Despite the rental sector becoming more competitive over the past few years, there are still great opportunities out there for landlords.
To help give you an edge, we have curated a list of seven quick ways you can boost your rental yield and make your property stand out in the market.
1. Keep the interiors looking fresh
A fresh lick of paint; and getting on top of the small maintenance jobs is a sure way to quickly and cheaply improve the desirability of your property to renters. As they say, first impressions count. And this is how renters will perceive its potential to be their new home, and therefore, how much they are willing to pay to make it happen.
2. Allow tenants to have pets
Being flexible with pets will give you an edge in the market because, simply, a lot of landlords don’t want to take on the risks or hassle associated. However, the risk is rewarded by renters desperate to have their furry friends around. If you are smart with fencing, and monitor for damage from badly behaved pets when you inspect, then the risks can be mitigated and well worth the added rent your property can generate.
3. Be clever with storage space
The trends are clear, people are staying in their rentals for longer, and with this comes the need to store all the stuff we tend to accumulate while settled in one spot. You can help tenants make the decision to choose your property for their nest, by finding clever ways to maximise storage space. Try adding cupboards where they would be most useful (like a bathroom cabinet), and for your existing storage spaces try installing space saving solutions such as mounted spice or knife racks.
4. Tighten up your outgoings
Increasing cash coming in isn’t the only way to improve your yield, you can (and should) of course decrease the cash going out. Keep an eye out for new insurance deals on comparison websites, review your utility contracts if you pay for these, and think about having a financial review to ensure you’re not better off refinancing your mortgage.
5. Upgrade the kitchen with a dishwasher
Installing a dishwasher in the property can increase the rent you are able to charge. Everyone hates doing the dishes, and for some tenants this will be a non-negotiable. They can cost, more or less, the same as a washing machine and would be a big differentiator for your property. If it's a spacing issue, there are also slimline dishwashers available that are perfect for smaller properties.
6. Go green – for the planet and your tenants
Whilst this strategy may involve a higher upfront investment, minimising environmental footprint is increasingly at the forefront of renter’s minds – particularly the young professional market. Giving your property a green makeover such as upgrading its insulation or installing a smart energy meter will also lower your tenants' energy bills, and allow you to flex its green credentials with a higher rent.
7. Make it home office friendly
As we’ve all experienced recently the way we work has changed. Creating a comfortable designated work space in your property and having a fast Wi-Fi connection will be a massive draw for those who may want to work from home for at least part of their working week.
These seven quick wins should give you some food for thought in how you maximise the yield of your buy-to-let property, adding value to both your tenants and your portfolio.