Landlords often make improvements to their properties in order to maximise their rental value but if done right, they can also give its capital value a healthy boost.
Research from an online loan provider has shown that average improvements can add up to 10% to the value of a house which is definitely not to be sniffed at.
There are a whole range of potential improvements you can make to most properties from simple redecoration to extensive structural changes but which will add the most value?
A conservatory provides valuable extra living and entertaining space – but inevitably means sacrificing some of the garden. Conservatories are quicker and easier to complete than a traditional extension. For planning purposes it is considered a permitted development, which means you don’t need to apply for planning permission as long as you keep within set size limits.
Average cost: £5,300
Average profit: £5,750
An extension can add additional living space by increasing the size of existing rooms or adding new ones. The government has recently relaxed planning rules around extensions. Until May 2016 you can add a single-floor extension of up to 6 meters to a semi-detached or terraced property. If your property is detached, this limit increases to 8 meters. You still have to consult with your neighbours but other than that you are good to go.
Average cost: £19,750
Average profit: £14,000
A loft conversion can increase the value of your property by up to 20% according to recent research from the Nationwide Building Society.
Loft conversions are excellent for providing additional bedrooms and are often used by parents to give their teenagers (or themselves) a more private living space. Most loft conversions fall within permitted development and therefore don’t need planning permission so long as you maintain the current roofline and minimise the external impact.
Average cost: £24,600
Average profit: £12,000
The kitchen is often the heart of the home so an attractive and well-maintained space can persuade buyers to make a higher offer as they are reassured that they will not have to spend their own money to update the kitchen.
Average cost: £9,600
Average profit: £4,750
The bathroom is an area where buyers are often keen to stamp their own identity on a property but creating a clean, smart and mould-free room will always be money well spent.
Average cost: £4,900
Average profit: £2,350
Even among the most careful of us, carpets are one of the first things to show clear signs of wear and tear in our homes. Aged carpets can give a poor impression of your property and even create lingering smells if stains are not thoroughly removed. Getting the carpets professionally cleaned is a quick and easy way to give your floors a new lease of life.
Average costs: £4,000
Average profit: £2,000
Make sure your newly updated property is fully protected with home insurance – call Discount Landlord on 0800 294 4522 for a quote today.