Renovating before renting or selling: which renovations should you prioritize to increase the value of your property?

Looking to rent or sell your apartment or house in Lausanne? Targeted renovations can boost your property's value and speed up the sale. Not all renovations offer the same return on investment. Discover the best improvements to attract tenants or buyers in the competitive Vaud real estate market.

Understanding the expectations of the Lausanne market

What tenants are looking for in Lausanne

The Swiss rental market is tight and tenants are demanding. Above all, tenants are looking for practicality and a property in impeccable condition. A modern, fully equipped kitchen, a clean and recently renovated bathroom, and well-maintained flooring are key factors.

Prospective tenants also appreciate bright rooms, ample storage, and neutral decor that allows them to envision themselves living there. In the canton of Vaud, energy efficiency is an increasingly important factor influencing rental costs.

A well-renovated apartment rents faster, at a higher price, and attracts better-quality tenants who will take care of the property. The initial investment is recouped over several years of trouble-free rentals.

What buyers are looking for in the canton of Vaud

Buyers, whether first-time buyers or investors, assess the condition of the property and mentally calculate the necessary renovations. A property requiring extensive renovation will always be the subject of tough price negotiations.

Conversely, a tastefully renovated apartment or house sells faster and at the asking price, or even above if it's a favorite. Buyers appreciate turnkey renovations that allow them to move in without any work.

In the Vaud market, for example, appearance is very important. A property renovated with quality materials and tasteful decor makes a first impression that justifies a higher price.

Profitable renovations

The kitchen: the number 1 investment

The kitchen is the crux of any rental or sale project. It's the first room visited and the one that tips the scales. An outdated or dilapidated kitchen is an immediate turn-off for both tenants and buyers.

You don't need a luxury kitchen to get the best return on investment. A mid-range, modern, functional, and well-designed kitchen is more than sufficient. Opt for neutral cabinet fronts, durable worktops, and brand-name built-in appliances.

Investing in a new kitchen can yield a return of 75% to 100% upon resale and, in some cases, can allow you to rent the property for 10% to 15% more. Mathematically, it's the most profitable aspect of your renovation.

The bathroom: fresh and modern

After the kitchen, the bathroom is the second most important point of attention during any viewing. An outdated bathroom, with old-fashioned tiles or yellowed fixtures, devalues your property.

A complete renovation isn't always necessary. If the layout is good, a smart refresh is often enough: new wall tiles, paint, modern faucets, a designer mirror, and LED lighting. These targeted changes can transform the space at minimal cost.

Soils: the common thread

Damaged, stained, or outdated floors instantly detract from the overall impression of your property. Conversely, beautiful, well-maintained floors convey an impression of quality and cleanliness.

Hardwood flooring remains one of the most elegant floor coverings on the market. If your current hardwood floor has potential, sanding and refinishing it can transform it at a lower cost. This is a worthwhile investment.

If you need to redo your floors, quality engineered wood flooring is the best compromise between aesthetics, durability, and budget. Avoid cheap laminate flooring, which is easily recognizable and devalues your property. In bathrooms and kitchens, simple, modern tiles remain a safe bet.

Paintwork: a low-cost facelift

Repainting your entire property is the most cost-effective way to change its appearance. Clean walls in neutral, modern colors give the impression of being new and well-maintained.

Opt for off-white or light grays, which visually enlarge the space, reflect light, and allow visitors to imagine themselves there. Avoid overly bright or personal colors that can be divisive.

Think about the ceilings and woodwork. A yellowed ceiling makes a property look old, even if the rest is clean. It's this attention to detail that makes all the difference in the real estate market.

Renovations to consider based on your budget

Small budget: optimizing visual impact

With a small budget, focus on high-impact aesthetic interventions. A complete paint job, replacing switches and sockets with modern models, new modern light fixtures, a thorough professional cleaning – it already makes a difference.

Change worn door handles, clean or replace blackened tile grout in the bathroom, and add mirrors to make rooms appear larger. These small touches, taken together, create a feeling of freshness.

If you only have one room to renovate on a tight budget, opt for the bathroom. A smart refresh in this key room will have a greater impact than a renovation spread across several rooms.

Average budget: target strategic points

With a moderate budget, you can renovate one or two key rooms. Prioritize a new, mid-range kitchen and a completely renovated bathroom. These two improvements will dramatically increase the appeal of your property.

