There are many advantages to fencing a rental property, but possibly the most valuable reason you might consider doing so is that your ideal tenant chooses to have a fence. Depending on the neighborhood and your renter demographic, a fenced rental property could significantly increase its marketability.
In the single-family rental home market, you must know what type of tenant you want to rent to and create a property that will best appeal to that group. This goes double if you’re looking for ways to increase your tenant base. If you’re trying to get a new type of tenant in the door, adding a fence to your rental property might do the trick. Tenants with families or pets are often among those who will be more likely to prefer a rental home with a fence over one without.
In contrast, adding a fence to a rental property in some areas doesn’t make much sense. Fences can be an expensive improvement project and not something to take on casually. Some tenants do not need a fence, while others consider them a nuisance that inhibits their views.
Besides, in some neighborhoods, municipalities or owner’s associations have strict regulations about what type of fencing materials are allowed or even if you can have a fence on the property at all. If building a fence doesn’t make sense for your area, tenant demographic, or budget, there doesn’t seem to be much justification to do so.
But what if your current tenant has asked for a fence? If you have gotten such a request, it’s important to take it seriously. This is mainly true if your tenant is a responsible long-term tenant, and you want to keep good relations with them. Building a fence for a tenant isn’t as unusual as it may sound at first. In the end, a fence is a property improvement that will most likely add to your property’s value. You can also often use a new fence as a tax write-off, which may come in handy.
If there are real hurdles in the way of satisfying their request, whether because the HOA prohibits fences or there are strict zoning laws, it’s important to communicate those reasons clearly with your tenant. Simply telling them no may make them feel hurt or resentful and might even prompt them to try and build a fence themselves – probably without your permission and without obtaining the necessary permits or approvals first.
Still, sometimes allowing a tenant to build a fence on the property may be an attractive offer. This is especially true if you know your tenant can do the job perfectly and if they offer to pay for the materials. If both of these things are true, you may feel confident in allowing a tenant to go ahead with the project.
However, there are a few possible pitfalls to trusting your tenant with such a major property improvement. If your tenant builds a fence, you will typically have little control over what materials they choose to use and the construction quality. If your tenant installs a fence using cheap or flimsy materials or doesn’t do a good job, your property could quickly become a neighborhood monstrosity. An unpleasant or poorly built fence may have a significant negative effect on not only your property’s curb appeal but your property values as well.
Because fences often sit on property lines, there is also the possibility that your tenant will damage adjacent properties, injure themselves, or cause friction with the neighbors. People living nearby may not want a fence so close to their property and may object to having one built.
There are also buried gas lines, water lines, and other utilities to avoid. If your tenant accidentally breaks a gas or water line, you could end up not only with angry neighbors but an expensive repair bill from the city as well. The same goes if your tenant somehow ends up hurting him or herself or others. Not only might you be responsible for paying hospital bills, but you might also wind up the target of an expensive lawsuit as well.
Do you have questions about which upgrades and improvements are right for your rental property? Give Real Property Management Providence a call at 401-272-3300! We can help you maximize your rental property’s curb appeal without blowing your budget.