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Why furnish your investment property?

There are lots of great reasons to furnish your investment property. For starters, quality, well furnished properties generally attract higher rents and don’t sit empty for long. It’s also a good way of protecting your asset – by keeping your purchased furniture in the apartment (give or take replacement pieces), there will be fewer scuffs and bangs on the walls from tenants constantly moving furniture in and out.

So, who rents furnished apartments?

  • People who relocate from interstate for work
  • Those that fly in and out for work regularly (this occurs mainly between Melbourne and Sydney)
  • Couples or families that need to relocate during renovation or building of their home
  • Travellers – this area is much more seasonal, with a higher inquiry rate near the beach in summer
  • Students (interstate and international)

What to keep in mind when furnishing a rental property

To start, when fitting out a rental apartment we look at where the investment property is situated. If the property is within walking distance of the CBD then it is likely there will be demand from both long-term and short-term corporate lets. This market segment generally requires a greater investment in the furnishings because of the caliber of tenant you are likely to attract.

Director of Map Real Estate, Michael Furlong recommends, “always using an interior designer to furnish your rental apartment because furnishing a property for a corporate tenant is not the same as fitting out your holiday house. It is not advisable to use second hand goods, or simply spend a day at Target. Tenants are not going to pay a premium for a property that is either poorly furnished or looks like the items have all been picked up in a garage sale”.

With this type of property, at Ferrari Interiors we recommend you provide everything from linen and towels to the cutlery and crockery. It should feel like a home away from home for the corporate traveller.

Furnishing an apartment will also provide additional tax benefits through increased depreciation that can be claimed against your income. It’s critical to discuss the impact of this with your accountant, who will be best placed to advise on whether this strategy will be beneficial to your personal circumstances.

To find out more about Ferrari Interiors’ apartment packages please click here.

For further information please ring Bernadette at Ferrari Interiors on 0417 088 602, or email bernadette@ferrariinteriors.com.au