Last Updated on June 2, 2023 by Dave Farquhar
What appliances should a landlord provide? Every landlord has a different opinion. I tend to be fairly generous. I’ll explain what I provide and why.
First, let me give you a hint: Often you have to spend money to make money, and a fully-stocked house can easily net you $20 additional in rent every month. Assuming a 10-year service life, that means you can afford to spend $700, and $700 buys a lot of used appliances. Also, if a tenant stays an extra year and your house isn’t vacant for a month while you’re getting a new tenant, that’s worth a few hundred dollars alone. Here are some tips on saving money on appliances if you need them.
Second: This isn’t what a landlord is required to provide. It’s what I recommend they provide based on my own experience.
Isn’t providing more a liability?
Providing appliances doesn’t have to be a liability. Get a lawyer to help you, but write a clause in your lease that says what you provide, but that you provide no guarantee they are operable. If they break, yes, you should probably fix them–for a good tenant. But the contract means you can leave a bad tenant on the hook to pay for the repair.
And here’s the other thing: When a tenant is moving in, they’re providing a security deposit and a month’s worth of rent at least, and I recommend collecting the last month’s rent as well. But that means a tenant is going to have a hard time coming up with a couple grand to buy a bunch of appliances.
I’d rather not limit myself to potential renters who own a truck full of appliances. I also use the appliances to justify charging the rent that I do. That said, prospective tenants rarely challenge me on price, and I can’t think of a time that a serious prospect–someone who actually returned an application–ever asked me to come down on the asking price. They might be more inclined to challenge me if I was stingy on what I provide.
A range/stove
Every kitchen is expected to have a range for cooking, and I’ve never had a tenant tell me they already had one. This is a given. Provide a very basic, no-frills one because it means less stuff that can break. A basic range can easily last 20 years.
I like GE ranges because I’ve found them to be reliable. I won’t replace a working range just because it’s not a GE, but if I’m buying one, I’ll make it a GE.
A refrigerator
Some tenants will have a refrigerator, but I’m not willing to count on it. Most tenants expect you to provide a fridge. Again, I go for a basic, upright, freezer-on-top fridge. If I can find one with an icemaker, that’s fine, but I don’t look for it. A simple, basic fridge can last 20 years too.
A dishwasher
It’s amazing how many houses still don’t have a dishwasher. I always install one. Tenants want one, and you can get a basic, featureless dishwasher used for $100 because people are constantly replacing their basic models with trendier ones. Sometimes a kitchen is so small you have to install a smaller 18-inch dishwasher, which costs more, but I still bite the bullet and do it. A good handyman can install either type in half an hour.
A dishwasher is something that gives you leverage when a prospect tries to lowball you. I guarantee some of the houses they’re looking at don’t have one.
A garbage disposal
A lot of houses don’t have a garbage disposal either. I always install a basic, 1/3 HP Insinkerator disposal (or house-brand equivalent) and assume it will need to be replaced in 5-10 years. Swapping 1/3-horse Insinkerators doesn’t take long.
Installing one can save clogged kitchen sinks, which makes up for the hassle of the occasional seized-up disposal. Teach your tenants how to free it up. This is another thing to leverage, as so many houses won’t have one.
My handyman calls the combination of a dishwasher and garbage disposal the “Farquhar Special,” as I’ve had him install so many.
Tenants are much more likely to stay if they’re happy, and lack of a dishwasher and garbage disposal are something they’re going to notice every single day.
A washer and dryer
There’s no point in having a house without a washer and dryer. Some tenants do have their own, but not all do, so I usually provide a set. Whirlpool is my go-to brand here, because they’re reliable and parts are cheap. Again, go for basic models.
Once you’re providing a disposal, dishwasher, washer and dryer, you’re providing a lot that your competitors won’t.
Where I draw the line
If the kitchen has a built-in microwave, I leave it. If I were redoing a kitchen I might put one in, but I won’t redo a kitchen just to put in a built-in microwave. I generally don’t provide a standalone microwave. Many tenants will have one, and if they don’t, basic standalone microwaves are cheap.
I also don’t provide small appliances like a toaster or blender. They’re cheap, most tenants have them, and it’s far too easy for those to walk out the door when a tenant leaves.
David Farquhar is a computer security professional, entrepreneur, and author. He started his career as a part-time computer technician in 1994, worked his way up to system administrator by 1997, and has specialized in vulnerability management since 2013. He invests in real estate on the side and his hobbies include O gauge trains, baseball cards, and retro computers and video games. A University of Missouri graduate, he holds CISSP and Security+ certifications. He lives in St. Louis with his family.