Why rewire an investment home

by | Apr 5, 2024

Rewiring an investment home may seem an optional activity to most, especially if there are no noticeable electrical faults at that point of time, but we advise not to wait until it’s too late to consider rewiring. Like everything else, wires get old and vulnerable, needing touch-ups and replacements after a period of time.

In fact, rewiring should be taken as a must-do, since 40% of house fires in New South Wales alone are caused by electrical faults at home.

What is rewiring?

Rewiring can mean a variety of things. It can mean changing a few control panels or a complete rewiring of the space.

Why rewire in the first place?

There are several valid reasons to rewire your investment home. Unlike what most people think, rewiring isn’t done just to enhance the ‘aesthetics’ of the property. Rewiring should be an essential part of the upkeep of any rental space you own to keep it safe at the least.

1. Ensuring safety

As the owner of your investment property, it’s your responsibility to keep it safe for any tenants you might have. Take cues from these signs if you want to know whether rewiring is needed:

  • Lights are flickering
  • Bulbs are frequently burning out
  • Connected cords give electric shocks
  • Sockets are sparking when switched on

2. Increasing durability

A thorough wiring done with the help of a reliable professional like Bell Electrical can easily increase the durability of your home wiring by twenty years, if not more. This in turn helps with the lifespan and proper functioning of the house. When you schedule an electrical inspection with us, we may undertake some or all of these activities as per the requirements:

  • Recommend the best options according your needs and budget
  • Remove all wires, lights, sockets, panels, and fittings and replace them with new ones
  • Install wiring at new places to accommodate additional needs

3. Maintaining or enhancing functionality

For your investment home to keep being desirable for potential tenants, it’s essential to keep it fully functional, and the very basic requirement for that is to ensure that all the fittings, sockets, lights, and fixtures are working. Also, it’s important you upgrade your wiring and power outlets so that they accommodate all kinds of appliances, from air fryer in the kitchen to high-power PC in the living room.

4. Preventing malfunctions

Emergency power outages or other electrical issues can be incredibly frustrating as they completely shut off your access to essential appliances that exist for your comfort and convenience in daily life. Everything becomes impossible, from charging your phone to using lights and entertainment systems. The situation becomes more difficult when you can’t use heating if it’s cold outside, or ventilation and air conditioning if it’s the summer months. The trouble extends to food in danger of spoiling quickly if electrical wiring problems are not tackled soon.

The main reason behind all of this is often faulty wiring, which can lead to power overload or complete loss of power. Taking cues of faulty electrical wiring is crucial, as it allows you to take action on time, such as rewiring to prevent costly and inconvenient electrical repairs down the line.

5. Reducing energy and appliance replacement costs in the long run

Getting your wiring updated initially seems to be a hefty investment, but it can actually save you money long term in addition to helping the environment. When your home’s wiring is old or broken, it puts a strain on the power system. This means it has to work extra hard to give enough electricity to your appliances.

Moreover, if your electrical system gives too much or too little power to your appliances, they can wear out faster. That means more money spent on fixing or replacing them earlier than you’d like. But if you redo your wiring, it makes sure your appliances get just the right amount of power all the time. And that makes them use less energy, which is good for your wallet as well as the planet.

6. Boosting property value

Updating your home’s wiring is a smart strategy, especially if it’s been given the thumbs-up by an inspector. When people look for a house to rent or buy, they’re thinking about all the things that might need fixing right away. And if they see old wiring that needs updating, it might make them think twice about renting or buying your investment home.

So, if you’re planning to sell or lease your space soon, it’s important to pick a certified electrician like us at Bell Electrical, who know what they are doing. A good electrician will not only focus on the functionality and safety of your home, but will also ensure good aesthetics and appeal for future prospective buyers and tenants.

What is included

What gets included in the service varies depending on factors, such as the property, the owner’s requirements and budget, and regulations. Examples:

  • Installing circuits
  • Setting up new fixtures
  • Upgrading switchboards
  • Replacing earthing system
  • Complete rewiring

Insurance coverage and deduction claims

It’s good to know what your insurance will cover before beginning rewiring your home. You will be aware of the deductions you can claim and what expenses you will have to cover out of your pocket.

Bell Electrical tip: Don’t forget to claim your deductions when you file your taxes.

Case 1: Rewiring after damage by natural disasters

  • You can deduct repair costs for electrical wiring.
  • If you need to replace damaged appliances, you can deduct their reduced value.
  • If an appliance costs less than $300, you can deduct it right away.

Case 2: Routine voluntary rewiring

  • Consult your home insurance provider beforehand to adjustments to your coverage. You may need to increase it to safeguard against accidental damage.
  • If you’re repairing and improving your home simultaneously, you can only claim deductions for repairs.

Need Help?

Do you need to have your electrical systems done? Bell Electrical Contractors is happy to help. Call us on 0411471922 or email us at info@bellelectrical.com.au.