Increase the value of your property with these six luxury improvements
Whether you’re already in the rental market or you’re looking to join, you may want to make a few small improvements to your property. Here, Chris Dance, Director and Head Designer at InHouse Inspired Room Design, shares six up-and-coming interior trends that could add value to your rental property.
House improvements can be costly, and not all of them will help increase your property’s rental value, which is why having property owner’s insurance is crucial. Before starting any work, it’s a good idea to consider how much value your plans might add to your future tenants’ homes and how long it will take you to recoup your money in rent. But how can you work out what kind of additions will offer you a good return on investment? The following article explores some tips for making wise property improvements that will not only benefit your tenants but also protect your investment with landlord insurance.
Renters’ spaces now serve various purposes, from a place to relax to a place to work. By incorporating additions that cater to new ways of living, you can make your property more attractive to potential tenants and get a better price for it.
We’ve picked out some of the best up-and-coming property improvements that will make your tenants fall in love with their luxurious home and work out as a good investment in the long run.
- Home office
- Herringbone flooring
- Bathroom or kitchen renovation
- Kitchen pantries
- Outdoor kitchen
- The right lighting
Home offices became incredibly popular during the pandemic as many businesses shifted to remote working, either full or part-time. While many workers have returned to the office, over half of employers have anticipated an increase in remote working, while just under 50% have planned for a full-remote working policy. As a result, having a separate work space within the home can make your property more desirable to potential tenants.
A home office could add between £6,368 and £11,706 to the value of your property, according to the Rated People Home Improvement Trends Report 2022, which means that you could charge a higher rent for the property. This is well worth the investment if you’ll be converting a spare bedroom to keep costs low. If you are renting out a furnished property, all you need to do is add a top-quality office desk and comfortable chair to the room. And, if you are renting out an unfurnished property, you simply need to make sure that there is a strong and stable Wi-Fi connection in the room. You may also want to consider adding extra soundproofing so that your tenants’ work meetings aren’t disrupted.
If you don’t have a spare room, then extending your property is an option, but this can be costly. Instead, you may wish to build a separate garden room to house a home office. These can be much less disruptive and quicker to build, which is great for landlords looking to rent their property out in a hurry. Not only will this addition make your rental property stand out, but you can up the price of your rent. This addition can boost your property’s value by 5% to 15%.
You may not often think of your flooring, but spending a little more time and money on luxurious finishes can really make a difference to the overall appearance of the property. One type of flooring that makes a statement is herringbone. Real wood flooring can add around £5,485 to your property value, which will allow you to up the price of your rent.
Herringbone is particularly sought after, due to its timeless appeal and ability to make a statement in any room. As it’s a classic style and not based on any fleeting trend, you can be sure that this flooring will make your rental property appealing for years to come. It is also durable and relatively easy to maintain, so you won’t have to disrupt your tenants for any major flooring changes either.
Bathroom or kitchen renovation
The kitchen and bathroom are two of the most important rooms in a home, so it’s no wonder renters put so much emphasis on them. A newly renovated bathroom can add up to an impressive 5% to the value of your property, which will allow you to increase your rent more than you first thought (Landlord Resources). On top of this, a new kitchen can increase the value of your home by 5% to 15%.
Rental properties with updated, high-quality kitchens and bathrooms can provide an instant, and useful, wow factor. If you’re thinking of updating your interiors, neutral tones such as white, cream, grey, and black cabinets have universal appeal, but colourful kitchens offer a warm and welcoming statement. Dark kitchens in deep blues and reds are also particularly popular now, and if you’re a fan of bold statements, pink bathrooms are among one of the biggest value-adding trends for 2022.
Plenty of storage is a must-have in any property and a kitchen pantry is a luxurious addition that will provide ample space for tenants to store all of their cupboard essentials. As well as adding value to your property, a kitchen pantry can be a stand-out feature and make your rental home catch the attention of potential tenants.
To get the most out of your rental property’s new pantry, focus on functionality and style. According to Pinterest Predicts 2022, ‘limitless luxe’ is this year’s big interior trend. It’s all about adding luxury to the forgotten corners of the house, including the available storage space. Adding extra touches such as a wine rack, natural oak finishes, and integrated lighting can transform a pantry into an interior design masterpiece.
After the last couple of years, we’re all looking for more chances to get outdoors. But what if you could move parts of the home into the garden? Installing an outdoor kitchen was among one of the most popular home improvements in 2021 as homeowners attempted to redefine the boundaries between indoors and outdoors. So why not let renters get in on the fun too by adding an outdoor kitchen to your rental property?
It’s well worth the investment, as building a kitchen in your garden could add between £5,683 and £11,549 to your property’s value. It’s also relatively rare for a rental property to have this feature, so potential tenants looking for luxury are likely to jump at the chance to live in a property with this addition. If you’re worried about the UK weather, consider adding in weatherproofing measures such as a pergola and outdoor fireplace or heater.
The right lighting
It may be a feature which doesn’t particularly stick out for you, but renters value good lighting. In fact, a survey by OpenRent has found that the lighting of a property is one of the most important things they look for, with 91% of respondents deeming this to be important. As well as being attractive to potential tenants viewing the property in person, it can also make the pictures on the listing look much more appealing.
There are two easy ways to add more light to your property: by installing well-positioned windows to let in natural light, and by adding high quality artificial light.
Consider adding roof windows to flood the property with daylight. Then, when choosing artificial lights, make sure to find the appropriate type for each room.
For example, a living room will benefit from a soft ambient light for relaxing evenings, while a kitchen will need bright light so tenants can see what they’re cooking. And, if your property has a stand-out feature that you want to display in all its glory, such as an interesting architectural detail, you can even add an accent light to show off this special feature.
Taking the time to improve various areas of your rental property can pay off in the long run. Give one or two of these projects a go and you may be able to increase the profits on your rental.
As you plan your rental property renovations, be sure to do your research and take out the correct unoccupied property insurance and loss of rent insurance. Safeguard your assets and ensure continuity with our reliable business insurance policies at Brisco Business.
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