Is Central Air worth the investment in Bayonne?

[Karim Hussein]

Hi! My partner and I just purchased a two-family home in Bayonne, NJ and are now ready to rehab. We were wondering if you guys in the Bigger Pockets community think it is worth investing in Central Air/heat for both units? Currently, we have window & wall ACs as well as baseboard heating. Definitely an eyesore, but of course, we are thinking about if Central Air will be worthwhile for the ARV. FYI, most houses on our block have AC units. Do you think we'll see a big enough return on this investment when we get the home re-appraised after rehabbing? Thanks!

[Shawn Mcenteer]

Hi @Karim Hussein central air is huge expense that believe it or not does not make a major difference to a tenant, everyone wants it but few will pass up the right property if it doesn't have it.  I get top dollar for my rentals using window units. I know of rentals collecting over 4k/  month (for 1 unit) using window units.  You will get a much better return on investment update kitchen bath and unit itself.  Keep in mind my rentals appeal to high end luxury tenants. Regarding appraisal side of things, kitchen and bath.  Increasing living space, adding a bath will produce the most.