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What to Consider for a Luxury Rental Property

Dustin Edwards • September 23, 2022

Considerations Are Different for Luxury Rentals

When looking for any rental property, there are a few items every investor needs to keep in mind. ROI (return on investment) and NOI (net operating income) are 2 that you should always consider; however, when looking for a luxury rental property there is no detail too small.


A simple way to view a luxury rental property is by its services that go above and beyond to satisfy the tenants needs, and wants. Luxury rental will have larger living spaces and rooms, with as many amenities as possible. No amenities are too small to overlook, making sure the property is well maintained and functional is a must.


Below are a few recommendations to keep in mind when evaluating a luxury rental property.


Target Market

It is not uncommon for the clientele to be executives and top-level professionals moving into an area for a short term (i.e. 1 year lease) who are looking to enjoy a neighborhood where they may make a purchase once settled in. Though occasionally they may stay for a few years.


The location of your property is another important factor that needs to be accounted for. Areas such as Belmont Heights, and Naples would be prime locations to draw clientele to your luxury rental property.


One of the best ways to be seen by your target market is to be a presence when they’re searching for luxury apartments. Making sure your rental property is being featured in the most used search engines is required. This will likely require you to pay for advertisements to keep your property at the top of the search engines.


Aesthetic

The rental property needs to look the part. A well taken care of and refined landscaping as well as a maintained building exterior will increase the property’s curb appeal. The landscape may include features like a walkway, bike path, garden or water features like a fountain or a pond.


To give the element of luxury within the units consider stainless steel appliances, granite countertops, hardwood floors and plenty of windows.


Swift Maintenance

Of course maintenance in any investment property is important, but with luxury rentals it's expected to be more responsive to repairs and maintenance. For this reason it’s a good idea to have regularly scheduled preventative maintenance. Be sure to keep multiple contractors and tradesmen available to fulfill any emergency repairs on the property or in the units.


Normally this is an expense many investors try to save money on by going with the lowest bidder. With luxury rental properties, it is better to hire well trained, well dressed, polite and established contractors so tenants feel comfortable letting them into their homes for repairs. 


Amenities 

Typical amenities that would be found in regular rental properties should also be found in luxury rental properties. Such as washer, dryer, dishwasher, private parking, and maybe a pool. Luxury rental properties are expected to go above and beyond what is necessary or expected. 


There should be high end appliances, brands such as
Viking, Thermador, Monogram and Gaggenau to name a few. Some luxury rental properties offer dry cleaning services while also providing in unit washers and dryers.


Although a pool is a nice amenity, having a sauna and hot tub available would be considered above and beyond. Fitness rooms should include modern and well maintained equipment and even personal trainers. Many tenants would appreciate a lounge area with a snack bar, cafe and even some co-working space.


Aside from what should be provided to a tenant, consider that many luxury rental properties not only allow pets, but even have amenities and services specifically designed for pets. This may include a dedicated dog park with dog course equipment.


High Speed internet wiring should be provided for either cable or fiber optic internet. Though its not uncommon for the property to provide high speed internet to each unit as well.


Finding the right investment property requires a little bit of research, if you need help evaluating a property you are looking at feel free to call us at (562) 888-0247 or feel free to fill out our
free rental analysis to see what your rental could yield today.

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By Dustin Edwards December 19, 2024
If you're properties are suffering from lack of heating this winter, these 3 common issues could be the cause.
By Dustin Edwards December 12, 2024
Although Southern California’s winters are typically mild when compared to other parts of the country, tenants still value a warm home during the cooler months. Taking steps to maintain a comfortable living environment shows your tenants that their needs are being prioritized. This is crucial for tenant satisfaction, especially during the holidays. Below are three methods to help keep tenants warm during the winter season. Maintain Heating System It's required for landlords to provide rentals with a working heating system, however, it's not uncommon for these to fall into disrepair either because of lack of maintenance or negligence. Scheduling regular inspections and maintenance before the coldest weather can help to ensure the heating is reliable and efficient. Cleaning air filters, and checking for cold spots, or irregular noises can help prevent small issues from escalating into expensive repairs. Preventative maintenance can help to reduce the chances of inconvenient calls for emergency repairs. Being proactive with your maintenance can also help you protect your investment while earning goodwill from your tenant. Another factor that can affect your heating system is drafts around windows and doors. These drafts can cause your heating system to overwork which makes the system less efficient, and reliable and ultimately reduces the lifespan of your heating system. You can address this by inspecting the seals around doors and windows for gaps or cold spots. Replace worn-out seals and caulking where it's needed. Offer Smart Thermostats Consider providing your tenants with a smart thermostat for energy-efficient heating. This can not only give tenants control over their comfort, but it's also a great tool to reduce energy usage. By providing this upgrade to your tenant, you show a commitment to your tenant’s satisfaction which can in turn result in a long-term tenant. These kinds of devices definitely benefit your tenants, though they can also contribute to the longevity of your rental property as well. Additionally, you can give your tenant a smart thermostat as a holiday gift . This can show your tenant that you’re not simply collecting rent while protecting your investment. Reverse Ceiling Fans The direction in which a ceiling fan rotates is oftentimes overlooked, and it can have a great effect on the temperature of a home. A ceiling fan is typically seen as a way to cool down a home during the hotter seasons without using the air conditioning . Reversing the spin of a ceiling fan can help to circulate warm air more efficiently during the cold season . This is because warm air rises, and a fan rotating clockwise will push the warm air back down helping maintain warm temperatures. Most fans have a switch on the motor and it is easily accessible for most people with a step ladder. This easy adjustment helps reduce the need for your tenant to use the heating system. Tenants will notice a more consistent and comfortable temperature indoors. This should also help reduce costs on their energy bill. Reversing the rotation of the ceiling fans also takes some of the strain off of the heating system. This helps to ensure it operates efficiently for years by reducing the wear and tear on it. Taking proactive steps this winter season to ensure your tenant’s comfort demonstrates a landlord’s commitment to their tenant’s comfort. A comfortable tenant is a satisfied tenant , which can lead to a long-term tenant and steady rental income. Consider it a small investment for long-term success. If you need help keeping your rental warm or managing Beach City rental property, we invite you to call us today at (562) 888-0247 or complete our Owner Application online .
By Dustin Edwards December 5, 2024
Discover 3 Gift Ideas for your tenants this holiday season.
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