You may be asking yourself, “Why is my property not renting?” It eventually comes down to what are known as the 3 P’s—Price, Presentation, and Promotion. Below are the explanations of each, which will lead to your question being answered.
Price
Below are a number of clarifications related to setting the price of your listing when advertising to prospective tenants.
Drop the Price
Dropping the property rental rate can make a drastic difference in attaining tenants. You may have a home listed at a certain price for ten to fifteen days that isn’t gaining any interest. However, reduce it by fifty dollars and, within a day or two, it’ll be rented.
Don’t be afraid to cut your price after a week to ten days of no results. Just a slight price drop can make a difference. Every day that your home sits vacantly, expenses are wasted, so a slight price drop is justified.
Make Your Price Specific
Additionally, it’s beneficial that the price of your property end with ninety dollars as its last two digits. The difference between $2990 and $3000 is much more than ten dollars in the eyes of a potential tenant. Moreover, your property goes under a certain price filter that the prospect may be using when entering information on Zillow. Being exact with your price has an effect in the end.
Your Competition’s Unrealistic Price
The asking rental rate of your competition is always five percent higher than the actual rent. Therefore, don’t be swayed by your competitors’ unachievable price. It’s clear that prospects aren’t signing a lease asking for an unrealistic amount.
It’s unknown at what price the lease is signed for, as only asking rents are made known. However, if you see an asking rent at $3000, you can assume that they are signing the lease at about $2850.
Adjust Your Price for the Season
In December, you’re going to get about three percent less than you are in June. Thus, adjust the price for that time of year.
Add Gardening to Your Price
Gardening is a great amenity that you want to provide to your tenant. You also want to control the gardening in your yard, as well as the watering of your plants and lawn.
Include a Pet Fee in Your Price
Consider a small pet negotiable. This allows you to hold a higher rental price. Twice as many prospects will be interested in your property, as about half of the potential tenants out there have a small pet. They will also stay in your home longer.
Rental Price Isn’t Connected to Mortgage
Your rental price is not tied to your mortgage. Some owners tend to believe that they must get a certain price for their property according to their mortgage. In reality, rather, it has to do with the rental competitors in the neighborhood.
Presentation
If you’re getting a lot of responses from your ad, chances are it’s not because of the price, but the presentation. After they take an in-person look at the home and you’re not getting any further action from a prospect, you may need to consider how the home is being presented. There are so many ways to improve the presentation of your home, from the front yard and the front door, to how clean the bathrooms are.
On our website, we provide the owner’s pre-move in checklist. You want to be able to present a clean, safe home to the tenant moving in. All in all, presentation is key.
Promotion
How you promote the property might have something to do with why it isn’t renting. With all of our properties, East Bay Property Management and Consulting professionally photographs them, leading to more hits from prospects. The photographs are taken with professional equipment and are done by a real estate photographer.
Afterward, our team puts together a well-crafted ad and publicizes it on all the top real estate websites, such as Trulia, Craigslist, and Zillow, being the three biggest. We also update the ads every 48 hours because over time, your ads drop down in priority throughout the day. Furthermore, we then post a home viewing video on YouTube. Outside of what we upload within the cybersphere, we also put a “For Lease” sign out in the property’s front yard.
After everything we do, East Bay Property Management and Consulting can guarantee that your condo or home will have a signed lease within twenty-one days once the property is rent-ready. Otherwise, our first two months’ management fees are free. If you have any questions about real estate or investing, contact East Bay Property Management and Consulting.
