What improvements are profitable for rentals?

[Charlie Anne]

How do you evaluate what improvements are profitable for rental units?

Assuming everything is repainted & clean, what is a good framework to understand the impact of:

-new kitchen countertops 

-bathroom updates

-landscaping 

-etc



What are some renovations you’ve done that have paid off?

What was a waste of $$?

[Anthony Vicino]

A lot of the value you can charge for will be dictated by your local market.

For us, with Class B and C assets, we see the most bang for our buck with flooring, appliances, cabinets/countertops, fixtures, and paint. The areas in particular to pay attention to are kitchens and bathrooms.

Avoid the renovations that are invisible to the tenant or that make the unit "too" nice (no need for granite countertops if none of the nearby competitors have the same).

A great way to determine market baseline is to go visit comparable properties renting at market rate to see what the generally accepted standard is in your area.