Homes4Income

Making Income Through Rental Property

  • Home
  • Investor Profile
    • Pre-Approval Form
  • Articles
    • Cap Rate
    • Cash Flow
    • Finance
    • Financial Planning
    • Florida Real Estate Investing
    • IRA & Nonrecourse Loans
    • Passive Income
    • Property Investors
    • Property Management
    • Purchasing Investment Property
    • Real Estate Investing
    • Rehabbing Investment Properties
    • Rental Income
    • Retirement
    • Section 8
    • Tampa Real Estate Investing
    • Tampa Rental Income
    • Taxes
    • Turnkey Real Estate Investing
  • Videos
  • Properties
    • Off Market Deals
  • Graystone Financing
  • Testimonials
  • About
    • Investing in Rental Property
    • Graystone Investment Locations
    • Contact
Home / Articles / Rehabbing Investment Properties / 5 Investment Property Rehabs That Devalue a House

5 Investment Property Rehabs That Devalue a House

February 24, 2015 By Jorge Vazquez

5 Investment Property Rehabs That Revalue a House
Photo Credit: Discount Vacation Rentals Online/Flickr

When it comes to rehabbing investment property, there are some improvements that devalue the investment and make it less desirable.

Here is our list of 5 things you should avoid when rehabbing investment property.

#1 Luxury Headaches

There is certainly a market for luxury investment property and rentals, but this is typically a small segment of the overall market. Therefore, many real estate investors choose not to focus on the luxury market.

For many renters, luxury items such as pools, hot tubs, and extravagant landscapes are not items they are interested in maintaining while renting a property. They are not interested in the added expense of maintaining these items, nor in devoting the time to take care of amenities they’ll seldom use.

When rehabbing investment property without luxury items, be very judicial when adding them.

And if you already own investment property with luxury items, consider protecting yourself (and your property) by including maintenance of these items in the property rent. But, realize that many renters will not be interested in the more expensive rent.

#2 Overly Specialized Spaces

Overly specialized spaces, like a garage that’s been converted into a sunroom, are appealing to a limited number of renters. Most renters would opt for a garage rather than a sunroom.

When rehabbing investment property, keep in mind the physical characteristics renters prefer in a home that will result in the highest rents and cash flow.

#3 Over-the-Top Kitchens and Bathrooms

Renters are looking for a conventional floor plan with a good size kitchen and updated bathrooms that have modern fixtures and appliances.

But with everything in life, there should be balance.

Except in the luxury market, renters are unwilling to pay for over-the-top kitchens and bathrooms. They want to live comfortably in a modern and functional space without “breaking the bank”.

For more information, read: Top 10 Physical Characteristics Identifying the Best Cash Flow Properties.

#4 Cheap Fixtures

One of the most cost effective upgrades for a home is modern fixtures. For a few additional dollars, you can upgrade from cheap fixtures to modern and appealing fixtures that are desired by tenants.

The investment to install higher-quality fixtures will pay off over and over again, as you collect higher rents for the property and have shorter vacancies.

#5 A Bad Coat of Paint

Like fixtures, it cost just a few dollars to upgrade from an unappealing paint job to paint that provokes prospective tenants to rent your property.

Fresh, modern paint that appeals to the masses is a “must-have” for high cash flow properties demanding the highest rents.

Take Away

Renters are seeking properties that are affordable, while also being modern and functional. They want to rent a safe property that feels like home, where they are proud to entertain family and friends.

As with many things in life, less is more in some respects when rehabbing investment property. In most cases, renters are not look for over-the-top features and expensive amenities that will take away free time to maintain.

Knowing your tenant base, and keeping your rehab balanced, is the key to rehabbing properties that will yield high cash flow while bringing in the highest rents.

headshot of Jorge VazquezLearn More About Real Estate Investing

The Graystone Newsletter will keep you informed with important information relating to real estate investing. The newsletter includes information we share with our clients about the best places to invest in real estate, the latest trends, and the information you need to know to succeed investing in real estate.

