Furnished or Unfurnished Property?

When it comes to renting out your property, one of the key decisions you’ll need to make is whether to offer it furnished or unfurnished. Each option comes with its own set of pros and cons, and understanding them can help you make the right choice for your investment.

Let’s explore both options:

Background

Furnished Property

PROS

  • Higher Rental Income: Furnished properties typically command higher monthly rents. This is because tenants are willing to pay extra for the convenience of moving in without the hassle of purchasing furniture.
  • Attracts a Wider Tenant Pool: Furnished properties are appealing to a broader range of tenants.

CONS

  • Initial Cost: Outfitting your property with furniture can be a significant upfront expense, which may take time to recoup through increased rent.
  • Risk of Damage: Tenants may not treat your furniture as carefully as you would, leading to potential damage or the need for frequent replacements.

Unfurnished Property

PROS

  • Lower Initial Investment: You won’t need to spend as much upfront on furnishing the property, making it a more cost-effective option.
  • Longer Tenant Stays: Tenants in unfurnished properties often stay longer, as they are more likely to view it as a long-term home rather than a temporary residence.
  • Reduced Tenancy Changeovers: With tenants in unfurnished properties tending to stay longer, you have fewer tenancy change costs to absorb.

CONS

  • Lower Rental Income: Unfurnished properties generally command lower rental rates, potentially resulting in a lower monthly income.
  • Niche Tenant Market: Unfurnished properties may appeal primarily to families or individuals with their furniture, limiting your potential tenant pool.
  • Longer void periods: Finding tenants for unfurnished properties takes longer.

Ultimately, the decision to rent your property furnished or unfurnished should align with your investment goals, target market, and financial considerations. If you prioritise maximising rental income furnishing may be the way to go. However, if you aim for longer-term, stable tenancies and reduced upfront costs, an unfurnished approach may be more suitable.

Remember that each property and location is unique, so it’s essential to evaluate your specific circumstances before making a decision.

If you are unsure about how best to furnish your property to maximise its potential, we will gladly discuss this with you.

Background

Contact Us:

Tel: 0161 327 4799

Email: info@camino-properties.co.uk

Lawngreen Avenue, Chorlton, Manchester