As the owner of rental real estate, you may always be looking for ways to increase the revenue you receive. One way to do so is by renting your unit(s) furnished. Doing so could allow you to charge up to 75% more for in monthly rent. But, before you start moving furniture into any rental property that you own, it is important to be aware of both the pros and cons of furnishing your investment(s).
For example, in addition to receiving more rent from a furnished property, you may also be able to lease any vacancies more quickly, as prospective tenants won’t have to worry about purchasing or moving large, heavy items into and out of the unit.
You may also be able to deduct a percentage of the cost of purchasing furniture and other items for the property. And, there is also the opportunity to use the contents yourself once the tenant moves out.
On the other hand, providing furnishings for your rental property may mean that you’re at risk for added expense if the tenant damages furniture, appliances, and / or other contents that you have provided. Even just basic wear and tear may require the items to be cleaned or repaired between vacancies.
In addition, renting a property that is already furnished may reduce your pool of potential tenants if these individuals or families already own furniture, and would have to either sell or store it during the time they reside in your property.
If managing and maintaining your rental property is taking up too much of your time, working with an experienced property manager could be a great way to still receive a regular income stream, but without you having to personally make repairs and collect rent from your tenants.
So, if your real estate investments are located in the Orlando and / or the surrounding Central Florida area, give us a call to find out more about our property management services.