Here are 5 exterior improvement suggestions for your rental that will get you the best rent from the best tenants the first time.
By Nancy Abrams
Whether you are managing a single-family home, apartment or condominium, your investment will reach its maximum potential when you consistently attract the best tenants. In order to get the best rents from the best tenants, your property needs to look its best and make an excellent first impression.
It’s often said that you never get a second chance to make a first impression. When a potential tenant sees your property for the first time, it is imperative that it looks its best and makes them think, “I want to live here.”
According to a 2024 Cost vs Value Report compiled by Zonda, a leading provider of data to the residential home building industry, exterior improvements provided the highest return on investment (ROI) for property owners.
Here are five ways to improve your property’s first impression and your ROI with exterior improvements:
1. Replace the garage door
The No. 1 ranking improvement according to Zonda is the replacement of the garage door. It is estimated that 194% of the cost of the new door will be recovered when the property is ultimately sold. An updated, attractive garage door with an electronic opener will help create a great first impression.
2. Upgrade the front door
The second thing your potential renter notices when visiting your property for the first time is the building’s front door. Zonda’s research concluded that the cost of a new steel entry door will increase your ROI 188%. In addition to providing better insulation, the new door will also add security. If you cannot afford a new door, add a fresh coat of paint in a contrasting color.
3. Add a smart-lock security system with camera
Even the oldest property will suddenly seem high-tech when your prospect sees an up-to-date smart lock and a front-door camera system. A new SmartRent survey indicates that 58% of new renters will pay $50.03 more for this amenity.
4. Replace single-pane windows
Window replacement is also high on the list of improvements that will benefit your bottom line. Replacing single-pane windows with energy-efficient double-pane vinyl windows can change the whole look of your investment property and add 67% to your ROI. It will also create better insulation and cut down on ambient noise while adding visual appeal.
5. Repair or replace the roof
A new tenant wants the security of knowing that the building’s roof can withstand extreme weather conditions. When they can see that a roof is in disrepair, it can certainly make a bad first impression and cause them to hesitate about moving in. The Zonda report notes that a roof replacement can add up to 57% to your ROI.
Be strategic as you look around your rental property, deciding which exterior improvements you want to revamp so tenants will visualize your place as the place they want to live. Choose neutral colors and traditional finishes that will stand the test of time rather than going with trendy alternatives that you will have to change in a few years.
The key to getting the most out of your investment and the highest ROI is finding the right balance between affordability and visual impact with exterior improvements.
About the author:
Nancy Abrams serves as content editor for the American Apartment Owners Association (AAOA). AAOA assists landlords, property managers, real estate owners and brokers across the country with managing their properties, including tenant credit checks and tenant background screening as well as state-specific landlord forms, such as a rental application or rental agreement. The association also offers resources from educational webinars and landlord tenant law to approved providers for insurance, rent collection and financing. Contact us today to learn more.
