8 Low-Cost Ways To Improve Rental Return

There are many ways to increase the value of a home through renovation, as countless property renovation and styling experts have shown us on television!

While bathroom overhauls, kitchen replacements and improving "street appeal" can improve sale and rental value of a home, often investors are seeking to make relatively low-cost improvements to increase their rental return.

In this post we'll take a look at some great ideas to improve the rent you could ask for your property, in ways which generally cost in the hundreds rather than thousands of dollars. 

​1. Update the kitchen

​Before you run away screaming, we're not talking about a $15,000 kitchen renovation! While a significant update of an older kitchen will add significant rental return, there are several low-cost ways to refresh and improve the appeal of an older kitchen area. Inexpensive options include:

• Painting cupboards and splashbacks. A light, fresh colour such as white with a stronger accent colour can breathe new life into a tired timber kitchen.
• Replace handles and knobs. It's amazing how much modernisation can be achieved through replacing dated kitchen hardware. 
• Updating tapware. Replacing older tapware and sinks can make a kitchen more contemporary at little cost. 
• Update the stove / oven. The typical white stovetop with exposed cooking elements will immediately date a kitchen. If budget allows, consider replacing with a modern stainless steel alternative. 
• Replace vinyl flooring. If your kitchen features vinyl flooring, replacing this with a more modern alternative will instantly enhance the look of the home and its appeal on the rental market. 
• Install or update the dishwasher. Many tenants have come to expect a dishwasher and may find the absence of one a deal-breaker. If the kitchen design allows space for a dishwasher, from a few hundred dollars upwards a dishwasher can be installed. Also, if your kitchen includes a stainless steel oven and range, but an older white dishwasher, consider replacing with a stainless steel dishwasher. 

​2. Update the bathroom

​Again, we're not talking about throwing the bath out with the bathwater. Low-cost ways to improve rental return through modernising the bathroom include:

• Painting tiles. Tile paint is a great option to revitalise an older, tired bathroom colour scheme. 
• Painting the roof to ensure it is flake-free and free of mould. 
• Updating the vanity unit. If budget extends to a vanity replacement, fantastic. Alternatively, similar to the kitchen cabinetry, painting surfaces, replacing cabinet doors and/or replacing handles of drawers and cabinets with more modern styles will lift the appeal and likely rental return. 
• Replacing taps and the shower head. Older taps can be replaced with modern fixtures quite cheaply. In addition, many tenants appreciate seeing a hand-held shower head in a rental property, rather than the traditional fixed style. 

​3. Update the flooring

​While not the most budget-friendly action, replacing worn or dated carpet should be considered to lift the appeal of a home to a modern tenant. Keep in mind that there are many options to consider when updating flooring, including carpet, floorboards, tiles, laminate and vinyl (which each have their own pros and cons). 

As an example, floorboards look great without dating a property, are easy to clean, are durable and can help to keep a property cool in summer. However they can be relatively expensive to install or replace and can be prone to tenant damage from scratching during furniture moves or if an object is accidentally dropped. 

Alternatively, carpet can help to keep a property warm in winter and can also reduce noise (a strong consideration point for apartments). A durable, stain resistant carpet in a colour tone which is less likely to show wear and tear is recommended.

​4. Update lighting

​Installing downlights can instantly add style and appeal to any investment property, and offer a perfect match to timber floorboards. Downlights are relatively inexpensive to purchase and install, can be added selectively to certain areas (e.g. to lounge, dining and kitchen only), and can help make a room seem larger than when a light fitting is present.

​5. Consider temperature control

​It's important to consider that you can never be certain of the time of year your property will become vacant and seeking a tenant. Temperature control systems such as air conditioning and ceiling fans are easy and low-cost means of ensuring your rental will have year-round appeal.

Tenants will be especially appreciative of air conditioning in living spaces as well as main bedrooms, while ceiling fans should be installed in all bedrooms to maximise demand for the property. 

​6. Adding shade to outdoor areas

​Similarly, a property with an outdoor area such as a backyard, alfresco or deck will have greater appeal if it can be used in all seasons. A deck which faces blazing westerly sun will have a negative impact on likely rental interest, though this can be overcome through installing a low-cost shade sail, outdoor umbrella or more permanent covering. 

​7. Updating blinds

​Vertical blinds with the often broken or missing linking chain at the base should be updated. Replacing these with a more contemporary venetian or roller blind will add a more stylish look and improve appeal for prospective tenants. 

​8. Installing built-in wardrobes and storage areas

​A property which offers little storage, especially wardrobe space, will limit the number of interested parties and drive rent lower than could be achieved otherwise. Bedrooms should all be provided with built-in robes where possible to improve usefulness and appeal. Most prospective tenants will not expect to bring a wardrobe with them to their next property, so a lack of storage space will limit the interested pool of applicants. 

Many of the above ideas can be achieved for well under $1,000 and will significantly revitalise an investment property and maximise rental return. 

If you would like an estimate on the current rental return you could achieve for your property, contact us. We're happy to meet to review and provide ideas first-hand to ensure you achieve the best outcome from your investment.