According to our friends at Zoopla, the rental market remains strong in 2022, and in Scotland, Wales and London, levels are 68 percent above the 5-year average. This is good news for landlords, as supply of rental properties in some areas is not meeting the demand, so the likelihood of achieving your target rent is high.
If you’re riding high on that rental wave and want to max out the return you can get on your property, there are still things you can do to add more value to your rental and hold on to your tenants for longer.
Know your target market
Like any business, getting to know your target market is key when thinking about getting the most value from your rental property. Different demographics of tenants will prioritise different things. You’ll likely know who your market is, based on where your property is located. Are you marketing your property to students in a university town? Is your property in the suburbs and more suited to families? Either way, different demographics have different needs, and once you have that sussed you can really tailor your rental offering to make it the most appealing to your target audience.
Keep up the 'upkeep'
Whilst we know that spending a fortune on kitting out a rental property is not going to yield a great return, nor is not spending enough. Make sure that you are keeping on top of the upkeep of your rental, so that it looks as good as new for new tenants. This could be as simple as re-painting some scuffed skirting boards or getting the carpets professionally cleaned – when you’re showing a prospective tenant a property, these basic things will make your rental stand out, and will give a tenant the right impression that you care about maintaining their future home.
Invest in a few cheeky upgrades
On that note, it doesn’t harm to pick a few areas you are willing to spend a tiny bit more on to get a high-end finish. We suggest focusing on the two main high-usage areas in a property – the kitchen and the bathroom. Consider a little bathroom upgrade if you can afford it, or even add a few nice touches like a waterfall shower or some fancy taps. In the kitchen, some premium appliances or even a fresh lick of paint can make the difference in increasing rental value.
Keep things neutral
Achieving the best rental yield can be as easy as making sure that your décor appeals to the masses. A rental property should feel like a blank canvas for tenants, something they can add their own mark to, rather than being dazzled by a décor that just doesn’t do it for them. Keep things fresh and light, which will have the added bonus of making your property look bigger and brighter.
If you’re renting a property furnished, the same should be said for big pieces of furniture. Stick to simple and inoffensive styles and colours that will suit everyone’s tastes.
Anyone who has bought or sold a house knows how important kerb appeal is. First impressions really do count, and the rental market is no exception to the rule. Yes, a student might not pay much heed to whether their doorway looks inviting, but if your target market is pretty much anyone else, sprucing up your front step or decking out your doorway is a simple and effective way of adding value to your property.
Pick a pleasant (and neutral) shade of paint and give the front door a fresh new look. Invest in a few pots to flank the door. Even polishing up the letter box can make the front of your property look more appealing.
Don’t stop at the front door either. If your property comes with a garden, much sure you pay some attention to it before marketing your rental. Gardens are in high demand, and you can make even the smallest of garden spaces work for you to increase your property’s rental value. Just like the inside, start by getting the basics right and make sure the garden is tidy and well-maintained. If you can afford to throw a little bit extra at it, sort out a little seating area or something that will make the garden feel like an extension of the indoors.
Get yourself insured
If you’ve spent your hard-earned cash getting a property looking smart, the most important thing you can do to is protect your investment by making sure you have taken out Landlords Insurance. There are lots of options available to you, including both buildings and contents cover, and you might want to consider getting cover for any accidental damage caused by your tenants.
Increasing the value of your rental property doesn’t have to be costly or labour intensive. Once you know your target market, you can then make some key decisions about what will make your rental really stand out from the competition. A few little luxuries thrown in here and there, and a clean and inviting interior can be enough to push your property to the forefront in the eyes of a new tenant.