There are so many reasons that favor furnishing your Homewood rental house. Aside from the opportunity to charge higher rent for a furnished property, you will also be able to widen your tenant base. Still. owning a furnished rental isn’t the right option for every location or property investor. It is still best to weigh the pros and cons before you start furniture & décor shopping.
Think about what type of tenants you wish to attract to your Homewood rental property based on location and proximity to amenities. Let’s suppose you have a property near a popular vacation spot or city center that always brings in new business professionals. If that is the case, offering furnished rentals would be one way to tap into this renter base.
Furnished rentals can be good for both the short and long-term, and this is good news for different tenants like company executives, investors, project managers, or other business professionals who need to be near their job sites for months at a time. Furnished rentals can also be for other demographics so it is good to know your location and market well to help you decide on the best suitability for your rental property.
In addition to this, there are other advantages to furnishing a rental house. In financial terms, furnished rentals often rent between 15% and 30% more than unfurnished ones. Great furnishings can help you rent the property more easily since an attractively furnished space will be more appealing for renters than an empty one.
Aside from these benefits, there are also a few cons to furnishing a rental house. One of the biggest issues for property owners is the potential damage and wear and tear on furniture and other items in the rental house. It is not a question of willingness to replace worn furnishings. But tenants can be less careful with a rental’s furnishings than their own. The quality items you have chosen may last longer but you still need to plan and prepare a budget for the cost of replacement.
Another common problem with furnishings is the small items that are easily broken, lost, or even stolen. Remote controls, bed linens, lamps, and small appliances may quickly break down or disappear. Keeping track of every item in a rental house will be more work for you. This is important especially when you try to get compensation for missing or broken items. Clear documentation of all the items in your rental property before your tenant moves in is important, as well as a complete inventory once they move out.
Having more things in your rental house will also mean more maintenance, cleaning, and general upkeep. Tenants of furnished rentals usually expect items in the house to be in good condition. Anything less, and you may start losing tenants. Tenants could decide not to rent your furnished property just because they did not like the furnishings. If they ask you to remove some of the furnishings, you will also have to find a place to store these Situations like this could bring additional costs that you should be prepared for.
At the end of the day, the decision to furnish your Homewood rental will be wholly up to you. It will help a lot if you have a good understanding of your ideal tenant and local rental market so you can make the best choice for you and your properties.
If you would like an expert in both property management and the Homewood area to weigh in on the question of furnishing your rental property, contact the team at Real Property Management Victory today. Our property management experts can help you determine whether furnishing your rental house is the right move for your situation and goals.
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