Discover essential furniture choices that enhance your rental property’s appeal. Make informed selections for a successful investment.
Understanding The Benefits of a Well-Furnished Property
An organized and fully furnished rental property will create a warm and inviting space for your tenants. This is a simple yet effective way to attract specific types of tenants, such as students or young professionals. As you look at different styles and trends, you can furnish your vacation rental to appeal to a wide range of guests and thus provide a steady stream of rental income.
Moreover, a furnished property appeals to individuals or families relocating for work, students, or professionals seeking temporary housing, enhancing their overall appeal.
Rental properties with all essential furniture and a few extras provenly fill vacancies faster and secure tax deductions for depreciation, leading to higher rental rates for fully furnished rental properties. Furnished properties can earn 10-50% more than unfurnished ones, depending on lease type.
Landlords can reap the potential financial rewards of offering furnished vacation rentals by making informed decisions and treat furnishing as a long-term investment. Furnished rentals often lead to higher tenant turnover rates, which can increase costs.
Landlords' Guide: Choosing the Right Furniture for Your Rental Property
Before starting the furnishing process, choosing furniture with a neutral color palette is necessary to appeal to a wide range of guests. As a landlord and a host, you should strive to build a rental property that will appeal to a broader market.
Furnishing a rental property can involve significant upfront costs that landlords must consider before deciding to furnish. That is why it's crucial to follow a few simple steps to protect your budget without compromising on quality. Investing in quality furniture proves to be cost-effective in the long run.
This is our formula:
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Durable furniture: Invest in durable furniture that can withstand wear and tear. Look for solid wood and metal furniture, as these materials are sturdy and long-lasting, saving you money on frequent replacements. Furniture for rentals often experiences more wear and tear due to frequent use.
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Neutral color scheme: Choose furniture with basic and neutral tones. Pick neutral tones like beige, gray, or white that make it easy to coordinate furniture and different accessories.
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Practicality and Multifunctionality: Buy furniture pieces that will maximize the space available and add a touch of versatility to your rental property. Consider the style and needs of your potential renters when selecting furniture. A sofa bed serves as both a comfortable seating and sleeping solution for guests. Storage ottomans can provide extra seating while offering a perfect place to store blankets, mattress linen, or other items. By selecting furniture with multiple uses, you can make the most of your rental property's square footage.
At Neill's Homestore, you will find a rich selection of furniture pieces that will nicely complement your rental space. Neutral color schemes appeal to a wider range of tenants while still being stylish.
Look for stylish and functional pieces like the Farmington storage ottoman, with a classy and timeless design. The polyester cloth is strong, and the top opens on hinges to make storage easy. You can put blankets, games, or other things that you want close by, but out of sight. Sit back with your feet up and take it easy on this stylish storage ottoman.
Classy and elegant, a Roxmere sleeper sofa bed is versatile enough to pair with styles from traditional to modern at a price that won’t break the bank. Details like nailhead trim and roll arms polish off the piece with flair. And when visitors drop in for the night, simply pull out the comfortable queen memory foam mattress for an instant guest bed.
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Budget-friendly options: Avoid buying low-cost furniture made from plastic and imitation wood. Instead, invest in quality materials and construction to ensure durability. Take advantage of seasonal sales and discounts to get the best deals. Shop secondhand furniture at local thrift shops or online marketplaces. Furnishing a rental property can involve significant upfront costs that landlords must consider before deciding to furnish.
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Accessorize: Add a personal touch to your rental property with carefully chosen details and accessories. Accent pillows, wall decor, colorful rugs, and artwork will transform the room and create an inviting atmosphere that will make your guests feel at home.
Boost the style and comfort of your living room sofa with decorative pillows by Ashley Signature Design. Inspired by the artistic beauty of watercolor paintings, this accent pillow brings an abstract appeal to your decor. Layer it on your sofa or bed for added visual interest—its strokes of color are sure to leave a chic impression.
Add color and life to the walls with an eye-catching and colorful wall art like Varnward that will brighten up the whole house. Thanks to a vibrant explosion of bold hues, floral details, and hand-painted embellishments, this contemporary piece has a gallery-quality style worthy of a special place in your short-term rental.
