Letting a Property: Furnished vs Unfurnished

Which is better for landlords – and can you consider both?

When you’re thinking about letting out a property, one question you might well ask us – and landlords often do – is whether to let it out furnished or unfurnished.

It can make a difference to your costs, of course – especially if you would need to empty the property or store furniture to let it out unfurnished. But it could make a difference to the type of tenant you attract, and how easy your property is to manage long-term.

You also need to consider whether the furniture in your property is up to standard – both in terms of health and safety (think fire retardancy, etc.), but also in terms of taste and comfort.

As with all these things, there is no ‘one-size-fits-all’ answer. Let’s break down the pros and cons of each, see when it looks most sensible and beneficial to let unfurnished, and take a look at some instances when it would make more sense to furnish, even if it’s not your first instinct.

Furnished or Unfurnished Rental Properties

It’s probably sensible to define what we typically mean by furnished versus unfurnished:

• Furnished is probably self explanatory (to a degree), as it means the property comes ready to live in. That means beds, dining table and chairs, living room furniture such as sofa or cushioned seating, and white goods. It can also include kitchenware or soft furnishings, but this is neither normal nor expected, and it almost always would not include bedding – something that tenants used to renting overseas or renting short-term accommodation sometimes get caught out by.
• Unfurnished means the essentials are in place: curtains, carpets, working kitchen, and normally white goods – at the very least a fridge, but usually also freezer or freezer box and a washing machine, but not necessarily a tumble dryer. Tenants would bring their own furniture.

There’s also a “part-furnished” middle ground, sometimes a popular choice in South West London, where landlords provide large items like wardrobes as well as the expected white goods, but tenants provide the rest.

The Case for Unfurnished Rentals

Truthfully, we’re pretty big fans of unfurnished lets, particularly when a property has just been refurbished or newly decorated. Here’s why.

1. Less upfront cost and less maintenance

Buying furniture for a property can easily run into the thousands, especially if you want it to look smart and stand up to wear and tear. Then there’s the ongoing maintenance – replacing broken chairs, repairing sofas, updating mattresses between tenancies. If it was on your inventory and it breaks, it should be replaced.

There is also no complaints about furniture not meeting a tenant’s personal taste!

With unfurnished, you avoid the cost of furnishing and mending or replacing broken furniture altogether – and as your tenant moves their own belongings in, they can hardly complain if they don’t like the style of it.

You’re only responsible for the property itself too, not the furniture inside it – and that means, if the tenant does somehow manage to break the bed, it’s up to them to fix or replace.

2. Attracts long-term tenants

When tenants bring their own furniture, they’re more likely to settle in for the long haul. They feel more at home because it is their home – not just a stopgap. That usually means fewer void periods, less turnover where inter-tenancy decorating is required, and a more stable income stream for you.

3. Wider appeal

An unfurnished property appeals to a broader range of tenants – families, couples, professionals, and movers who often already own furniture.

Even young first-time renters often relish the opportunity to furnish their own properties – to make it a home of their own.

If you furnish a property, you risk limiting your market. Not everyone will share your taste!

The Case for Furnished Rentals

Of course, there are times when furnishing makes sense – especially if you’re targeting a specific type of tenant or location, or in those cases where you are letting out your own home for a period – perhaps whilst you undertake a placement overseas or similar, and you want to return in a year or two’s time to your own furniture.

Let’s look at some reasons to let out furnished:

1. Higher rent potential

A fully furnished home can command a slightly higher monthly rent, especially for short-term or corporate lets where tenants expect a “ready to move in” setup. In the past, this was very much the case, and there is less evidence now that it makes a difference – but some circumstances might allow you to command a little more.

2. Ideal for certain tenants

Students, young professionals, or corporate tenants often prefer furnished properties because they don’t want the cost or the hassle of buying furniture – especially if it is for a relatively short stay (even a year is a short stay in terms of feeling the value of purchased furniture, if the tenant can’t feasibly take that furniture with them).

HMO properties of course are usual suspects for this sort of tenant – almost certainly wishing to rent furnished.

If your property is in an area with strong demand from these groups – say, near transport links or major employers, or if you have a particular wish to let to students – then it’s worth considering.

3. Easier to market in slow seasons

Sometimes, a furnished property can rent faster simply because it photographs better. Viewers can picture the space more easily when it’s dressed well – a useful tactic if you’re marketing during a quieter period.

The Middle Ground: Where Flexibility Wins

Many landlords take a flexible approach. They advertise the property unfurnished, but stay open to furnishing it for the right tenant.

For example:

• A professional couple relocating from abroad might ask if you’d consider supplying furniture.
• A landlord with storage space or access to a furniture rental company could easily make it work.

This “best of both worlds” approach keeps your options open and ensures you’re not missing out on a good tenant just because of furniture.

Of course, the Renters’ Rights Bill, when it comes to pass, may alter landlords’ attitudes to this, when fixed term tenancies get scrapped and when it becomes illegal to let out for more than an advertised price (‘We’ll pay an extra £100 per month if you agree to furnish it.’ – I’m afraid you may be unable to accept their reasonable higher offer, depending on the final wording of the Act.)

Final Thoughts

If you’ve just spent time and money refurbishing a property, don’t clutter it with furniture – certainly not in the first instance, unless it is really beneficial to dress the property from a marketing point of view. Show it off as a blank canvas, and save yourself the expense. But if the right tenant comes along and they do need it furnished, you can always consider if it is worth it for particular circumstances.

This is all about being smart with your investment. Furniture doesn’t add long-term value to a property, but a good tenant absolutely does.

When it comes down to it, unfurnished properties are cost-effective, flexible, and tend to attract longer-term tenants who treat the place like home.

Furnished properties on the other hand can sometimes command slightly higher rents and might appeal better to shorter-term or corporate tenants; of course, that might then come with higher ongoing maintenance costs and more frequent turnover, which also brings more cost to you as a landlord.

At the end of the day, the choice often depends on your specific property, target market, and even preferred management style.

If you’re unsure, we’ll always help you weigh up the options, and if you ever do need to pivot (say, if you did decide that you need to furnish it later to secure a tenancy), then we do have trusted suppliers who can make it happen quickly and cost-effectively.

FAQs: Furnished vs Unfurnished Rentals

Is it better to rent a property furnished or unfurnished?

That depends on your property, your market, and the kind of tenant you want. In most cases, we recommend renting unfurnished – especially if the property’s just been refurbished. It saves you money, cuts down on maintenance, and appeals to a wider range of tenants. That said, if the right tenant comes along and they need furniture, you can always reconsider.

Do furnished properties rent for more?

Sometimes, but not always. A furnished property might achieve a slightly higher monthly rent, particularly with short-term or corporate lets. But that can be offset by the cost of buying, maintaining, and replacing the furniture – and by higher turnover. For most landlords, unfurnished usually works out more profitable (and less hassle) in the long run.

Can I let a property part-furnished?

Yes – and many landlords do. A part-furnished property usually includes white goods and a few large items like wardrobes or a sofa, while tenants bring the rest. It’s a good middle ground if you want flexibility or if you’re open to tailoring what’s provided for the right tenant.

Thinking of letting your property in South West London?
Get in touch with Your Home Managed for straightforward advice that helps you save time, manage your costs wisely, and find the right tenants from day one.