Rental property amenities are among the many factors that prospective tenants consider before renting it. Some may sound appealing to them, but the work and costs may outweigh the return on investment that property owners expect. Whether this is your first investment property or not, here are the amenities you should avoid.
Key Highlights:
- Some amenities may seem appealing but can become liabilities if not carefully managed. Gas fireplaces, built-in aquariums, and carpet flooring often require high maintenance or pose safety and cleanliness concerns.
- Community features like pools, grilling stations, and fountains also demand constant upkeep and can lead to increased utility costs or safety issues.
- Tenants generally prefer practical amenities like in-unit laundry and assigned parking, which offer convenience without extra risks.
- Landlords should carefully assess whether the benefits of adding certain amenities outweigh the long-term maintenance costs and potential resident dissatisfaction.
In-Unit Amenities
Gas Fireplaces
A gas fireplace can be a cool addition, especially for luxury apartments in cold areas. If you want to install one in a rental unit, you need to consider the risks and maintenance that it requires.
Failure to do routine inspections can lead to fire hazards. If you have 20 rental units, for instance, that's 20 potential fires that can destroy the apartment building if not maintained carefully.
Built-In Aquariums
Another thing that could make a rental unit look more luxurious is an aquarium built into the room. At first glance, the aesthetic appeal is there, but tenants might not want the responsibility of having to clean an aquarium if it falls into their hands.
The inaccessibility of an aquarium alone makes it a hassle to maintain. If you're in charge of cleaning, you'll need equipment for gravel vacuuming, algae scraping, and other essential aquarium cleaning tasks.
Carpet Floors
The rental property's flooring is one of the first things potential tenants seem to notice, so deciding on the floor's appearance is crucial. Carpet flooring is not only outdated, as hardwood floors are now preferred, but it’s also prone to dust and tearing. Since it’s more prone to normal wear and tear, you’ll have to spend money and replace the carpet yourself.
Tabletop Appliances
Tabletop appliances are usually recommended amenities for rental units with small spaces, but not for single-family homes or large units. Stainless steel appliances would be more appealing to potential tenants, as they tend to last longer before becoming outdated. Tabletop appliances are also more prone to breakage, so you may need to repair them more frequently.
Battery-Powered Locks
Keyless locks are all the rage now with emerging smart security systems, but battery-powered smart locks are more complicated to maintain than you might realize.
Having a built-in alarm system can indeed be beneficial, but faulty security systems may lead to risks and complex repairs. If you’re installing keyless locks, ensure that you choose a model that can also be opened with a physical key.
Community Amenities
Swimming Pool
A pool or hot tub will certainly increase the appeal of your rental property, as well as boost tenant satisfaction during hot days. But are you prepared for the maintenance responsibilities that come with it?
Pools require special equipment for cleaning, not to mention the chemicals you have to put in to reduce bacteria and algae growth. Filling a pool or heating it will significantly increase your utility bills.
Grilling Station
Your current tenants should be encouraged to enjoy the outdoor space of your rental property, but you should minimize the risks. Grilling stations can pose a fire hazard, potentially damaging your rental property and harming renters. Additionally, a neglected grilling station will be an eyesore and reduce the curb appeal of your rental.
Fountains or Water Features
Fountains or ponds may not require as much maintenance as pools, but they still require considerable effort from property owners to keep them in good condition. With certain water features having stagnant water, your outdoor space can become easily infested with mosquitoes during the warmer months.
Additionally, water features like fountains tend to go out of style quickly, which may deter real estate investors due to the extra costs associated with maintaining or removing them.
Laundry Facilities
This may vary depending on your property type and target market. If you have a multi-unit rental property and you aim to rent to young professionals, in-unit laundry facilities may be more appealing to them. Do note that for single-family homes, laundry facilities are a must-have and can be worth the investment.
Open Parking Areas
An assigned parking space is preferable to open parking, where tenants might end up with no space at all. Prospective renters won't want to bother finding street parking, especially when they are entitled to access the parking space.
Should I Completely Avoid These Amenities?
Of course not! If you've done your research and find that the mentioned amenities will add to the value of your rental property, then go for it. If you're worried about the extra work that comes with these investments or the residents misusing them, you can always hire property managers to handle it.
Even if you have good tenants, rental property management can still be challenging since owners must occasionally maintain these amenities. When in doubt, you can either hire a professional to look after your investment property or build a network of reliable vendors to keep everything in working order.
Investment Property Amenities FAQs
Which in-unit amenities are worth it?
- Laundry facilities, storage space, updated appliances, and hardwood floors are among the sought-after amenities for rental properties.
Which community amenities are worth it?
- High-speed internet, gardens, pet washing stations, and fitness centers are among the best amenities you can have. Fitness centers, for instance, about 70% of renters say that a fitness center is a must-have amenity.
How to determine whether a rental property amenity is a good investment?
- Calculate the potential return on investment and compare the cost of the upgrade. You should also research the local market and find out which amenities are in high demand.
With the Help of Property Managers
A property management team is what you need to learn which amenities will add to your property value, improve renter satisfaction, and reduce vacancy rates. At Green Tree Property Management, we aim to maximize the potential of your rental property and make it attractive to potential renters.
Contact us today, and we can help you discover the best way to achieve that!