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DIY Projects: Design and customize your own furniture to create a unique and contemporary rental property. You will save money, transform inexpensive furniture, and increase the overall appeal of the property. DIY is the perfect solution if you're on a tight budget and need to save money. Choosing a neutral color scheme creates a modern and timeless look for furnished rentals.
Essential Furnishings for a Rental Property
Every room of your rental property needs the best furniture pieces made from quality materials that will make it fully functional and appealing to prospective tenants.
A living room, bedroom, kitchen, or dining area is a separate space that has its own purpose and specific furniture requirements.
In the bedroom, a mattress with a suitable bed frame, a vanity, and bedside tables are a must. Providing a quality mattress is essential for ensuring that tenants get a restful sleep.
A living room needs to be furnished with a sofa or a sectional, a recliner, a coffee table, and storage shelves.
Kitchen must-have appliances are freezer, a stove, a coffee maker, basic cookware and utensils, and a microwave. A dishwasher is optional.
A dining set that includes comfortable chairs and a spacious dining table is essential for any dining area. Check out Neill's Homestore and pick your favorite dining set that will perfectly fit your short-term rental like our Wildenauer - Dining Room Set.
Oslo dining set softens the room, making it perfect for cozier spaces. Standing at a comfortable 36-inch counter height, it becomes a versatile centerpiece for dining and work. Crafted from Asian hardwoods and pecan veneers, it blends boldness and style.
With the right furniture that complements different contemporary styles, you will get a perfectly furnished property that will attract many potential tenants.
Protecting Your Investment - Access The Potential Risks
Furnishing a rental property is a pricey investment with risks. As a responsible property owner, you must assess potential risks and protect your valuable investment.
Normal wear and tear on furnishings can lead to depreciation in property value over time.
Whether you own a short-term or a long-term rental, it's important to recognize all factors and work out a plan that will ensure the long-term success of your furnished rental property.
Consider the following tips:
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Increase the rent amount to reflect the value of the furnished property: Cover the expenses by charging a slightly higher rent amount for your fully furnished rental property. Furnished rentals can charge rental rates that are 10-20% more for long-term leases.
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Charge a higher security deposit to protect against damage: This step is an extra layer of protection in case of damage to your furniture or property.
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Check the property often to make sure it's being taken care of: Promptly identifying any issues will help you solve them more easily. Every property owner needs to make sure the rental is well-maintained.
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Properly screen potential tenants to minimize the risk of damage: Always try to find honest and responsible tenants who is going to take good care of your property and furniture.
Implementing these tips will minimize risks while maximizing the ROI, protecting the rental property and ensuring its long-term success.
Create a Welcoming Atmosphere: Rental Property That Feels Like Home
A pleasant and inviting atmosphere is what will attract prospective tenants and make your property popular on the market, further leading to longer lease agreements and positive referrals. Tenants prefer the convenience of furnished properties, which can influence their decision to rent.
Offering furnished rentals can lead to faster vacancy fill rates because renters do not have to buy furniture.
Aim to leave a lasting impression on every tenant, and build a sense of community that makes people feel comfortable, safe, and valued.
There are many ways to create an inviting and friendly atmosphere in your rental property. Here are a few simple ideas that will get you started:
Add a Personal Touch
Personalizing the space is the easiest way to transform the atmosphere of properties for rent. Simply add unique details and elements that reflect the personality of the property, and its advantages. Hang artwork from local artists or add plants and flowers throughout the property that will bring a touch of nature and serenity to the property.
It's advisable to allow your tenants to decorate the apartment within reason, by hanging up family photos, painting an accent wall, or changing the light fixtures that will fit their own taste and desires.
Tenants in furnished rentals have less flexibility to customize their living space, which can lead to lower satisfaction.
Renting a furnished apartment will also give a tenet flexibility when it comes time to move.
Clear Communication
Effective communication is key to building a long-lasting relationship with your tenants that sets a foundation for mutual respect and contributes to that cozy and friendly atmosphere.
As a rental property owner, it is your job to keep the tenants informed about any updates or changes within the property and to respond promptly to any tenant concerns or requests.
