As you prepare your investment property for your first renters, nearly all your decisions hinge on profitability. Many factors contribute or detract from the profitability of your investment. One significant factor is the condition of the property and the need for renovation. Your property is your investment, so each choice is ultimately up to you.

Deciding what to replace and what to leave alone challenges even the most experienced property investors. Make sure that you have both a solid budget and a realistic expectation of profit.

Areas that Need Extra Attention

One area that you definitely want to invest in is the kitchen—specifically the counters. While laminate is a cheaper alternative, real granite lasts longer and is popular with renters. If it’s time to replace those counters, consider going with the option that will impress for years to come.

Rather than replacing the whole sink with a middle-of-the-road set, split it up. Consider spending less on the basin and more on the faucet. The faucet itself attracts more attention than the basin, and a few extra dollars spent here make a world of difference.

Areas that Are Often Good As Is

Just as you want to be mindful of areas where you should splurge, you also need to be aware of areas that are just not worth the extra money. Again, sink basins are rarely worth upgrading. If it does need to be replaced, look for something less expensive and easy to clean.

Another great opportunity to save money is in the paint you choose. Unique, designer colors are not only expensive but also highly personal. Stick with something more neutral to attract attention from more potential tenants.

Get Ready for Your Return on Investment!

Remember, you want to achieve the highest return for your investment. Only upgrade an area in the rental property if it increases the overall value. Otherwise, save money by sticking with a more budget-friendly replacement.

If you’d like to learn more about maintaining profitability while providing your tenants with a beautiful place to call home, we’d love to share our experience with you. Call Keyrenter Property Management at (844) KEY-RENT!