As a property investor, you know that finding the right property to buy as an investment is the key to maximising your rental return. But what exactly should you be looking for?
One way to ensure your property achieves a good weekly rent is to offer features that are in high demand among tenants. In this blog, we’ll explore five property features that can help increase your rental return.
1. Number of bedrooms
When it comes to rental properties, the number of bedrooms is the most important factor. Typically, a two-bedroom property will rent for more than a one-bedroom, and a three-bedroom property will rent for more than a two-bedroom, and so on. However, keep in mind that the size of the bedrooms matters too. Bedrooms that can fit a double or queen-sized bed are the most desirable, and it’s important to ensure that no bedroom is less than 75% of the size of the others in the same home.
2. Number of living areas
Having multiple living areas can also increase the rental value of your property. A second living area, such as an outdoor entertaining area, can be particularly attractive to tenants. However, it’s important to ensure that the additional living area is far enough away from the first, so that noise is not an issue.
3. Number of bathrooms
To be desirable to tenants, the number of bathrooms should be proportional to the number of bedrooms. A property with one or two bedrooms can get by with one bathroom, but a property with three or more bedrooms should have at least two bathrooms (or, at the very least, two toilets). Cupboard and bench space are also essential for those that are shared by multiple occupants.
4. Outdoor entertaining areas
In the Australian climate, outdoor living has become almost essential for many tenants. Ideally, an outdoor entertaining area should be attached to the house and covered from the elements. Raised back decks or tiled or paved areas covered by a pergola are the most preferable types. When you are evaluating an outdoor entertaining area, make sure there is at least enough room for a BBQ and outdoor setting for 4-8 people.
5. Location
Location is also an important factor for many tenants. Although each individual will value proximity to different facilities, being within a 5-minute walk to a bus stop or 15 minutes to a railway station is generally preferred. Other desirable factors include access to local amenities such as restaurants and shops, good schools, green spaces and community atmosphere.
To achieve the best rental return, it’s important to find a property that boasts desirable features which can increase the rental value and attract high-quality tenants. For more tips on maximising your rental return, check out Prudential Real Estate’s booklet, “21 Ways to Help Determine How Much a Property Should Rent For.” Simply email specialreports@prudential.com.au to receive your FREE copy today.
Prudential Real Estate Campbelltown | (02) 4628 0033 | campbelltown@prudential.com.au
Prudential Real Estate Liverpool | (02) 9822 5999 | liverpool@prudential.com.au
Prudential Real Estate Macquarie Fields | (02) 9605 5333 | macquariefields@prudential.com.au
Prudential Real Estate Narellan | (02) 4624 4400 | narellan@prudential.com.au
