Replacement windows, increase rentability and profit?

[Thomas Hickey]

Hi All, I have one unit that still has the old style single pane windows with storm windows. I'm wondering if there is a noticeable return on rents to upgrade to replacement windows. Tenant pays the heat. Tom

[MIchael Rickerd]

I operate on the opposite end of the spectrum from Mr. H. above. 

If I acquire a property, and it has single pane windows, upgrading them to vinyl, dual pane windows is one of the first projects I complete. I also blow insulation into the attic with every house I acquire (if it needs it).

I live in a cold climate, with substantial winters. Insulating my properties well has several benefits:

1) The main one: These upgrades keep my heater from running as often as it would have if I left the old windows/insulation in place. You ever live in a drafty house? It feels like the heater runs non-stop in the winter. Not a fan of this. Also, considering this is a big CapEx, I'd prefer to ease its job as much as possible.

2) Shows my tenants I think about, and care about, them and their month to month expenses. My tenants all like the upgraded windows and the subsequent decrease in their utility bills. I market the upgraded windows in all of my rental ads.

3) Immediately adds a nicer feel to the home. Homes rent very quickly (5 days on average). If I ever had to sell the house, nice new windows go a long way, IMO.

4) Replacing the windows is not difficult based on my skills and the tools I have at my disposal. This is not the case for everyone. I also get to upgrade all of the trim to smart trim, which helps with curb appeal. 

I may stand alone in this regard, but I really enjoy the rewards of upgrading windows from old, ugly, aluminum framed single pane to nice vinyl dual pane windows.