Pro Tips
Use lighting to create a sense of ambiance. Wall sconces, accent table lamps, and tall floor lamps will be both eye-catching decor pieces and sources of ambient lighting that instantly turn the atmosphere of your house from boring into warm, friendly, and inviting.
Furnishing a Rental Property - PROS and CONS
Certain locations, like popular tourist destinations, have a greater demand for furnished rentals.
Investing in the best furniture for your rental properties is a long-term investment that should be carefully considered. Make a checklist with all the pros and cons and decide whether or not this is the right step for your property. Here are some key points to keep in mind:
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Think about the type of tenant you want to attract and whether furnishing will help to achieve that.
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Weigh the pros and cons of furnishing the property: The furniture can be depreciated over time, reducing the overall tax liability. Furnished rentals have a greater risk of tenant damage compared to unfurnished properties. You get what you pay and that will show over time.
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Storage fees: If a tenant decides to bring their furniture, you, as a landlord, will need to arrange storage for the furniture, which brings additional expenses.
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Furnished rentals typically involve less long-term tenant stability than unfurnished units.
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Renting a furnished property will force tenants to ditch personal belongings that they might have an attachment to.
Inspiration and Ideas - Explore Multiple Sources For Best Results
The Internet is always a good place to search for new ideas and inspiration. Sources like Instagram or Pinterest are amazing for finding inspiration for furniture and decor.
Follow home stores, interior magazines, and design studios to stay up-to-date on the latest trend and style.
Stores like Pottery Barn and Neill's Homestore with high quality service are places with a rich selection of functional and trendy furniture for every budget that will save you money in the long run.
Visit a model apartment or showroom to see style and layout. This will help you visualize the final result and decide if the furniture you selected will complement the property's layout.
Finally, if you have trouble selecting the best furniture, consider investing in an interior designer.
The Summary: Final Considerations
Remember that furnishing a rental property is a long-term investment, and it's crucial to evaluate if the increased rental income justifies the initial expenses.
Prioritize durability and quality when selecting furniture and decor. Luxury furniture crafted from quality materials will last and save money on repair or replacement. Durable materials such as solid wood and metal frames are recommended for rental furniture.
Go for a neutral tone that is easy to coordinate and blend with the interior style and color scheme. Select furniture that is multifunctional and practical and furnish a versatile living space that won't feel overwhelming or cluttered.
FAQs
What are the benefits and drawbacks of furnishing a rental property?
Furnished rental properties will fill vacancies faster, increase the security deposit, allow for higher rental rates, and provide tax deductions for depreciation.
There are many benefits but also there are a few disadvantages that you should keep in mind such as the upfront cost of purchasing furniture, the potential for damage by tenants, and the need to arrange for furniture storage if a tenant prefers an apartment without furniture.
Furnishing a rental property can involve significant upfront costs that landlords must consider before deciding to furnish.
Tenants in furnished rentals have less flexibility to customize their living space, which can lead to lower satisfaction.
How can you protect your furnished rental investment?
Proven ways to protect fully furnished properties for rent are:
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increasing how much rent the tenant will pay.
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charging a higher security deposit
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regular property inspections
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screening the potential tenants
What are the essential furnishings for a kitchen in a rental property?
The kitchen in your property for rent should have appliances, basic cookware and utensils, modern appliances, practical storage solutions, and a dining table with chairs.
What are the essential furnishings for a living room in a rental property?
Furnish your living room with a sofa bed or a storage ottoman, coffee table, and decor pieces like wall art, throw pillows, and plants for a personal overall look.
What are the essential furnishings for a bedroom in a rental property?
A bedroom needs to have a high quality and comfortable mattress paired with a durable bed frame, basic bedroom linen, a dresser or a clothing rack, and a mirror.
Where can I buy durable furniture for my rental property?
You can find quality and durable furniture in licensed furniture stores, online marketplaces, and sales.
Buying secondhand furniture is also an amazing way to find budget furniture without breaking the bank.
What type of tenant is more likely to bring their own furniture?
Long-lease tenants are more likely to bring their own furniture compared to short-term tenants.
Long-term tenants will keep the property occupied for extended periods, which will save the landlords time and money.
Should I furnish my rental property?
This is your decision you need to make depending on your budget, the potential for increased rental income, the target market, and your goals.