Remodeled homes will sell for bigger premiums going forward because it has become so much more costly and difficult to remodel today. In the previous article, I focused mostly on the negatives of remodeling. However, this article will focus on the financial benefits of remodeling. Namely more rental income and a higher property value.
The home I bought and began remodeling in 2019 turned into a rental in October 2020. Here’s a case study on how much money I ended up spending on the remodel and how much additional rental income it now generates. I’ll also calculate how much potential value the remodel created if I were to sell.
Remodeling Your Rental Property For More Rental Income
After remodeling the kitchen and three bathrooms on the top two floors, I ended up renting out the space for $6,700 a month. I also refinished the floors and painted