A storage shed can be a nice add-on feature to a Parsippany single-family rental property. However, a storage shed can also be a potential liability. This can make it a real challenge to know whether adding or removing a storage shed from your rental property is the right thing to do. Learning all you can about the pros and cons of storage sheds and if they should be taken can make that decision easier.
What Value Does a Shed Offer?
Whether your property already has a storage shed or you’re thinking of adding one, here are several things you should keep in mind. According to appraisal experts, sheds do not add very much to a property’s value. The benefits of having a shed come from somewhere else. This is especially important to understand if you are thinking about building or installing a shed on a rental property that doesn’t already have one. Although a basic shed can be relatively affordable, there is an investment cost to consider.
Also, there are other pros and cons that you should think about before making your decision.
Pros: Attract New Tenants
The money you spend on a shed will perhaps not translate into a higher resale value but may help make your property more attractive to long-term renters. This is especially true if your rental home doesn’t have large closets, storage areas, or a garage. In such cases, a shed may help you entice and retain tenants who are happy to pay a little extra for the convenience of having on-site storage space.
Another potential upside to having a shed on your property is the chance for your tenant to use it as additional space. The trends of a “she-shed” or “man-cave” have been popular for a while and don’t seem to be going anywhere anytime soon. There are multiple options for using a small space separate from the home, such as hobbies that aren’t suitable for indoors. If your tenants enjoy woodworking or other messy projects, this may be a cost-effective way to attract new, higher-paying tenants to your rental.
Cons: Potential Headaches
Of course, a storage shed may not appeal to all tenants in all markets. This makes understanding your local market and your target renter so important. For example, an increasing number of renters, even those who want single-family rental homes, are either minimizing their possessions or hiring service companies to help them take care of their homes. In either case, the tenant has fewer personal possessions and will not want to pay more for a rental home with a shed.
From a Parsippany property manager’s perspective, having a shed on the property might also bring a few unwelcome problems. A storage shed will require maintenance, adding to the time and expense of property upkeep. Other than that, tenants may overcrowd or exploit the shed, leading to structural damage or even an insect or rodent problem. If this happens, your property values could suffer as a result. For this reason, some property owners may find removing an existing shed, even one in good condition, to be the best option.
So…Keep or Build a Shed – Or Not?
Keeping or removing a shed is not a decision to make lightly. But then if your property already has a storage shed, you will need to address whether or not to remove it at some point. Over time, all structures deteriorate. After a shed has outlived its useful life, it may become both an eyesore and a liability issue. Sagging roofs, warped doors, insect damage, and rust can all turn a shed into a safety hazard for you and your tenants. If any of these problems have arisen, and the shed is not removed, you may be held legally responsible if someone is injured. If you do decide to remove the shed, it is critical to adhere to correct safety standards or to employ a trustworthy contractor to do so for you.
Deciding to add or remove a shed requires careful research and planning. But such steps are necessary to ensure that you have made the right decision for you, your tenants, and your investing future.
Real Property Management NJ Elite is here to help investors with tricky questions like what to do with a shed on your investment property. We can advise you on everything from maintenance to tenant relations. To learn more about what we can do for you and your investments, call us at 908-955-7487 or contact us online.
If you’d like to continue researching maintenance and repair tips for your rental property, check out these blogs:
- Tips and Tricks for Interior Painting
- Protect Your Air Conditioner from the Intense Summer Heat
- Are Your Hearne Residents Damaging Your Kitchen?
- Why Does the Age of Your Temple Rental’s Exterior Matter?
- The Secret to Reducing Wear and Tear on Your Woodway Rental Property
- The Importance of Roof Repairs for Your Marlin Rental Property
- Your Summer Checklist for Affordable Waco Rental Property Repairs
Originally published on December 27, 2019
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