Add a complete paint job, new flooring in the living areas, and improved lighting. This combination is a sound investment and positions your property in the high-end market.

Don't spread your budget across multiple small projects. It's better to completely renovate two or three major areas than to refresh everything. Buyers and renters will appreciate the difference.

Big budget: total renovation

If you have a substantial budget, a complete renovation will put your property back at the top of the Vaud market. Luxury kitchens and bathrooms, solid wood flooring or tiles in all rooms, high-quality paints and plasterwork, integrated LED lighting, and electrical upgrades to current standards.

This method is particularly justified for well-located properties where the market accepts high prices. Complete renovation appeals to high-end clients who are willing to pay a premium for an impeccable and contemporary property.

Hire an interior designer to ensure overall harmony and avoid costly mistakes that could jeopardize your investment. Professional expertise will optimize your investment and speed up the sale.

Mistakes to avoid

Over-personalizing the decor

The most common mistake is imposing one's very strong personal tastes. Bright colors on all the walls, highly graphic tiles, and an overly distinctive style reduce the number of potential tenants or buyers who can envision themselves living in the property.

Remember, you're not renovating for yourself, you're renovating for the market. Neutrality and timelessness should be your guiding principles for all your aesthetic choices. A clean and chic interior appeals to everyone and rents or sells faster.

This rule applies especially to final choices such as tiles, flooring, or kitchens. You can always personalize with decorative items, but the base should be neutral.

Forget about the finishing touches

Half-hearted renovations with sloppy finishing touches devalue all your work. Poorly done tile grout, missing baseboards, crooked light switches, or paint splatters on outlets give the impression of a rushed job.

Customers notice these shortcomings and deduce that there are other hidden problems. Pay for quality workmanship, otherwise your renovation will have the opposite effect of what you intended.

An interior designer and skilled craftsmen ensure this quality of execution which makes the difference in the demanding Vaud real estate market.

Save money on the wrong items

Some savings come at a high price. Installing a low-end kitchen that deteriorates in a few years, poor-quality tiles that crack, or cheap sanitary ware that leaks quickly will destroy your investment.

In terms of both appearance and structure, don't skimp on quality. A medium-quality but durable material will always be better than a low-end material, even if it looks good at first.

Savings are made on the unseen or less important, never on what is seen and used every day in your property.

Neglecting energy efficiency

With rising energy prices, failing to do so will negatively impact your property. Buyers and tenants are paying increasing attention to the Energy Performance Certificate (EPC) and estimated utility costs.

If your budget allows, take advantage of the renovation to improve insulation, replace old windows with high-performance double glazing, or upgrade the heating system. These investments are directly reflected in the market.

Many cantonal and municipal subsidies are available for these energy-efficient renovations. Find out more to optimize your investment and minimize the cost of these value-enhancing improvements.

Specifics depending on your objective

Renovating to rent: profitability first

When renovating to let, think about ROI and sustainability. Estimate how many years it will take to recoup your investment based on the permitted rent increase.

Opt for durable, easy-to-clean materials rather than aesthetics. Quality engineered wood flooring is more resistant to rental wear and tear than fragile solid wood flooring. Sturdy tile is preferable to a more attractive but fragile floor.

Also consider the ease of refurbishment between tenants. Washable paints, impact and stain resistant materials, and easily replaceable standard equipment will reduce your maintenance costs in the long run.

Renovating to sell: the emotion and the emotional connection

For a sale, it's a little different. You want to create that "love at first sight" feeling that will justify your price and trigger the purchase. Aesthetics, atmosphere, and emotion become more important.

Have a professional home staging done once the renovation is complete. A few pieces of furniture, decorative accessories, green plants, and carefully chosen lighting can transform an empty apartment into a desirable living space.

Professional photos of your renovated and staged property will generate more visits and justify a higher price in the competitive market.

The best time to renovate

Renovate before or after renting?

Always renovate before renting. A renovated property rents faster, for a higher price, and to better tenants. You also avoid rental vacancies during the renovations.

If the property is already rented and you want to renovate it, wait until the end of the lease instead of forcing your current tenant. Renovating in an occupied dwelling often creates conflict and makes the project difficult.