Real estate investors, wholesalers, flippers, real estate agents, and everyone connected to the real estate industry will benefit from the wealth of information we share very month.

For more information about how we process your data, please click here to read our Privacy Policy.

Disclaimer:
HOMES4INCOME.COM IS A WEBSITE OF GRAYSTONE INVESTMENT GROUP LLC. YOU ARE HEREBY NOTIFIED THAT NEITHER GRAYSTONE INVESTMENT GROUP LLC, NOR ANY OF ITS EMPLOYEES OR SUBSIDIARIES, REPRESENT YOU IN ANY CAPACITY. YOU SHOULD NOT ASSUME THAT GRAYSTONE INVESTMENT GROUP LLC OR ANY OF ITS EMPLOYEES OR SUBSIDIARIES IS A REAL ESTATE BROKERAGE. WE ARE A WHOLESALER, AND ALWAYS ACT AS A SELLER OR ASSIGNOR ON EVERY TRANSACTION.

Get Started Now!

By clicking this button, you consent to receive emails, calls, and text messages about our products and services at the email address and phone number you provided. You agree that such calls may be made using an automatic telephone dialing system, they may be considered telemarketing or advertising under applicable law, and that you are not required to provide your consent to these calls to make a purchase from us. For more information about how we process your data, please click here to read our Privacy Policy.

Recent Articles

  • Tampa Earns Spot on TIME’s List of World’s Greatest Places: What Sets Our City Apart
  • Questions to Ask Yourself Before Investing in Real Estate
  • Top Seven Tips for First-Time Homebuyers
  • What You Should Know About Home Appraisals
  • Why You Need a Real Estate Agent When Selling Your Home
Graystone Investment Group
3001 N Rocky Point Dr E,
Suite 200

Tampa, FL 33607 USA
phone Graystone Investment GroupCall (813) 449-4323
Subsidiary Brands:
Graystone Acquisitions
Graystone Investment Group
Graystone Real Estate
LendingGIG
Rental4Income.com
RealEstate4Investing.com
  • Home
  • Investor Profile
  • Articles
  • Videos
  • Wholesale Properties
  • Recent Properties
  • Testimonials
  • Contact
  • Accessibility Statement
  • Terms of Service
  • Graystone Privacy Policy

Recent Posts

  • Tampa Earns Spot on TIME’s List of World’s Greatest Places: What Sets Our City Apart
  • Questions to Ask Yourself Before Investing in Real Estate
  • Top Seven Tips for First-Time Homebuyers
  • What You Should Know About Home Appraisals
  • Why You Need a Real Estate Agent When Selling Your Home
Investor Profile | Private Lender Profile
Client Evaluation | Rewards Program | Glossary | Pre-Approval Form | Legal Notice
© 2023 GRAYSTONE INVESTMENT GROUP, ALL RIGHTS RESERVED. THE HOMES4INCOME LOGO AND BRAND IS THE PROPERTY OF GRAYSTONE INVESTMENT GROUP LLC
DISCLAIMER: HOMES4INCOME.COM IS A WEBSITE OF GRAYSTONE INVESTMENT GROUP LLC. YOU ARE HEREBY NOTIFIED THAT NEITHER GRAYSTONE INVESTMENT GROUP LLC, NOR ANY OF ITS EMPLOYEES OR SUBSIDIARIES, REPRESENT YOU IN ANY CAPACITY. YOU SHOULD NOT ASSUME THAT GRAYSTONE INVESTMENT GROUP LLC OR ANY OF ITS EMPLOYEES OR SUBSIDIARIES IS A REAL ESTATE BROKERAGE. WE ARE A WHOLESALER, AND ALWAYS ACT AS A SELLER OR ASSIGNOR ON EVERY TRANSACTION.
Internet Marketing by Image Building Media.