favinger • September 15, 2020
Implementing Just a Couple of These Might Increase Your Profit "Big Time".
Folks I'm sharing an article that was given to me regarding increasing rents. If you're a Landlord this might be old news but worth repeating and if you are new to investing in Rental Real Estate, then this should be good information for you.
How to get More Money from your Investment
Boosting rental prices is closely related to the appearance of your property in the first place. The experts in real estate will tell you that, when it comes to rental properties, the rental price most often highly depends on the renters’ perception. In other words, regardless of how much money you spend on buying a property and renovating it, or how valuable you think it is, the renter’s opinion is what matters most in the end.
Hence, if you expect to have quality tenants who are willing to pay the rent you demand, here are a few ideas to consider. Increasing the value of your property and, eventually, the rental price is manageable if you follow some simple yet highly helpful strategies that have proven to be very effective.
Before you start
If you expect to increase the rent for your property, you will have to invest in various upgrades and improvements beforehand.
One has to be very careful with this endeavor in order to achieve a balance between what is invested and the expected return on the investment. Your task and your top priority is to conduct the upgrades that will increase the value of the property without over-improving it. Otherwise, you risk missing the final results you expect from this project.
Start from the outside-Landscaping is important
You have probably heard that the first impression matters greatly so many times. This is also true in the real estate business.
Whether they are buying or renting, your buyers or prospective tenants start evaluating your property the moment they enter the yard. Hence, plan some effective yet incredibly simple and affordable aesthetic improvements of the front of your rental property.
Start by mowing the lawn and trimming the shrubs and hedges. You can paint the window shudders and the front door. Adding a matching address number and a mailbox will create a stunning effect even with people whose expectations were decidedly low.
Decide on the upgrades that will result in boosting rental prices
Making some calculations and coming up with a detailed plan is essential prior to starting with remodeling. As we have already emphasized, the updates you opt for should not be too expensive if you want them to provide you with the return on the investment. Add some charm to your property, refresh it, make it brighter and more appealing. You will surely attract the attention of numerous potential tenants. Also, it might be a good idea to allow tenants to add a personal touch to space as well once they move in. This will make your property comfortable to live in and it will increase the tenant retention.
The number of bedrooms matters
The number of bedrooms drives the value of your rental property. If you have one or more extra rooms that are not classified as bedrooms, but have the potential to become so, do something about it. Before you introduce any changes, know that every bedroom needs a closet and a window. If you cannot provide these, you will make the effort in vain. However, if you succeed, there will be a great difference in the rental price prior to and after remodeling.
Pay attention to the kitchen and bathroom hardware
New hardware can do miracles to your kitchen and bathroom. Replace the existing cabinet knobs and drawer handles with some charming, modern alternatives that match your cabinetry and various knick-knacks in the kitchen. In addition, choose oil-rubbed bronze or brushed nickel faucets, sinks, and sprayers as these are a perfect substitute for the outdated shiny chrome finish variants.
Increase the storage area
As everybody has frequent problems with storage space, this is one of the factors that will surely influence the rental price. Providing tenants with ample storage is what guarantees a higher rent. There are countless ideas you can apply at a very favorable price. For example, installing an additional shelf in the living room and in the pantry is a good decision. Then, you could add a few hooks in the entryway and in the bathroom as they are very convenient. Closet organizing systems are a small detail, but very effective in the eyes of tenants with high expectations. Finally, if you are willing to invest more money and make a permanent change regarding storage space, we suggest in-wall storage and a built-in shelf.
Miscellaneous necessary repairs
Maintenance and preventive maintenance are two factors that help in boosting rental prices and help tenants differentiate between responsible, trustworthy landlords and those who are negligent of their property. Thus, make sure everything on your property functions perfectly at all times. Eliminate any leaks or mold. Have your roof tested by a roofing inspector at regular time intervals. Finally, conduct all the necessary repairs before you organize showings. When your renters finally move in, they will have to obey the rules and inform you about any potential problems . Otherwise, you can even decide to terminate their tenancy.
Advertising matters
Once you conduct all the home upgrades you have planned, the time has come to determine the rental price. Quality advertising can have a positive effect on boosting rental prices. First, use a top-quality camera. Second, take pictures of your property at approximately a 30-degree angle. This will attract more prospective tenants than a simple renting property sign in your yard. The house will seem visually bigger, it will be more appealing and inviting for potential tenants.
When defining the rental price, again, it is vital to achieve a balance. You have invested in boosting the rental price, but it still has to remain within the domain of realistic and manageable. Setting a price too high seems to be a less serious mistake than under-renting your property. If the price is too low, it will be very difficult to raise it in the future. On the other hand, it is much easier to decrease the price if you realize it is too high. Thus, the best advice experts suggest is setting the price close to the amount you expect your property deserves.
Prepare your property for showings
Once you have taken all the measures for boosting rental prices, you need to focus on the final detail. Organize showings! Make your rental property clean, bright, well-lit, and ventilated to be more inviting and welcoming for prospective tenants. Be friendly, open, and show interest in potential renters.
