Transforming Rental Properties in Dubai: Cost-Effective Upgrades for Landlords

In recent times, Dubai has shown a surge in people seeking to invest in properties there to earn from their rentals.

While this is a trend on the upswing, it is a well-known fact that only the ones that have been designed with enough research behind what a potential tenant could desire while looking for a rented home make the cut.

In this post, we share some ideas about how to upgrade rental properties to attract tenants and increase rental yields.

Affordable renovation ideas for rental properties

Here are some renovation ideas for rental properties that our experts recommend:

Painting

When looking at painting a rental property, look for a color palette that fits every kind of art, decor, furnishing preference, and interior decoration effortlessly. Neutrals are the best bet.

Oil-bound paints for easy cleaning of the walls will save the cost of repainting frequently. A few subtle accents here and there will give the home a distinctive character and may well become the high point of the house.

Keep durability, aesthetics, and cost-effectiveness in mind for the rental property to check all the boxes of affordability that come with comfort and convenience.

Emulsion, enamel, or texture, UV, and moisture-resistant paints keep the property in high demand on the rental market. Paints that don’t fade easily, can withstand the extreme temperatures of Dubai, and have low VOC will ensure environment-friendly practices along with good health for the residents.

2. Lighting Upgrades

Demand for LED decorative lights has risen for creating accents, recessed, or directional lighting. They are the preferred lights when getting ambient lighting systems installed in the house, giving each family member the ability to set the lights as per their mood and preference.

They also work in favor of your energy consumption, keeping it at an even keel. Little tweaks in lighting are a cost-effective yet impactful way to transform the look, feel, and function of the house.

The upfront cost you may have to pay for installing a trending lighting system will add unmatched value to your house. Smart lights that are dimmable and color-changing, and light fixtures that don’t become obtrusive with design sensibilities, are some other things one can bear in mind when fitting out a rental property.

3. Modern Kitchens

Most of Dubai’s rental homes have open-layout kitchens with high-end materials and smart appliances. These open kitchens create a sense of space, allowing easy flow between the kitchen and the living room. Focusing on creating a functional yet aesthetic space while minimizing clutter gets you a kitchen that could well be the talking point of your home.

Ensure durability of all materials being used in the kitchen, invest in good, sleek cabinetry, and think of adding natural stone to add texture and warmth, creating a symbiotic balance with the modern appliances. Floor-to-ceiling windows, hidden cabinets for extra storage, and energy-efficient, voice-controlled appliances add to the allure of a well-fitted kitchen.

4. Bathrooms

State-of-the-art shower fittings, chic vanity, and high-end fixtures of light and storage can turn the bathroom into a small oasis of relaxation and rejuvenation. Install quality mirrors and aesthetic tiles or stone on the floor and walls that are easy to clean and look elegant.

Ensure proper drainage and plumbing so that the tenant doesn’t have to deal with pipe bursts and leakages. Plan your fittings as per the floor size of the bathroom to avoid cluttering up too many elements of use and decor.

5. Furnishing for Tenants

When fitting out a home for rent, keep the furnishings neutral in tone. This allows prospective tenants to bring their design aesthetics into play by adding colors and textures of their choice without disturbing the overall color palette of the home.

It’s not just the furnishings but even the furniture in a fully fitted apartment that must lend itself to multi-functionality. Keep the polish and feel of the furniture as close to natural, earthy tones as possible.

Create storage or stow places within the furniture—collapsible beds, recliners, and sofas are all very functional and create space when not in use.

It’s best not to put art on the walls that may be difficult to work around. Instead, create alcoves, corners, built-in shelves, and divider shelves that allow for free play of decor ideas. Keep everything minimal to allow tenants to dress up their home as they like.

Energy-efficient solutions for rental properties

When renovating your rented home in Dubai, here are some energy-efficient solutions to consider as well:

Smart Thermostats

This is a Wi-Fi-enabled device that controls the heating and cooling of your home. It can be used to adjust the temperature from your phone, tablet, or computer. This device learns your preferences and automatically adjusts temperatures when you’re away or asleep.

Some of these offer geofencing too, detecting when you are about to reach home and adjusting the temperature accordingly. They can record internal and external temperatures, track how long your HVAC system has been running, and receive software updates to use the latest algorithms and energy-saving features.

Having all the controls in your hands rids you of the effort of manual setting while helping you be energy-efficient and save money.

Energy-Saving Appliances

These appliances lower utility bills by consuming less electricity. Reduced energy usage translates to less reliance on fossil fuels, lower carbon emissions, and a smaller environmental footprint.

Sustainable living is becoming the norm, and these appliances often come with rebates and incentives offered by many governments to encourage their use. They surely add to the value of the home, making it more attractive to prospective tenants.

LED Lighting

Energy-efficient and environment-friendly, long-lasting, and available in many colors—there is no surprise why LED lights are gaining popularity.

They save you money on your energy bills, have a lower replacement cost, last for at least 2 to 10 plus years, come with high color accuracy, and don’t emit heat like incandescent or halogen lights. They produce very little infrared light and close to no UV emissions. They can operate at a low voltage and are available even as flexible strips and panels.

Financing upgrades for rental property renovation

If you’re looking for financial support to renovate your rental home, here are some options to consider:

Renovate Now, Pay Later

Reno’s ‘Renovate Now, Pay Later’ is a godsend. It doesn’t require full payment upfront. You can pay for the project after completion, and that too in easy installments. This makes the renovation and fitment dreams of many come to life and achieve fruition.

Business Loans

Banks and financial institutions offer loans tailored specifically for property upgrades and furnishings. To qualify, one needs a well-defined business plan, financial statements, and proof of rental income. The paper trail needs to be immaculately put together to avoid unnecessary delays.

Commercial Mortgages

These are suitable for purchasing or renovating rental properties. The process typically requires a down payment, property valuation, and proof of income. The lender will evaluate the borrower’s creditworthiness and the property’s income potential. These are typically spread over longer terms and offer higher loan amounts.

Asset-Based Financing

This involves securing funds against your rental property or other business assets as collateral. Options may include invoice financing or lines of credit, depending on asset value and financial health. The lender assesses the value of the assets, and this can work as an alternative funding source for those who have trouble getting traditional loans.

Crowdfunding

Some platforms allow you to raise funds from investors for property renovations. Success in this avenue requires a compelling project proposal and a clear plan for investor returns. There are different types—equity-based, donation-based, and debt-based. It helps build a community of supporters and is a good way of generating publicity and drawing people to a project.

Conclusion

The real estate market is very fickle. If you want to stay updated with the latest trends that add value to your rental property, it’s best to work with experts.

At Reno, we are just a consultation away from giving you the best insights on the market and how to make it work in the most favorable way for you.

Schedule a call today.

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