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Will Spending Money to Go Green Today Save You Money on Your Rental Tomorrow?

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Marina Shlomov - Tuesday, February 18, 2020

Will Spending Money to Go Green Today Save You Money on Your Rental Tomorrow?

Going green with your rental property means taking steps to possess an energy-efficient, carbon footprint reduction home. And, with all the environmental discussions and concerns in the social air these days, many tenants would welcome a home that promises to be good to the earth. 

The downfall of making these upgrades is the cost. With energy-efficient, earth-friendly products in higher demand, the cost of these products is relatively high in comparison to their counterparts. For example, purchasing an air conditioner that promises to run more efficiently and uses innovative technologies could end up costing you – on average- $1,000.00 more. 

So, the real question becomes: is it worth it? Will the upgrades make your rental property more desirable? Will your tenants appreciate the extra savings and provide you with long-term tenancy?

The answers to these questions are going to vary greatly depending on the local rental market, the upgrades that are made, and the up-front costs they required. However, if you are looking to take a few steps toward a green space, try some of these tips:

  • Replace all light bulbs in the house with LED or CFL bulbs. 
  • Install a showerhead that gives low flow water strength. 
  • Ceiling fans can help tremendously. 
  • Apply weather stripping to all doors and windows.
  • Provide power strips to save energy. 
  • Be sure that recycle bins are provided and encourage your tenants to use them.

Larger renovations would involve replacing appliances (including HVAC systems), making the switch to solar energy, and upgrading windows and doors to ensure the home is insulated properly. In addition, planting trees around the property for shade and protection, as well as making dry landscaping choices can also help you reach your goal. 

The truth is – some tenants will appreciate a home that is environmentally friendly – and they are willing to pay for it. Others, however, not so much. Doing something good for the environment, unfortunately, doesn’t always make the most business sense. So, before you go spending a ton of extra money to create a green rental property, know your market.

 Marina Shlomov, a managing partner at ALH|Podland Realty and Atlanta Rental Homes Property Management is the author of many articles on Landlording, Real Estate, Rental Property Management, Atlanta Property Management, and Real Estate Investing. A residential builder in the state of Georgia since 1999, Marina is an investor herself. Her Atlanta property management company is intended “For Investors” and “By Investors” for a simple reason – she knows what investors’ goals are and she works hard to reach their goals. In her spare time, Marina likes to spend time with her family, friends, garden, read and travel. Check her out at www.alhpodland.com. You can find Marina’s articles and comments at @rentalhomesatl on Twitter, on Facebook, Google+, Blogger. and YouTube,BiggerPockets and REI CLub and LinkedIn.


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