Is Furnished or Unfurnished Better for an Annual Rental?

Posted on December 6, 2016

As a landlord with a single property or portfolio of properties, there are many decisions to make before renting to a tenant. Deciding whether to offer furnished or unfurnished accommodation is just one of the dilemmas faced by landlords everywhere, but which one should you go for?

As one of the leading letting agents in Sunderland, we work with landlords and tenants across the North East to ensure the property rentals we offer are of the highest standard. Here we explore the benefits of going furnished or unfurnished so you can let your property with confidence.

Why go furnished?

There are several benefits to furnishing your property on behalf of your tenant. Basics such as tables and chairs, sofas, beds and wardrobes, floor coverings and kitchen appliances are extremely expensive and often tenants cannot afford to foot the bill for essentials like these. So, for many, opting for a furnished rental brings added convenience and cost effectiveness and on average, furnished flats tend to let more quickly than unfurnished, which means more revenue from your annual rental.

Furnishing your property may be an upfront expense but it can also be a more attractive prospect to many and it is also an investment, as once one tenant moves out you still own the furniture and can offer it to future tenants. From a tax perspective, reliefs are available for the purchase of furniture for rental properties.

Why go unfurnished?

Unfurnished properties can be less problematic for landlords in the long run as insuring furniture and keeping on top of the maintenance of the items can also be an added burden for many landlords, and concerns over the wear and tear of furniture is a common issue.  Of course, there is also the problem of taste, unless you opt for a completely neutral colour palette and style of furnishing, you run the risk of putting potential renters off if they don’t like your taste.

Tenants buying furnishings of their own also tend to rent for the long term with the expense of buying and moving such items making it more economical for them to stay in one place.

What about part furnished?

Want to harness the benefits of both, then part furnishing a property may offer a happy medium. Our letting agents in Sunderland can help you make these vital decisions about your rental property, contact our team today on 0191 510 9950 or email enquiries@hackettproperty.com. Alternatively, please pop in branch to chat to a member of our property rentals team, we’re open six days a week!