Consider requesting renter’s insurance at move in to protect both your own and the interests of your tenants. (Haven Properties requires Renter's Insurance at Move In) Make it a Great Day....
How to get More Money from your Investment
Boosting rental prices is closely related to the appearance of your property in the first place. The experts in real estate will tell you that, when it comes to rental properties, the rental price most often highly depends on the renters’ perception. In other words, regardless of how much money you spend on buying a property and renovating it, or how valuable you think it is, the renter’s opinion is what matters most in the end.
Hence, if you expect to have quality tenants who are willing to pay the rent you demand, here are a few ideas to consider. Increasing the value of your property and, eventually, the rental price is manageable if you follow some simple yet highly helpful strategies that have proven to be very effective.
Before you start
If you expect to increase the rent for your property, you will have to invest in various upgrades and improvements beforehand.
One has to be very careful with this endeavor in order to achieve a balance between what is invested and the expected return on the investment. Your task and your top priority is to conduct the upgrades that will increase the value of the property without over-improving it. Otherwise, you risk missing the final results you expect from this project.
Start from the outside-Landscaping is important
You have probably heard that the first impression matters greatly so many times. This is also true in the real estate business.
Whether they are buying or renting, your buyers or prospective tenants start evaluating your property the moment they enter the yard. Hence, plan some effective yet incredibly simple and affordable aesthetic improvements of the front of your rental property.
Start by mowing the lawn and trimming the shrubs and hedges. You can paint the window shudders and the front door. Adding a matching address number and a mailbox will create a stunning effect even with people whose expectations were decidedly low.
Decide on the upgrades that will result in boosting rental prices
Making some calculations and coming up with a detailed plan is essential prior to starting with remodeling. As we have already emphasized, the updates you opt for should not be too expensive if you want them to provide you with the return on the investment. Add some charm to your property, refresh it, make it brighter and more appealing. You will surely attract the attention of numerous potential tenants. Also, it might be a good idea to allow tenants to add a personal touch to space as well once they move in. This will make your property comfortable to live in and it will increase the tenant retention.
The number of bedrooms matters
The number of bedrooms drives the value of your rental property. If you have one or more extra rooms that are not classified as bedrooms, but have the potential to become so, do something about it. Before you introduce any changes, know that every bedroom needs a closet and a window. If you cannot provide these, you will make the effort in vain. However, if you succeed, there will be a great difference in the rental price prior to and after remodeling.
Pay attention to the kitchen and bathroom hardware
New hardware can do miracles to your kitchen and bathroom. Replace the existing cabinet knobs and drawer handles with some charming, modern alternatives that match your cabinetry and various knick-knacks in the kitchen. In addition, choose oil-rubbed bronze or brushed nickel faucets, sinks, and sprayers as these are a perfect substitute for the outdated shiny chrome finish variants.
Increase the storage area
As everybody has frequent problems with storage space, this is one of the factors that will surely influence the rental price. Providing tenants with ample storage is what guarantees a higher rent. There are countless ideas you can apply at a very favorable price. For example, installing an additional shelf in the living room and in the pantry is a good decision. Then, you could add a few hooks in the entryway and in the bathroom as they are very convenient. Closet organizing systems are a small detail, but very effective in the eyes of tenants with high expectations. Finally, if you are willing to invest more money and make a permanent change regarding storage space, we suggest in-wall storage and a built-in shelf.
Miscellaneous necessary repairs
Maintenance and preventive maintenance are two factors that help in boosting rental prices and help tenants differentiate between responsible, trustworthy landlords and those who are negligent of their property. Thus, make sure everything on your property functions perfectly at all times. Eliminate any leaks or mold. Have your roof tested by a roofing inspector at regular time intervals. Finally, conduct all the necessary repairs before you organize showings. When your renters finally move in, they will have to obey the rules and inform you about any potential problems . Otherwise, you can even decide to terminate their tenancy.
Advertising matters
Once you conduct all the home upgrades you have planned, the time has come to determine the rental price. Quality advertising can have a positive effect on boosting rental prices. First, use a top-quality camera. Second, take pictures of your property at approximately a 30-degree angle. This will attract more prospective tenants than a simple renting property sign in your yard. The house will seem visually bigger, it will be more appealing and inviting for potential tenants.
When defining the rental price, again, it is vital to achieve a balance. You have invested in boosting the rental price, but it still has to remain within the domain of realistic and manageable. Setting a price too high seems to be a less serious mistake than under-renting your property. If the price is too low, it will be very difficult to raise it in the future. On the other hand, it is much easier to decrease the price if you realize it is too high. Thus, the best advice experts suggest is setting the price close to the amount you expect your property deserves.
Prepare your property for showings
Once you have taken all the measures for boosting rental prices, you need to focus on the final detail. Organize showings! Make your rental property clean, bright, well-lit, and ventilated to be more inviting and welcoming for prospective tenants. Be friendly, open, and show interest in potential renters.
Consider requesting renter’s insurance at move in to protect both your own and the interests of your tenants. (Haven Properties requires Renter's Insurance at Move In) Make it a Great Day....
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