In Part 1 of our blogs on how to increase your rental yield, we described how certain furnishings can help you boost your rent amounts, as well how a good heating system is often a high priority for the types of tenants who are willing to pay a little more to get what they want. These next few tips require a bit more investment, but they can also significantly increase the rent you can charge on your property, making them extremely worthwhile in the long run. Of course, as we stated before, not all of these will be suitable for every landlord, but they should give you an idea of what you can achieve with the properties that you have.
Create a Second Bathroom
Sharing a bathroom is never going to be the most pleasant experience so you can boost the value of your property massively in the eyes of tenants by adding another. It is a big investment to begin with, but it will pay dividends over time. It will probably be a hassle as well, as conversions often are, but if you are prepared to put up with the stress while the job is being done then you will reap huge rewards in the future.
Also consider that adding a second bathroom significantly increases the sale value of your property, so there is always that cushion for your investment should you decide to sell up in the future.
Create or Add Storage Space
Storage space is a highly valued commodity among tenants so always look for ways you can add storage space to your properties. This could be in the form of built-in wardrobes or clearing out the space under the stairs. Also consider any ‘dead’ space in the building and look to convert it into a storage cupboard.
Another excellent and reasonably inexpensive (depending on what you go for, obviously) is to add a shed in the backyard. Tenants will always like a shed, especially if it comes with garden tools to tend to the garden. You don’t need a top of the range lawnmower in there, but if you can get an older one that still works then that’ll do nicely enough.
Provide a Car Parking Space
This one is extremely dependant on what kind of space you are dealing with, but if it is at all possible then creating a car parking spot for your tenant is an excellent way to increase your rent. It could mean sacrificing half or all of the front lawn, but if the property is in the kind of area where car parking is at a premium, plus your tenants tend to be car owners, then creating a space for them is a perfect way to add additional value to the rents you charge.
Hopefully these rental yield increasing ideas are of some use, though that will likely depend on the type of property you have, its location and the demographic of tenants in your area. It’s always good to research these criteria before committing to any heavy investment, but if it all calculates correctly, then there are serious gains to be made from your rental properties.