Yo hurry empty rents – as a landlord, as a neighbor and citizen. As a landlord, yes, I lose a lot of money and time, not to mention added inconvenience.
And no matter what, empty rentals bring additional worries and headaches: vandalism, neighborhood kids, yard maintenance…
What most landlords don’t know or understand is the concept of marketing their rentals. I try to be flexible and treat my tenants like partners, because they are. If you have no tenants, you are left with empty houses and expensive real estate investments.
If the property has been vacant for only 1 month, that property’s full year earnings are affected. If it’s vacant for longer, well, you can do the math.
Here are some investment secrets and strategies I use to rent out my units faster.
Give the first months rent free. If a unit is vacant, many times your tenant will be ready to move in at some point during the monthly cycle, not necessarily at the beginning of the month.
So give them the rest of the month free as an incentive. You would lose the rest of the month anyway if the tenant doesn’t move you in, but now you have the rented place and the assurance that (and since I only do 1 year leases) you have them for a full year, because your year paid in full does not start until the first month rent is paid.
Reward your followers. Yes, we all fall for this tactic. If my tenants keep the unit in excellent condition, take care of the landscaping, pay on time…sometimes I pay their water bill or give them a gift certificate for a free dinner or pizza.
If it’s a multi unit, I tell the other tenants about the reward to motivate them.
Stage the place. No matter what kind of neighborhood, I always organize my rentals. Many people do not have the vision to see how the place will look with furniture. Most people get carried away by emotions and if they like what they see, they accept it.
Helping them with the deposit and rent money. It’s about being flexible again, but you have to be careful, of course. I meet with them first, check their background, credit, and other factors, and sometimes give them a break if I feel they need it. There are people who strive to get back on track. And others that are not. Therefore, you need to decide who is willing to receive extra help and with whom it will not work.
Provide an update. Since I know my rentals, I know the things that are earmarked for upgrades or replacements. Every once in a while, I’ll deal with one of those. Tenants love it and it keeps my property values up. Another win/win situation.
And last but not leastmarketing, marketing and more marketing. Real estate investing is no different than other businesses. You have to keep marketing and keep your leads coming. Expose your marketing to as many people as you can.
Send postcards in the neighborhood, even to other rental properties. Give them the reasons why they should rent to me instead of where they are from. Give them the benefits of living with me. I take photos of my rentals and send them to my prospects so they can see the beautiful places I have.
You have to take care of your tenant’s interests first before you own it. I have learned that in life, problems start when we take care of ourselves first before others. When you help other people and look after their interests first, your own interests will automatically be looked after.
