Vacancy is a property investor and landlords worst nightmare, it can cause them to have to take money out of their personal finances to pay mortgage and utility bills during the vacancy and more.
So, what reasons could be leading to the home sitting on the market longer than 30-60 days?
The number one reason that a property doesn’t rent quickly comes down to price. It is just about 90% of the reason people pick a house. You need to make sure the property manager knows the market and can give you the tools necessary to pick the correct price.
The price should be determined by checking the market. Sometimes, it might seem that you should get more rent for your home, however, if the rest of the area is renting for $800, then asking $1,000 can cause the market to dry up.
The second reason a house can sit is its appearance. Many landlords say that they will fix and clean the house once we find a tenant for them. This is a bad way to think about the presentation of your rental property. The saying “you only get once chance at a first impression” is completely true in this situation. A potential tenant wants to see the home the way they will receive the home.
Always make sure that you get pictures of any suggested repairs of the home. Your property management company should get you some prices, especially for a good carpet and house cleaning.
Try to keep in mind, holes in walls do not make a good impression.
Are you getting the correct amount of visibility in the rental market? Your property management company should make sure you are everywhere that people will look for a new home. These days, 90% of renters come from the internet and there are 100s of websites you can advertise on. Make sure to ask the questions. A house that is not listed on the MLS, or is just relying on a sign in the yard, will sit much longer than they should.
If your property management company charges the first month’s rent to rent out your property, make sure they can show you that the home is available on the MLS and other available outlets.