With the recent budget announcement from the Labour Government, property investors may be feeling a bit of a pinch—stamp duty has jumped to 5% for additional properties, a 2% hike that will no doubt have a big impact on initial profitability of deals currently in conveyancing. However, investors with a longer term view will need to adapt to this new cost of doing business. Thinking strategically about interior design doesn’t just mean you’ll have a pretty property at the end of it, but can significantly impact your GDV, rental income and overall ROI on a project.
Here’s why leaning into good design can help you recoup those extra costs—and keep you ahead in a market where renters and buyers have higher standards than ever before.
The Changing Market & Rising Renter Expectations
Today’s renters are choosy, and they want more than just “four walls and a roof” (shocking, we know). They’re looking for homes that balance style with function and create a living experience they aspire to. As competition grows, creating spaces that stand out will give you a serious edge. Quality design not only attracts the tenants you want, it encourages them to stay, reducing void periods and ultimately giving your investment a boost.
And here’s the kicker: a property that ticks all the right boxes on design doesn’t just attract more interest; it can actually increase your property’s value. When you get your design right, you’re making a smart move toward recouping those additional stamp duty fees.
Our recent client LANDL Property Group actually had a pleasant experience with the valuer on his latest project...
However, to everyone's complete surprise , they actually said my rent predictions were wrong and RAISED them… £730 to £810 per room!! One of the most expensive HMOs in Chester. I can only put this down to the incredible design of the place, so thank you so so much for everything, wouldn’t be anywhere near that if I’d designed it all myself!"
TIM LAING — LANDL PROPERTY GROUP
Design Principles to Make Your Property Shine
So…how to make sure your property doesn’t just blend into the market but stands out for all the right reasons . Here’s where to start:
Practical First, Pretty Second
Stylish wallpaper won’t do much if there’s no storage to put your stuff. Before picking colours and patterns, think about what makes the space liveable. Do the tenants have enough storage? Is the floor plan open and intuitive? Clever layouts, multifunctional spaces, and ample storage mean fewer hassles for tenants and more reasons for them to stay put. Thoughtful use of space can dramatically enhance the overall value and perception of the property without having to increase in square footage—the perfect result if you ask us! Practicality isn’t the most glamorous part of design, but it’s the one that truly makes a property functional for everyday living, keep your tenants happy and your void periods blissfully low.
Target the Right Audience
In property development, understanding your audience is everything. Great design isn’t just about hopping on the latest trends or picking fancy finishes—it’s about crafting spaces that tenants can genuinely see themselves calling home. When you get who’s moving in, you’re not just adding style; you’re creating a place that clicks with their lifestyle. And that leads to happier tenants, fewer vacancies, and a whole lot less hassle on your end.
Knowing your audience means you'll know if they'd love something with more personality...or something on the sleeker side.
Lighting and Colour—Your Secret Mood-Makers
Good lighting isn’t just about illuminating a room; it’s about setting the mood. Bright, natural light makes spaces feel warm and welcoming, while thoughtfully placed fixtures add personality and depth. Colour works hand in hand with lighting, creating an environment that feels calm, vibrant, or anything in between. Your tenants may not realise it, but a well-lit, well-coloured room just feels right.
Client: Dorrington PLC
Invest in The Right Places
It’s amazing how little things—yes, like the taps and light switches, that you touch every single day—can make a big difference. High-quality fixtures don’t just feel nice; they elevate the entire space. Ever notice how a flimsy door handle or wobbly tap brings down the vibe of a whole room? That final “1%” polish can either make 99% of your hard work look amazing or, well… not so much. Spend a little extra here, and you’ll have a space that renters appreciate—and are willing to pay more for.
Timeless Design
Trend-lead interiors will definitely grab attention…for a while. However, opting for a more neutral colour palette (we don’t mean magnolia!) and durable, classic materials in larger investment areas ensures that your development will keep grabbing attention for years to come. This approach also reduces the need for constant repaints, refreshes and maintenance, keeping the property relevant in the long-term and enhancing its resale value. Keep those trends for easy switch-out pieces such as artwork and cushions
Offsetting Rising Costs
With stamp duty on the rise, it’s tempting to see the added tax as a setback. But well-designed spaces give you the means to stay profitable, even with new expenses. Good design doesn’t just attract more tenants—it makes them feel at home, which means they stay longer, rent more reliably, and leave you with less downtime.
So yes, changes in stamp duty mean property development costs may go up, but it’s a great opportunity to invest in design and build properties that both increase your return and help you stand out in a crowded market.
Ready to transform your properties and navigate the future of development with a savvy design? Connect with us at hello@roost.co.uk to learn how we can support you in creating spaces that are both beautiful and functional, keeping you competitive, profitable, and ready for whatever the market brings...
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