How To Maximise The Return On Your Investment Property
he Return On Your Investment Property : The key to a successful investment is to ensure that you maximise the return on your property wherever possible. By doing so, you are arming yourself with the best possible chance of achieving the highest rental yield available in today’s current market. It goes without saying that if you buy a property as an investment, you want to maximise the return wherever possible. Every dollar spent unwisely is money wasted.
Top 5 Ways to Maximise The Return On Your Investment Property
1. Give The Bathroom A Facelift
A common mistake is to completely replace the bathroom to ‘woo’ prospective tenants or purchasers. You normally don’t need to go that far, what you need to do is return the bathroom to a state that people find acceptable and liveable.
Doing touch-ups such as a fresh lick of paint, treating for mold, fixing the cabinetry and replacing all the taps & shower head fittings will have the bathroom looking as good as new in no time. It won’t cost too much to do and can add up to $20 a week to your rental yield.
2. Clean Up The Kitchen
The kitchen is the centrepiece of a family home. A good kitchen can be what seals the whole deal for a renter. As with the bathroom, you don’t have to replace the whole kitchen to get the most out of it. Make sure you give it a fresh coat of paint and fix any broken hinges on cupboards. Instead of replacing cupboards and drawers, perhaps consider just updating the handles. This is cheap and quickly modernises even the most dated furniture. Don’t be afraid to replace the stove with a refurbished model. Do switch out any broken taps for new low-cost classic style taps. Finally, if the flooring is damaged, replace that too. A good kitchen can add $20 a week to your rent return.
Already, you’ve potentially added another $40 per week to maximise the return on your investment! How good is that?!!
3. Relay Carpet Where It Counts
It’s unlikely that all the carpet in an investment property needs replacing. It may, however, need swapping out in the “highest traffic” parts of the home. Lounges and hallways are a good place to focus your efforts on. All other carpets should be steam cleaned rather than replaced. A good clean will have your carpet looking and smelling new again. This technique can maximise the return by $10 a week.
4. Repaint The House Every Now And Again
Painting a house makes it look fresh, new and cared for. It doesn’t cost very much at all (though it is a weekend or two of hard, elbow-greasing work). You don’t need to do this every year but every 5-10 years. You want to just brush the whole place over and make it attractive to live in again. This will add roughly $10 a week to the rent too.
5. Regularly Revisit The Rental Payments
It doesn’t get cheaper than making sure your rental income is in line with the local market. Sometimes, the market rate may not increase but if it does, you shouldn’t be ashamed of making sure that yours go up too. Sure, you may be worried about upsetting a good tenant but the alternative is to effectively subsidise that tenant against the market. You should find you can get $10-$20 a week extra each year out of this without any costs at all (apart from delivering notice and amending the contract) .
The trick is to balance your tenants’ need for a nice place to live with by doing enough to keep them happy whilst not going overboard. That way, you’re not paying for more than you need to. This way your investment property stays pleasant to live in and allows you to maximise the return on your investment.
Follow us on Instagram for more real estate properties and
For other Most Related Quires Visit our website Astonroserealestate .
