Comparable Properties
One of the essential aspects to remember when buying siding for your rental home is what the other homes in the neighborhood look like. The affordability is perhaps the biggest reason vinyl siding is such a common choice for home exteriors. Compared to other materials, vinyl siding is the most affordable. In addition, it is pretty simple to install, which can drastically reduce those costs. With regard to budget-friendly options, vinyl is the clear frontrunner for rental home exteriors.
Nevertheless, if the other homes in your local rental market all have stucco, brick, or other exterior materials, using siding could hurt you financially. This is because if your rental property appears less expensive than the houses around it, renters might be apprehensive that the Travis County property manager is cutting corners and may not do a great job of keeping up with property maintenance and repairs. In addition, putting siding when comparable properties do not could decrease your property’s value. Therefore, before making any judgments regarding vinyl siding, investigate similar properties in your rental market first.
Cost Benefits
If vinyl siding is widely used in your rental market, there are some significant benefits to installing the same on your property. In addition to being economical, vinyl siding is versatile and has long-lasting durability. Vinyl siding is accessible in numerous different styles and colors, all of which are waterproof and fade-resistant. This indicates that once the siding is installed, it should serve for many years before it begins to show much wear. Vinyl siding is easy to wash with a pressure washer and does not retain or absorb moisture. So for rental properties in humid climates, vinyl siding might be the low-cost solution you need to keep your rental home’s curb appeal going strong.
Drawbacks to Siding
Nevertheless, there are several drawbacks to vinyl siding. Perhaps one of the main causes you might not want to install vinyl siding on a rental house, even if other houses in your market have vinyl siding, is because while it is durable, it can be easily dented and scratched. If you own trees or shrubs around your rental property’s exterior walls, those branches could create permanent damage to the vinyl siding. Tenants are not always the most effective at keeping plants neatly trimmed, so before installing vinyl siding, it is necessary to consider the risk of overgrown trees.
Another significant consideration is whether and how vinyl siding fits into your tax planning. According to the IRS, vinyl siding is an improvement, not a repair. This signifies that you will need to depreciate the cost of the siding over several years rather than be able to deduct the entire expense in the year of purchase. While vinyl siding is an inexpensive solution, it is not exactly cheap and will take a large investment of cash to complete. Understanding how much of the cost you can carry as a multi-year tax deduction can help you better decide whether vinyl siding is appropriate for your rental properties.
At last, it is up to you to choose whether vinyl siding is the better option for your rental homes. Once you do, however, then the true process of locating a great vendor begins. All this analysis and research can require a substantial amount of time you could spend on more profitable investing activities instead.
So, examine the perks of employing Real Property Management Advisors. We can help you identify which exterior siding options work best for your rental properties. We recommend competent vendors with proven track records and professionals who will do the job correctly and at a fair price. Contact us online or call today to learn more about our services!
Originally published on October 18, 2019.