Money Maker: 6 Suggestions for Making Your Rental Property More Profitable
Renting out a property can be a great way to make some extra money, but only if you are getting the right price. If your rental property seems to be costing you more than it is making you, here are six suggestions for making your rental property more profitable.
1. Update the Property
Renters are not going to pay top dollar for a rental property that is old, dated and dingy. Update the property by upgrading the appliances, painting the walls a fresh new color and replacing any dated fixtures. Rip out old carpeting and wood paneling, and update the window treatments from mini-blinds to curtains.
2. Stage to Sell
First impressions matter in real estate, so make sure your home puts its best food forward, metaphorically speaking. Clear out all the clutter, arrange the furniture and open all the windows to let some light in. Set out a few books or board games as well as a bowl of fruit or a vase of freshly cut flowers.
While raising the rent might seem like a good strategy for bringing in more money, your rental must be priced competitively if you want to find a tenant. Instead of picking the number you want to make, research your competition and choose a price that is fair for your neighborhood and for what you are offering.
4. Accentuate the Positives
Give your potential tenants a reason to choose your rental over your competition by accentuating your rental’s positives. If your rental offers plenty of storage space, a great view or a spacious backyard, be sure to not only mention it in the property’s description, but to also stage the home to showcase the feature as well. Make sure that you know what sells well in your area. Bigger windows in Edmonton might be popular, whereas more privacy could be preferable in Atlanta. Once you know what renters are looking for, be sure your place has it. Even if it means calling a company like All-West Glass Ltd. to put in new windows, your investment will pay off.
5. Create Competition
Nothing makes people want a property more than thinking they might miss out. Instead of having prospective tenants all meet you individually to see your rental, have everyone show up at the same time. This will encourage prospective renters to put in their best offers quickly so they don’t miss out.
6. Look for Long Term Renters
Every time you have to find a new renter, you lose money. Not only do you have the missed rent check, but you also have to clean and advertise the property. Save yourself those expenses by seeking long term renters over short term ones.
It is possible to make a substantial amount of money by renting out properties, especially if you manage an Airbnb property in NYC, but only if you know what you are doing. These six tips will help you make your rental property more profitable so you can earn as much as possible.