There are a lot of reasons for you to furnish your Catonsville rental house. One of these is that furnished properties can be rented out for a higher fee. Another is that you can lease to more kinds of tenants. Owning a furnished rental would still not be ideal for every location or property investor, so you have to consider the pros and cons before you shop for furniture and décor.
Think about the kind of tenants you would want for your Catonsville rental property based on its location and proximity to amenities. For example, your property is situated near a popular vacation spot or maybe a booming city center. You may find that offering furnished rentals is beneficial for this setup and can cater to this renter base.
Your furnished rental can be leased by tenants ranging from executives to investors, project managers, or other business professionals who need to be near their job site for months at a time. Other demographics are also beginning to consider furnished rentals so it is important to establish your market and location so you can market your rental property the best way.
There are other advantages to furnishing a rental house. In financial terms, furnished rentals often rent between 15% and 30% more than unfurnished ones. Having great furnishings helps you rent the property more easily because renters naturally find an attractive furnished space more appealing than an empty one.
Given these benefits, there are also some downsides to furnishing a rental house. The biggest issue owners of furnished properties face is the potential damage to furniture. It is not really a question of willingness to replace worn furnishings. However, tenants may not be as careful with your rental’s furnishings since these are not their own. Choosing durable items will help them last longer but you should still plan and budget for the cost of replacement.
Another common problem with furnishings is those small items 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 is very hard. This is especially important if you are trying to get compensation for missing or broken items. Keep clear documentation of every item in your property before your tenant moves in and do a complete inventory when they move out.
Remember that the more things you keep in your rental house, the more effort you’ll have to spend on 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. Prospective tenants can decide not to rent your property based only on how you have furnished the place or if they find the furnishings less than ideal. Some may also want you to remove some of the furnishings, meaning you will have to find storage space for these. These situations could result in additional costs that can affect your monthly cash flows.
At the end of the day, the decision to furnish your Catonsville rental will be wholly up to you. As long as you understand your ideal tenant and local rental market, you can make a confident choice for the best use of your properties.
If you would like an expert in both property management and the Catonsville area to weigh in on the question of furnishing your rental property, contact the team at Real Property Management Prime 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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