Your investment property – tips to add value

Discover how to add value to your property with these expert tips.

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Maximising the value of investment property is the aim of the game, and there are some simple steps you can take to add to your property's value. This can allow you to charge more rent, and increase the bank's valuation, so you can access more equity to make further investment property purchases.

Research before you start

Before you get started, carry out some research to find out what prospective buyers look for in the neighbourhood. A good way to do this is to get in touch with local real estate agents and ask what buyers in the area are looking for? You may find that borrowers in your suburb are buying two bedroom units, and they're looking for car space and extra storage space. This gives you a clear indication of where to focus your renovation efforts.

When making changes to your investment property, remember that your personal tastes are just that—personal. As a result, make sure your renovations aren’t limited to what you find appealing, because one man's meat might well be another's poison.

9 ways to increase your investment property's value

  1. Paint. A fresh coat of paint, on the outside and the inside, can make a significant difference to the appearance of a home. It's best to stick to neutral colours in order to attract more buyers.
  2. Landscape. While you might not enjoy gardening, a well-kept lawn and garden definitely up the value of a home and will also tell prospective buyers that you've taken care of the house. Don't forget to fix the fencing if it requires attention.
  3. Fix the roof. Most regions in Australia witness heavy rainfall and this can take a toll on roofs. If your roof is more than 15 years old, it might require a complete overhaul. Otherwise, check the rook thoroughly for leaks and replace all damaged shingles.
  4. Fix flooring. Dirty and frayed carpeting is a turn off, as are chipped floorboards and tiles. Besides, a fresh coat of paint with dirty flooring just doesn't match. You don't have to go overboard, just make sure the floor looks clean and presentable.
  5. Renovate the bathroom. A number of sales don't go through simply because prospective buyers are not happy with the state of bathrooms. Make your bathroom look as inviting as possible, even if it means investing in new fixtures. If you cannot clean grime from tiles, consider replacing them. If the paint in the area is old and dated, repaint it.
  6. Renovate the kitchen. Like the bathroom, a poor-looking kitchen can be a deal breaker as well. Again, you don't have to spend huge amounts to make your kitchen look good. To deal with old cupboards, you can paint them or just replace the doors. With this done, consider adding new handles. If the kitchen bench looks old, replacing just the bench top can serve the purpose you want. Replace old, leaky and rusty-looking taps.
  7. Furnish. Furnishing a home can be a great way to boost rental income, although it requires you to invest some money in the beginning. By adding a little in the form of furniture, you can look forward to short-term renters who don't mind paying higher rents so that they don't have to worry about furnishings.
  8. Add extras. Many renters look for homes with air conditioners, so simply adding an air-conditioning unit can help increase weekly rent. Adding a dishwasher can do the same, as can installing a washing machine.
  9. Add storage. Functional storage space is what many renters look for and this can come in the form of built-in wardrobes as well as backyard sheds.

Learn more about home renovation here

Spending some money to add value to an investment property is a good idea, but it's important that you don't overspend, because typically high expenses might not be easy to recover. What's also important, though, is that you don't cut corners or look for substandard solutions.

Funding your property upgrade

It costs money to renovate a property. If you don't have the necessary cash to spare, you could take out some of your property's equity in the form of a line of credit loan. You essentially take some of the value out of your property and then repay what you spend over time, plus interest.

How to use your property to finance a renovation

Start comparing loans for property investment today

$
years
Name Product Interest Rate (p.a.) Comp. Rate (p.a.) Fees Monthly Payment

Nano Variable Home Loans P&IInvestment≥ 25% Deposit Refi Only

Nano Variable Home Loans
2.29%
2.29%
  • App: $0
  • Ongoing: $0 p.a.
$578
Investors can refinance this no-fee variable rate loan. You will need a 25% deposit. Fast online approval.

Greater Bank Great Rate Fixed Home Loan P&IInvestment 1Y Fixed≥ 20% Deposit

Greater Bank Great Rate Fixed Home Loan
1.89%
2.27%
  • App: $0
  • Ongoing: $0 p.a.
$548
Lock in your interest rate for 1 year and pay no application or ongoing fees.

Athena Variable Home Loan P&IInvestment≥ 40% Deposit

Athena Variable Home  Loan
2.39%
2.39%
  • App: $0
  • Ongoing: $0 p.a.
$586
Investors with large 40% deposits or equity can get this low variable rate. A competitive option for investors looking to refinance.

UBank UHomeLoan Fixed P&IInvestment 1Y Fixed≥ 20% Deposit

UBank UHomeLoan Fixed
2.14%
2.54%
  • App: $0
  • Ongoing: $0 p.a.
$567
Investors can enjoy flexible repayments and an easy application process with this pioneering online lender.

