Contrary to popular belief, it is not always sunshine and rainbows in the rental industry for every landlord. In fact, many property managers struggle with keeping the rental properties filled with quality tenants. Here, we talk about how to create attractive rental deals to help you attract and retain quality tenants.
A good tenant increases the profitability of your rental property. A high turnover rate not only means you lose out on the rent for the months your property is vacant, but you also end up spending a substantial amount of money on the listing, tenant screening, and hiring process.
Often, managers offer perks and additional benefits to keep a rental occupied and rightfully so too! The added expense at the beginning of some of these offers pays off in the long run.
Re-evaluate the Fees
Many landlords and managers charge a separate fee for laundry and parking. While these let you earn some extra income, they are also a significant turn off for many reliable tenants. Waiving off these fees may not cost you as much as it will benefit you in the long run by helping you find and hold on to good tenants.
Often the loss in fees is negligible for the landlord, but it may help you attract quality tenants who are more likely to stay in your rental if they feel like they are getting a good deal.
Lower Monthly Rates + Extended Lease
Here you may go for a cost-benefit analysis if you like, but extending the lease for a year and reducing the rates a little can prove incredibly beneficial for you. Many landlords and managers shy away from doing so, afraid that the extended lease may prove to be counter-effective in case you attract a bad tenant.
But provided you conduct a proper background check and a thorough screening process, you may be able to attract a reliable long-term tenant. You also won’t be losing out on much rent as long as you don’t under-price your rental property. Reducing the rent by around $50 can also do the trick if the rental property is in a good neighborhood.
Offer Flexibility to the Tenant
Really stringent terms of the contract are always a put off for many tenants. You can generate substantial interest in your rental by offering flexibility to the tenants. Something as simple as allowing pets on the property or allowing the tenant to decorate the place can attract many quality tenants. In fact, it may even convince them to stay for long.
Establish a Two-Way Communication Channel
The biggest mistake a landlord can make is not to be available to their tenants. Try to focus on relationship building with the tenants, so they feel comfortable providing feedback and reaching out to you for any problems or needed upgrades or repairs.
You can also have your property manager handle direct communication. As long as you cater to the reasonable demands of the tenants and show an openness to suggestions and willingness to make upgrades when needed, you will be able to attract long-term tenants.