One of the biggest mistakes new landlords make is underestimating the rental potential of their property. Often times new landlords are so eager to get tenants in the property that they actually undervalue their rental property.
Using average neighborhood rent data is the better way to set your rental price. Of course, doing a rent estimate can be time-consuming unless you have the right rent estimator tool. The right tool is vital to ensure you are being fair without shortchanging yourself.
Why Do Landlords Short Change Themselves?
New landlords are eager. They want to get the property rented, and they want to do it quickly. Of course, getting qualified tenants in your rental should be a priority, but not at the cost of shortchanging yourself.
There are plenty of people out there looking for a rental. Around 65% of households headed up by people under the age of 35 were renting. Offering a lower than average rental price may not be the best way to attract the highly qualified tenants that you want in your space.
A better way to do things to ensure that you are fair to all parties including yourself is to use a rent prediction tool to get a better idea of exactly what the value of your rental is. A rent estimator can make it easy to determine what a fair market price is for your rental property.
A $20 Savings
Once you have determined what the average neighborhood rent is you can adjust your rental price by as low as $20 to attract tenants. Offering a small discount is the way to get the right tenants in your rental.
There is real value in knowing what the average neighborhood rent is beyond setting the price for your rental. You can use the information to determine what upgrades you want to make to your rental to make it the sought after rental in the area.
You can use the rent estimate and rent predictor as a guideline for budgeting and investing in your rental. Any landlord can benefit from having easy access to the information that helps them to make important decisions.
Before you rent be sure you check the average neighborhood rent. Don’t underestimate the value of your rental. Get the tool that can make property management easier.