St.George Fixed Rate Advantage Package P&IInvestment 2Y Fixed≥ 20% Deposit

St.George Fixed Rate Advantage Package
2.24%
3.89%
  • App: $0
  • Ongoing: $395 p.a.
$574
$3,000 refinance cashback.
Investors can lock in a competitive rate for two years with this package loan. You will need at least a 20% deposit. Refinancers borrowing $250,000 or more can get a $3,000 cashback (Apply by 30 September 2021. Terms and conditions apply). Refinancers Only.

loans.com.au Smart Booster Discount Investor Variable Home Loan P&IInvestment≥ 20% Deposit

loans.com.au Smart Booster Discount Investor Variable Home Loan
1.99%
2.71%
  • App: $0
  • Ongoing: $0 p.a.
$555
If you have an owner occupier loan with loans.com.au you can also get this very low rate variable mortgage for your investment property. Principal and interest repayments. Add an offset account for an additional 0.10% on your interest rate. Get your loan processed fast and settle within 30 days.

Nano Variable Home Loans IOInvestment≥ 25% Deposit Refi Only

Nano Variable Home Loans
2.59%
2.40%
  • App: $0
  • Ongoing: $0 p.a.
$601
This variable investment loan has interest-only repayments and is for refinancers only. Fast online approval. Requires a 25% deposit.

Well Home Loans Balanced Fixed Home Loan P&IInvestment 3Y Fixed≥ 10% Deposit

Well Home Loans Balanced Fixed Home Loan
2.34%
2.36%
  • App: $250
  • Ongoing: $0 p.a.
$582
A competitive 3 year investor rate with principal and interest repayments. Optional offset account with a $10 monthly fee. Not available for construction purposes.

Australian Unity Wealth Builder Investor Package Variable Home Loan P&IInvestment≥ 30% Deposit

Australian Unity Wealth Builder Investor Package Variable Home Loan
2.49%
2.92%
  • App: $0
  • Ongoing: $399 p.a.
$594
Investors can get a competitive variable rate on this package loan. 100% offset account included. Requires a 30% deposit.

homeloans.com.au Low Rate Home Loan with Offset IOInvestment≥ 40% Deposit

homeloans.com.au Low Rate Home Loan with Offset
2.59%
2.42%
  • App: $0
  • Ongoing: $0 p.a.
$601
This competitive variable rate loan is for investors who want interest-only repayments. You will need a 40% deposit.

HSBC Home Value Loan P&IInvestment≥ 30% Deposit

HSBC Home Value Loan
2.44%
2.45%
  • App: $0
  • Ongoing: $0 p.a.
$590
$3,288 refinance cashback offer
This variable rate loan is available for property investors with 30% deposits. This loan has very few fees. Eligible refinancers borrowing $250,000 or more can get a $3,288 cashback. Terms and conditions apply.

UBank UHomeLoan Variable Rate P&IInvestment≥ 20% Deposit

UBank UHomeLoan Variable Rate
2.55%
2.55%
  • App: $0
  • Ongoing: $0 p.a.
$598
Get a discounted, low-fee investor loan from a convenient online lender. 20% deposit required.

Suncorp Home Package Plus Fixed P&IInvestment 3Y Fixed≥ 20% Deposit

Suncorp Home Package Plus Fixed
2.28%
3.15%
  • App: $0
  • Ongoing: $0 p.a.
$577
$3,000 refinance cash bonus
Borrowers with 20% deposits can lock in a low fixed rate loan for three years. Eligible new borrowers can get the annual package fee reimbursed for the life of the loan. $3,000 refinance cash bonus for eligible borrowers. Other terms, conditions and eligibility criteria apply.

Greater Bank Great Rate Home Loan P&IInvestment≥ 10% Deposit

Greater Bank Great Rate Home Loan
2.29%
2.30%
  • App: $0
  • Ongoing: $0 p.a.
$578
A discounted variable rate with a redraw facility and no application fee and no ongoing fee.

homeloans.com.au Low Rate Home Loan with Offset P&IInvestment≥ 20% Deposit

homeloans.com.au Low Rate Home Loan with Offset
2.39%
2.41%
  • App: $0
  • Ongoing: $0 p.a.
$586
This investment loan keeps fees low, has a sharp interest rate and comes with a 100% offset account. This loan is not available for construction.

Athena Variable Home Loan P&IInvestment≥ 20% Deposit

Athena Variable Home  Loan
2.59%
2.48%
  • App: $0
  • Ongoing: $0 p.a.
$601
A competitive investor variable rate that falls as you build equity.

UBank UHomeLoan Fixed IOInvestment 3Y Fixed≥ 20% Deposit

UBank UHomeLoan Fixed
2.24%
2.50%
  • App: $0
  • Ongoing: $0 p.a.
$574
Pay no ongoing fees on this investment loan fixed for 3 years.

Well Home Loans Balanced Variable P&IInvestment≥ 20% Deposit

Well Home Loans Balanced Variable
2.32%
2.35%
  • App: $250
  • Ongoing: $0 p.a.
$580
If you're an investor with a 20% deposit saved you can get this low rate mortgage. Not available for construction.

UBank UHomeLoan Fixed P&IInvestment 5Y Fixed≥ 20% Deposit

UBank UHomeLoan Fixed
2.54%
2.57%
  • App: $0
  • Ongoing: $0 p.a.
$597
Lock in a 5 year fixed rate on your investment loan and pay no ongoing fees.

Athena Variable Home Loan P&IInvestment≥ 30% Deposit

Athena Variable Home  Loan
2.49%
2.43%
  • App: $0
  • Ongoing: $0 p.a.
$594
Athena's refinance offer for investors and owner occupiers.
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