Are you on the fence in deciding to lease your property furnished or unfurnished? This is a common dilemma in For Rent by Owner properties, especially new landlords letting their own apartments for great passive income.
From the tenant’s perspective, renting furnished space typically seems like an appealing option. But that’s only if cost isn’t an issue. And, as most of us know, money can be hard to come by. For certain types of tenants, unfurnished space is the flexible and affordable alternative.
It’s safe to say you’ll have fewer worries leasing unfurnished property. Your only main concern is determining where to store your belongings during the lease. If you plan to rent out long-term, selling most of your stuff makes sense. You can then rent storage space for what’s left.
Unfurnished space is the preference of many DIY landlords, especially those who’ve been in the game long enough to know better.
Here are 5 advantages of leasing unfurnished space. For Rent by Owner property is easier to manage when it’s leased empty!
Advantage #1: Less wear and tear in For Rent by Owner unfurnished homes
Unfurnished space frees landlords from the responsibility of furniture upkeep. You’ll find tenants willing to rent furnished or unfurnished properties, sure, keep in mind that an unfurnished property is perfect for tenants who want to haul their stuff in and stay long-term.
Tip: Set terms and restrictions on items tenants are allowed to bring in. Filter the stranger stock from the applications you receive.
Are you okay with a tenant who brings in heads of hunted game to mount on your walls? How about a grand piano, or a suspiciously flea-infested couch?
If everything clears your scrutiny, then you simply need to ensure your property stays intact throughout the lease.
Advantage #2: Tenants who prefer unfurnished property are usually for keeps.
Think of the trouble it took for your tenant to resettle to a new location. If you’re committed enough to take out furnishings from your own apartment, then the same can be assumed of tenants who decide to stake their claim on new soil.
Quick tip: You’ll know your home for rent will be rented for the long haul when the tenant lays out wide carpet.
For Rent by Owner properties are leased with security deposits paid for by the tenants. With a furnished apartment, though, it’s possible your new tenant will jump on your bed and do back flips on your couch, just for kicks. If you have high-quality furniture, this odd behaviour would be enough to keep you awake at night.
Advantage #3: Tenants are generally happier with their own furniture
It’s like preferring your old, worn couch over a new one. There’s something about worn furniture that makes it seem more ergonomic. Everything yields to gravity (and your bulk) sooner or later.
The ideal tenant is one who is rarely at home, often at work, or on vacation. They basically use your property as a place where they can bathe and sleep. Furnished or unfurnished, you’ll invest less on maintenance when the property for rent is barely used.
If allowing your tenants to bring cherished heirlooms seals the deal, then, by all means, accommodate their request.
Advantage #4: You don’t have to insure a tenant’s furniture.
It’s an option, but you’re well justified not to commit. On the flip side, you can set the security deposit to the bare minimum, enough to cover for your home for rent’s basic facilities.
When interviewing prospective tenants, ask leading:
- How long did they stay in their last address?
- Is everyone at home most of the time?
- If pets are allowed, how many will live at the property for rent?
It’s not unheard of for some tenants to bring in a pack of five large breeds. The more specific you are about what’s allowed and what’s not (definitely not 10 Rottweilers), the less conflicts you’ll experience with your tenant.
Pointed questions also provide insight regarding what the tenant plans to bring in. When renting out unfurnished property, you’ll have the joy of knowing a rowdy cat isn’t using your grandmother’s antique table as a fancy scratching post.
Advantage #5: You save money
By renting out an unfurnished property privately, you won’t have to buy new furniture. Wouldn’t you hesitate to buy a new couch you’ll never use?
The impression most people have of For Rent by Owner properties is that these are lived-in, homely and cosy. New furniture is not a guaranteed treat for all tenants. The perfect tenant you find who has a stable job and likes to go on frequent vacations, just might turn his back on your apartment upon seeing your less-than-impressive taste in interior design. By renting out an unfurnished property, you spare yourself the risk of losing a prospect.
Also, keep in mind that furnished For Rent by Owner properties have a market of their own. There are enough takers for unfurnished space regardless of location. It’s not a matter of competition.
Think about it: even if you hold on to a security deposit, the thought of entrusting your possessions to a stranger can be unsettling. Do you use hotel beds as trampolines upon check-in? Your tenants might do the same to your couch. Every day.
At the end of the day, unfurnished For Rent by Owner properties are very easy to maintain for you the landlord. You’ll also have an easier time managing the property, especially if you’re leasing a large space. If you want to play it safe as a DIY landlord, the unfurnished property option is very reasonable.
Have a home for rent in Australia? For only $50, ZeroCommission.com.au will list your rental property UNTIL LEASED!
Learn more on our site: ZeroCommission.com.au and lease a For Rent by Owner property today!
You might also want to check out these other blog posts we wrote especially for Australians who want to sell or lease a home privately:
- Top tips guaranteed to help you write property descriptions that attract buyers or renters immediately
- What sets us apart from commission-based real estate agents and why you save thousands of $ with our real estate services
- How to find the perfect tenant and be a stress-free DIY landlord
- 9 reasons you should share your home for sale privately (or property for rent privately) on Facebook
- Video Tutorial: How to list your No Agent property for sale or for rent with us