Renting out a second property can provide a lucrative passive income for many individuals and families. Whether you rent out your property as a vacation home or have long-term renters residing there, the importance of attracting high quality tenants can’t be understated. In order to remain successful with a rental business, you need to place the right tenants and keep them happy to avoid expensive turnover and vacancies. If you’re looking to pull in premium rental rates and bring in premium tenants, keep these tips in mind.
Revamp Your Marketing Techniques
If you’ve been leaning on Craigslist listings to source your tenants, it’s time to revamp your advertising efforts. In order to reach the widest audience of rental candidates, it’s important to utilize strategic marketing tactics. Take advantage of rental listing websites like LiveLovely.com; this listing site offers easy access to a cache of searching tenants, with filtering features and simple connection practices. When you begin creating your listing, consider hiring a professional photographer to take shots of your rental property. Haphazard shots of the space won’t appeal to tenants willing to pay premium rates for premium digs, but investing the time and money into highlighting the best features of the property in question can pay dividends down the road. This highlighting can be done through more than imagery; make sure the text portions of your listing are as detailed as possible.
Before posting your listing, consider your timeline. Posting a listing more than six weeks before the property will actually become vacant is much too soon, and waiting until last minute sees many landlords scrambling to place tenants in time, which usually precludes their ability to screen these candidates.
Consider Your Property’s Amenities
High-quality tenants are on the hunt for modern amenities, and including certain features within your rental property could help you pull in better rental rates. Making the investment on the right upgrades is more than worth the return, and can improve the overall value of your property in the long run. If your local rental market is competitive, you’ll need to ensure your property stands out from the rest, and the right amenities can be the make or break factor. One of the largest draws for renters is on-site laundry. If you’ve got a multiunit property, create a community laundry space with coin-operated machines. If you’re renting out a single-family home, be sure to add a washer and dryer to the space; as an added bonus, you’ll be able to justify raising your rental rate. There are plenty of amenities to choose from, but be sure to consider your demographics’ desires. Eco-friendly, green energy features offer great return on investment, and are essential additions if you’re hoping to draw in younger populations. Try energy efficient air conditioners, for example. This single upgrade can reduce utility costs, provide environmental benefits, and increase the value of your property. Even better news? You can get the financing you need for this type of upgrade through a PACE program from a company like Renovate America. Millennials and their younger counterparts are increasingly eco-conscious, and the addition of sustainable features could be the thing to make your property more desirable.
Revamp Your Curb Appeal
Consider your property’s curb appeal. When you begin to schedule showings, keep in mind that tenants will be paying attention to the exterior of the home. It’s currently a renter’s market, and attracting the cream of the crop means putting in the extra effort to make both the interior and exterior of your home a standout. Be sure to complete any necessary repairs before listing—if prospective tenants drive by before you’ve fixed that dilapidated deck, you can be sure they won’t be scheduling an appointment to come inside. Consider the landscaping features that may set you apart. Climate concern is becoming a much bigger issue for tenants and homeowners in states across the county; play to those eco-friendly sensibilities. Drought tolerant landscaping is sure to be a selling point in states like California and adding drought-friendly features to your front yard could mean making the space more attractive to a wider demographic of tenants. Landing that dream tenant means making sure you offer what they’re looking for. Consider your target demographics’ concerns and utilize those features while revamping property curb appeal.
Play to Tenants’ Competitive Nature
Don’t schedule individual showings; selling the space to a larger pool of candidates at a single time is bound to improve your chances of securing a high quality tenant. Why? Competition can be worked to your advantage. If prospective tenants see that numerous others are interested in the space, they’ll be more encouraged to turn in their applications; this competitive nature can help you charge more and attract better renters. Because hosting a large group of potential tenants at a single time can be overwhelming, consider bringing along a friend or partner who can run interference. While they highlight the property’s features, you can handle the details and questions from truly interested candidates.
Finding high-quality tenants can be a challenge, but the right strategies can simplify the process. Utilize these tactics and attract a great tenant for your rental property.