-and-land packages, and sub-divisions, Pro Property Group covers it all when it comes to handling your real estate matters in Perth and surrounding areas. We can confidently provide you with a fair and reasonable market appraisal with the intention of achieving the highest level of return for your property – it’s that easy!

Are you ready to place your home on the rental market? Chat to our team about leasing your property today. You can also read our recent article on what updates to add to your rental property to boost its value.