Whether the goal is to increase rent or the demand for a property, some renovations can offer more in terms of ROI than others. If you’re beginning renovations on a property soon, it’s important to understand the impact that these apartment renovations can have on your ROI.
Identify the Reason for the Renovation
Apartment remodeling happens to either ensure future rent increases or to prepare a property for sale. Both reasons will require an understanding of market demand and value vs. cost.
Market Demand
Demographics are a great place to start with determining market demand. Older tenants, for example, may prefer an original look. Therefore, the demand in this scenario may be different from a younger demographic who may place a higher value on stylish amenities.
Value vs. Cost
The cost to renovate will depend on your budget—more on that below. Once you’ve crunched these numbers, you will need to consider whether the renovations you’ve chosen will increase property value and, ultimately, ROI or cost you more.
Determine Budget
You need to know how much money there is to work with. Once you have this number, you’ll want to consider needs vs. wants. Anything that needs fixing should be done before adding luxury items like big-screen TVs.
Top Renovations for ROI
As stated previously, some renovations can get you a higher net profit than others. That being said, here are some of the most profitable.
Adding a Bedroom
Adding a bedroom is a popular choice. However, you will earn a greater ROI by turning one bedroom into two than by adding a bedroom when there are already two or more. Therefore, a large bedroom space can be easily and cost-effectively split into two private rooms by installing frosted glass panel dividers.
Improving the Kitchen
Kitchen improvement is another popular choice. However, complete kitchen renovations can be expensive. Instead, you can dramatically change the look in other ways by installing movable panel walls between the kitchen and dining room. This can have the same visual impact as a complete renovation while adding far more functionality and versatility.
Bathroom Upgrades
Upgrading outdated bathrooms or adding carefully chosen amenities can result in added value. Glass walls can enclose a bathroom shower and a soaking tub can be added or a glass privacy wall can be used to discreetly and stylishly separate the two.
Money-Wasting Renovations
The wrong renovations and upgrades can end up costing you money. Avoid materials that wear poorly and show scratches and chips, as well as those in darker colors which can advertise wear. In addition, purchasing new instead of re-facing and repairing will also raise your costs, but not your property’s value.
Transform Your Property
Glass is a timeless yet trendy addition to an apartment that increases ROI. Space Plus, a division of The Sliding Door Company, offers top-quality dividers, panels, and walls, along with a wide variety of completely customizable options to suit the style of every apartment property. Call 1-888-869-1850 and claim your free consultation.
