6 home improvement trends that could add value to your investment property
Real estate investors understand the inherent need to continuously improve the condition and attractiveness of their properties, but it can be hard to know which enhancements are going to prove popular with tenants and lead to potential positive returns. With a balanced approach between budget and upgrades, investors can significantly increase the value of their residential properties, maximising the likelihood of a lucrative return on their investment.
In this article, we explore the most prevalent and cost-effective home improvement trends in Australia that could provide the best bang for your buck, while improving your property's appeal. Let's go.
1. Integrating Indoor-Outdoor Living Spaces
An increasingly popular trend in the Australian market is the integration of indoor and outdoor living spaces, enhancing the overall feel and footprint of the home. One way of achieving this seamless blend is through the addition or improvement of exterior spaces like decks, patios or alfresco dining areas. For instance, a well-constructed timber deck with adequate shading and comfortable seating can dramatically enhance your property's appeal.
Another way is to incorporate large, bi-fold or sliding glass doors that open up to these exterior spaces. The inclusion of these doors provides a continuous visual and physical flow from the interior to the exterior, creating the illusion of a larger home.
2. Emphasising Energy Efficiency
The demand for energy-efficient homes has seen a significant uptick due to rising utility costs and increased environmental consciousness. Investing in energy-efficient appliances, such as reverse-cycle air conditioners, ovens and dishwashers that come with high energy-star ratings - or adding ceiling insulation to a property, can lower energy consumption and appeal to eco-conscious buyers.
Another noteworthy investment would be in solar panel installations. While it might seem costly upfront, solar panels can significantly reduce electricity bills, provide potential income from feeding excess power back into the grid, and increase your property's value substantially. Check in with the Queensland Government website to see whether they have any solar panel rebates available for investors, to further add to the appeal. Replacing older windows and doors with double-glazed or thermal options can also enhance insulation, making homes more energy-efficient and comfortable.
3. Incorporating Smart Home Features
The impact of technology has been extensive in the real estate industry. Smart home features are becoming the norm and are often expected by potential buyers. Installing programmable thermostats and lighting can increase a home's energy efficiency, offering both convenience and cost savings. High-tech security systems including smart locks and surveillance cameras can enhance the home's security aspects - boosting appeal to families or those who work from home and store valuables within the property.
Ovens that can be controlled via a smartphone, dishwashers that optimise water and energy use, or fibre-to-the-premises (FTTP) internet infrastructure are impressive additions that add considerable value and appeal to a property.
4. Fostering Open-Plan Living
The open-plan living trend continues to gain popularity in Australia. It offers an airy, spacious feel and facilitates social interaction. This can be achieved by removing non-structural walls or combining the kitchen, living, and dining rooms.
For instance, a property with a small, segmented kitchen can benefit immensely from knocking down the dividing wall and integrating it with the living space. Add an island bench to double as a dining table or workspace, and you've effectively transformed the area into a versatile and appealing open-plan living space.
5. Promoting Eco-friendly Landscaping
An attractive, well-maintained garden can significantly enhance a property's appeal. However, with water restrictions becoming a reality in many parts of Australia, water-efficient, eco-friendly gardens are becoming the trend. Opting for native Australian plants or succulent accents, which require less water and maintenance compared to exotic species, can be a significant selling point.
Moreover, incorporating features like rainwater tanks, drip irrigation systems, and mulched garden beds can further increase the property's sustainability credentials and appeal to environmentally-conscious tenants or buyers.
6. Modernising Kitchens and Bathrooms
Kitchens and bathrooms often sway potential tenants or buyers' decisions. Investing in these spaces can be a little pricier, but generally offer good returns. Simple upgrades such as replacing laminate countertops with stone or engineered alternatives, installing modern fixtures, or repainting cabinets can dramatically enhance these spaces' aesthetic appeal.
In the bathroom, installing water-efficient fixtures like low-flow showerheads not only modernises the space but also appeals to eco-conscious buyers. A frameless glass shower enclosure can make the bathroom appear larger and more luxurious, while heated towel rails add an extra touch of comfort.
Strategically investing in affordable home improvements can significantly increase a property's value. It's important to stay aware of these trends as you make your investment plans, keeping in mind that the effectiveness of these improvements can vary based on local market conditions and property specifics. Always consider seeking professional advice before undertaking significant changes to ensure maximum return on investment. These value-add improvements can pave the way for a successful property investment journey - whether you intend to hold your property long-term, or to apply enhancements ahead of a sale.
Best of luck with your improvements. Of course, if you'd like these coordinated while your property is tenanted, or in brief periods between tenancies, the team here at Wings Real Estate would be happy to assist.