Top Tips On How To Find The Right Tenants
Finding good tenants is like finding a hidden treasure in the forest. You have to go through a lot of obstacles to locate them. But the struggles are worth it since good tenants tend to stay for long periods and, most importantly, they always make their payments without any drama or hassles.
If you’re having trouble locating “hidden treasures” in your area, here are some strategies on how to find the right tenants for your property for rent:
Identify your target audience
You can’t please everyone, so don’t bother when finding the right tenants for your property for rent.
In my years of experience as a landlord, I’ve learned that property ads which are targeted to a certain demographic usually get more responses compared to those ads which try to appeal to everyone looking for a place to rent.
You can figure out the right demographic for your property through examining the structure of your house or building. If it’s spacious and has a few bedrooms, it may be well suited for families. On the other hand, one bedroom flats should be marketed to single tenants or couples.
Provide as much information as you can
Putting up an ad for your rental property is just part of the hurdle. The content of your ad is crucial in attracting the right tenants.
Most landlords just place the address, number of bedrooms, and a contact number in their advertisements. Stop making this rookie mistake. I’ve found out that advertisements with a complete description of the house, additional amenities, and its nearby surroundings garnered more interest from tenants.
For example, when I was advertising for a one bedroom flat near London’s CBD, I also included details like: available parking space, public transportation links near the flat, local crime rates, and furnishings which are provided in the room.
Do your research on current rental rates
Pricing is a very sensitive topic for many landlords, because many in our industry believe that their properties are worth more than the current, standard rates – especially when they do major renovations to it.
I used to be like these landlords, but I learned after a life-changing experience that a well-made rental property won’t serve its purpose if no one inhabits it.
A few years ago, I was a building a property portfolio of fix and flips. I made sure during renovation that all the properties had amenities a tenant normally asks for, but no one went by to lease any of my developments when they were finished.
At first I asked what was lacking in my property. It changed when one couple told me that the rent I was asking for was way beyond their budget. That’s when I learned that going beyond the current rental rate could turn off a lot of potential tenants.
Always be mindful of the average rates in your area. If you need to do a reno, plan your budget carefully so you can still charge competitive rates. For more info and advice, feel free to browse my archives.