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Home > Management and syndic news > How important is it to renovate a property before letting it out?
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How important is it to renovate a property before letting it out?

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The choice of future tenants is influenced by many factors that landlords would do well to take into account before renting out their property. The criteria are becoming increasingly demanding, a trend partly caused by the events of the health crisis. Besides the obvious need to find a decent home above all, people need to secure and ensure a certain comfort of life. 

Métier Immobilier presents some tips to anticipate the needs in terms of renovation and decoration and thus understand the importance of this enhancement. 

 

Couple renovating their home for rent

 

The landlord's obligations to offer a property for rent

It may seem obvious, but it is nonetheless important to remember that the dwelling is obliged to be decent and habitable to ensure the physical safety and health of the tenants. You can find the list of characteristics of decent housing in the decree n°2002-120 of January 30, 2002. If the housing presents manifest risks, work is imperative.

 

 

The tenant must have access to hot and potable water, be able to heat, easily access sanitary facilities within the housing itself, and benefit from natural lighting and adequate ventilation. All installations and equipment must be recent, functional, and not outdated, thus corresponding to current standards. 

 

With the energy challenges that animate the real estate market, new imperatives will emerge over the years, some changes are already in place. A new Energy Performance Diagnostic (EPC) enforceable will come into effect from July 1, 2021. This aims to better diagnose energy-hungry homes to, in the long term, eliminate thermal sieves. An ambition that will start very concretely in 2028 by banning rentals to F and G label homes. Work will be essential to comply with the new standards. 

 

 

More than decency, the attraction

Beyond the standards of decency set by the authorities, your property must be chosen and therefore, be attractive to trigger crushes. When this happens, tenants are more inclined to increase their financial criteria. The more coveted and pleasant to live in the property is, the more you can afford to propose a higher rent and keep your tenants longer. Frequent moves can cause a greater need for maintenance and work in the long term. Renovating the property and enhancing it allows for quicker rental and differentiating it from the competition in the market. Like any good relationship, seeing a well-maintained and quality home will make its future tenants want to take care of it, thus minimizing the renewal of work in case of new moves. 

 

To trigger crushes, it is not enough to do work for the sole purpose of having a viable or renovated home, but to make it different and unique. Maximize spaces, play with brightness, create architectural features like niches, different shapes, exposed beams, the mix of materials, colors, etc. Contrary to what one might think, a home that is too "tidy" or with a decoration too "neutral" and without colors, diminishes the personality of the home and can make it feel hostile. You can dare to decorate without going overboard. 

 

Deduction from land income 

Carrying out major works represents a certain budget. However, these expenses are deducted from your land income. This deduction includes work for repair, maintenance, and improvement. The land deficit is carryforward for 10 years.

 

Aids for energy renovation

If you plan to carry out energy renovation works, be aware that you can benefit from state financial aid. In an effort to transition to energy efficiency and to eliminate so-called "energy sieve" homes, funds are mobilized to encourage taxpayers to renovate their habitats. For example, you will find the Energy premiums, MaPrimeRénov', the Reduced VAT rate, the Energy check, and the Eco PTZ

 



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