Making a rental property more appealing in 2024 is very important, especially as inflation and rising living costs continue to shape the housing market. With rent prices increasing by an average of 6.5% across the U.S. over the past year, tenants are becoming more selective. To stay competitive, landlords are incorporating modern amenities and flexible spaces to attract a broader range of renters.
For instance, 52% of rental owners now identify as investment-minded, meaning they are more focused on upgrades like energy-efficient appliances and smart home technologies. With 68% of renters opting for suburban areas due to affordability and family-friendly environments, enhancing curb appeal and offering desirable features can make all the difference.
Home Upgrades for Your Rental Property
Upgrading your rental property is a strategic investment that can significantly enhance its appeal, attract quality tenants, and increase rental income. In 2024, tenants are more discerning, and upgrading your property with specific, modern features will set it apart from the competition.
Here are six impactful home upgrades that you should consider implementing, each designed to maximize return on investment and tenant satisfaction.
Upgrade the Kitchen
The kitchen is often the heart of the home, and renters frequently prioritize properties with modern, functional kitchens. An updated kitchen not only attracts high-quality tenants but also allows you to command a higher rent. Simple but effective improvements can include:
- Replacing Outdated Countertops: Swap out worn laminate for durable materials like quartz or granite, which offer both style and longevity.
- Installing Energy-Efficient Appliances: Replacing old appliances with new, energy-efficient models, such as stainless steel dishwashers and refrigerators, appeals to eco-conscious renters and reduces utility costs. Energy Star-rated appliances not only reduce the tenant’s energy bill but also increase the overall value of the property.
- Refresh Cabinet Hardware: If a complete remodel is outside of your budget, consider repainting or refacing cabinets and replacing the hardware with modern, sleek designs. Small changes, like updated handles or soft-close drawers, make the space feel fresh and functional.
Modernize the Bathroom
Bathrooms are another key area where tenants expect comfort and style. A well-executed bathroom upgrade can greatly enhance your rental’s appeal without requiring a full renovation. Here are several ways to modernize the space:
- Upgrade Fixtures: Replacing old faucets, showerheads, and towel racks with contemporary options like brushed nickel or matte black adds a touch of luxury. Tenants are drawn to features like rainfall showerheads or water-saving models, which provide both comfort and efficiency.
- Update Lighting: Adding bright, energy-efficient LED lights in the bathroom can make the space feel larger and more welcoming. Consider adding vanity lighting for a modern, functional touch.
- Install A New Vanity: A sleek, modern vanity with additional storage is a worthwhile investment that adds both functionality and aesthetics. Choose materials like stone countertops, or vessel sinks to enhance the bathroom’s luxurious feel.
Replace Flooring
Flooring is one of the most impactful upgrades you can make to a rental property. While carpet may be cost-effective in the short term, it is less appealing to many renters due to its maintenance requirements and potential for stains. Consider these popular alternatives:
- Install Hardwood Or Laminate Flooring: Hardwood remains a favorite for its durability and aesthetic appeal. Engineered hardwood or high-quality laminate is a more budget-friendly option that mimics the look of real wood. Both options are easier to clean and maintain than carpets, appealing to tenants with allergies or pets.
- Use Tiles In High-Traffic Areas: In spaces like kitchens and bathrooms, tile flooring is a practical and stylish solution. Opt for porcelain or ceramic tiles, which are water-resistant and durable, or choose luxury vinyl tiles (LVT) for a more affordable, resilient alternative.
Install Energy-Efficient Windows
Installing energy-efficient windows is a smart investment that benefits both landlords and tenants. Old windows can be drafty and inefficient, leading to higher energy costs and decreased comfort. Upgrading to double-pane or insulated windows offers several advantages:
- Lower Energy Costs: Energy-efficient windows help reduce heating and cooling bills by maintaining a stable indoor temperature. The U.S. Department of Energy estimates annual savings of up to $465 for homes with upgraded windows.
- Noise Reduction: For rental properties in busy areas, double-pane windows also provide noise reduction, making the home more appealing to tenants who value peace and quiet.
- Improved Aesthetics: Modern windows can drastically enhance a property’s curb appeal, adding value and comfort for both current and future tenants.
Maximize Storage Solutions
Storage is often a top priority for renters, especially in smaller homes or apartments. Incorporating additional storage solutions is a relatively inexpensive upgrade that offers high returns:
- Built-In Shelving: Adding built-in shelves in living areas or bedrooms provides tenants with convenient storage without taking up floor space. This is particularly useful in small rentals where storage is often limited.
- Closet Organizers: Installing closet systems with customizable options like hanging rods, drawers, and shelves makes it easier for tenants to organize their belongings and enhances the overall functionality of the space.
- Pantry And Garage Storage: Adding extra shelving in the pantry or garage, or even installing a small outdoor shed, can increase the property’s appeal to tenants with larger storage needs.
Improve Curb Appeal
First impressions are everything, and curb appeal plays a significant role in attracting potential tenants. Investing in the exterior of your rental property doesn’t have to be expensive:
- Landscaping: Simple upgrades like planting low-maintenance shrubs, adding potted plants, or laying new mulch can significantly improve the look of the property. Consider hiring a landscaper to prune trees and clean up the yard.
- Front Door: Replacing or repainting the front door can give your property a fresh look and make it more inviting. Choose a modern color that complements the property’s exterior and install a new handle or lockset for added security and style
- Exterior Lighting: Adding outdoor lighting, such as solar-powered path lights or motion-sensor security lights, improves both safety and aesthetics, which are key considerations for tenants.
Wrapping Up
The very first thing we should say is that we simply couldn’t stop at only 10 suggestions since we divided them into subsections. We hope you’ll think of this as a bonus. Moving forward, staying proactive with regular maintenance and tenant communication can help keep your rental in top shape and minimize future repair costs.
As the rental market evolves, implementing eco-friendly solutions, such as solar panels or smart thermostats, can appeal to a growing demographic of environmentally-conscious tenants. Creating a pet-friendly space can also widen your rental’s appeal, as 70% of U.S. households now own pets. These additional strategies will ensure that your rental remains competitive and attractive in 2024 and beyond.