Plan the renovation to be completed just before periods of high rental demand: the start of the academic year in September and the beginning of the calendar year in January-February.

Renovate before or after the sale?

For the sale, it varies depending on the condition of the property and the market. A property in poor condition can be sold "as is" at a discounted price, with the buyer undertaking the renovation to their liking.

But this approach drastically reduces your pool of potential buyers. Only investors or people with the time and skills to manage a renovation project will be interested in your property. Since the market is small, negotiations will be more difficult.

Renovating before selling significantly expands your target audience, accelerates the sale, and optimizes the final price. In today's Vaud market, this strategy is often more lucrative.

Should you hire a professional?

The benefits of an interior designer

To optimize your investment, working with an interior designer is a valuable asset. This professional knows exactly what the market is looking for and which projects generate the highest returns.

It saves you from costly mistakes, optimizes your budget by targeting the most profitable interventions, and ensures a harmonious and professional result that will please tenants or buyers.

Its network of qualified craftsmen guarantees a fast and careful execution, essential when every month of rental vacancy or delayed sale costs you money.

The ROI of expertise

The fees of an interior designer are offset by budget optimization, a faster sale, and a higher rental or sale price. A property renovated with taste and professional expertise instantly stands out from the competition.

In the canton of Vaud, where the real estate market is tight, this distinction justifies significant price differences. The investment in expertise pays off from the very first sale.

FAQ: Renovating to rent or sell

What budget is needed to renovate before renting or selling in the canton of Vaud?

The budget naturally depends on the initial condition of your property and the scope of the work. For a light refresh (painting, minor repairs, professional cleaning), expect to spend a few thousand francs. For a partial renovation (kitchen, bathroom), the budget will be higher. A complete, high-end renovation is expensive per square meter. The key is to think in terms of return on investment: your renovation should allow you to either rent at a higher price (amortization over several years) or sell faster and for a higher price. A competent interior designer can help you define a realistic budget and optimize it for a better return on the market.

Which renovations are tax-deductible?

In Switzerland, renovations are subject to two types of tax treatment. Maintenance work that preserves the property's value (repairs, like-for-like replacements, routine upkeep) is deductible from taxable income. Improvement work that increases the property's value (new installations, major upgrades) is not immediately deductible but can be deducted from the capital gain upon sale. Energy-saving renovations receive preferential tax treatment (full deductibility and potential subsidies). Keep all invoices for the work carried out. For rental properties, certain expenses may also be deductible differently. Consult a tax advisor to optimize your personal situation in the canton of Vaud.

Do I have to redo everything or can I focus on certain parts?

You don't need to redo everything, but consistency is key. A brand-new, ultra-modern kitchen in a run-down apartment is a jarring contrast. Define a consistent overall level of finish. If your budget doesn't allow for a complete renovation, focus on the key rooms (kitchen, bathroom) and maintain a decent condition everywhere else (paint, cleaning). This works if the rest of the property is clean. If the apartment is very run-down, a partial renovation won't suffice in a demanding market. An interior designer can give you an objective assessment of your property's condition and guide you on the minimum work required to make it appealing.

How long does it take to recoup the cost of a rental property renovation?

The profitability of a rental renovation is measured by comparing the permitted rent increase to the cost of the work. But other advantages should be considered: faster rental (less vacancy), potentially better tenants (fewer hassles), and less maintenance over several years. In Lausanne, for example, where rental demand is high, a renovated property always rents more quickly and to more qualified tenants. In the long term, renovation also increases the resale value of your property. So consider all these factors beyond simply calculating straight-line depreciation.

HEMMAMIA Council

We objectively assess your property, define an optimized renovation strategy based on your budget and objectives, and coordinate all the work for a professional result that will appeal to tenants or buyers. Our approach: modern aesthetics, functionality, and budget control.

Whether for rental or sale, we transform your property into an attractive real estate product that stands out in a competitive market.

Add value to your property with HEMMAMIA

Renovating before renting or selling isn't an expense but a smart investment that pays for itself quickly. With the right decisions and professional execution, you maximize your return and accelerate your sale.

Contact us now for an initial consultation and see how we can transform your property into a high-end real estate asset. Our expertise will guide you towards the most profitable renovations and guarantee a result that will appeal to the most discerning tenants or buyers.

Turn your property into a real estate opportunity!