5 Pieces of Tips and Advice for Investing in Rental Property
Written By: Andrea Erickson
Rental properties are a hot topic again since the real estate market is a madhouse currently, and many people are trying to figure out how to cash in on this. Although you can’t go back in time and buy properties when they were far cheaper: you can get the most income possible out of the currently available properties.
Here is some important information you should keep in mind when looking at which properties to invest in.
Consider if There’s Extra Land to Develop
When buying land, look beyond the current buildings that are sitting on it. Although things are far easier if you can rent out already finished units: there’s always room for more. While still maintaining common spaces, room for parking, and the apartments themselves, consider if there’s enough room on the property or neighboring property to expand the apartments further. The more units, the higher return, and the faster the property gets paid off so that it’s nothing but income.
Use Software to Manage Everything
Although it might seem obvious, many first-time renovators don’t realize how much goes into owning a rental complex: the more units, the more problems. Good software will let you track when an apartment was last renovated, how many issues a renter has caused, and who’s paid on time or not. Seek out landlord maintenance software that will help you track this information.
A worthwhile software should also notify you when a renter’s lease is closing soon, take care of maintenance, and be easy to use. If a property management app doesn’t have what you need, it’s never too late to switch to a new one.
Ensure the Property is Appealing
Aesthetics matter to everyone. Even though sometimes people will overlook an unattractive property if it means the costs are low enough: you don’t want your property to be like this. The lower the rent, the lower the profit. When purchasing a property, ensure that you pick one that people will want to move into.
The top things that build appeal are:
- Natural areas with trees and grass.
- Beautiful, clean, and fresh-looking exteriors.
- Amenities like pools and tennis courts are visibly well maintained.
- Gorgeous skylines if within a city.
- Attention to detail in everything from a well-maintained sidewalk to the apartment number signs.
The attractiveness can always be built upon by creating areas with natural beauty, like portions of land with trees and grass, or updating the interiors with the best flooring for rental properties.
Look Into the Current Rental History
If the property you’re looking at has already operated as an apartment complex or a rental property in general, what’s its history look like? How long have other land buyers overlooked this property? Ask the current owners how much they get on average for rent and if the current renters are responsible and pay on time.
Changing management doesn’t mean that the renters will necessarily have to leave, depending on the terms of their lease, so it’s a good idea to get to know the type of people who live in the area. If the complex seems to have a lot of eviction notices, or it’s in a place where the cost of rent wouldn’t be sustainable for the average wages of the area, this might not be a great property.
Don't Assume Any Project Could Be Considered Small
Looking at rental units to purchase, it can be tempting to view them the same way we view homes when we are buying them. A fresh coat of paint here, composite slate on the roof there, it might seem simple: but apartment complexes will quickly become expensive. Unfortunately, there’s no way to avoid these costs if they’re necessary, so when you’re shopping around, consider which projects you’d be willing to do for every single unit that you’ll be renting out.
It might not be a big deal to remodel the bathroom of a home, but remodeling the bathrooms of an apartment complex will eat up a lot of time and resources. Avoid this; take the time to make sure the property you purchase is the best fit possible. If you do need to do extensive updates, budget to ensure there’s room for that in your time and financial budget. Don’t leap into a project without knowing the full story.
Rental Properties Are Passive Income Gold
Whether you’re purchasing several apartment complexes or a single-family property, rental properties have the potential to divert thousands upon thousands of dollars to your bank account.
To build upon these properties, it’s good to update each space within the room by room when people move out. This will allow for a more gradual transition to a completely updated property while still ensuring that most units are in use or are more quickly available.
Andrea Erickson is a contributor to Innovative Building Materials. She is a blogger and content writer for the real estate industry. Andrea is focused on helping fellow homeowners, contractors, and architects discover materials and methods of construction that increase property value, maximize energy savings, and turn houses into homes.
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Sustainable Property Management: Making Your Property Energy Efficient
Energy, efficiency, and sustainability are going to be hot topics as we enter both a new decade and a new age of environmental awareness in the Dallas-Fort Worth area. Dallas has enacted its first climate action plan, Fort Worth is following suit and four out of five Texans understand climate change.
With 38% of Texas households being rentals, property owners will be at the forefront of the increasing demand for “green” business strategies. Get ahead of the market and what the newest generation of renters want by making environmentally-friendly improvements to your property!
How This Helps in the Long Run:
Suburban neighborhoods contribute about 50% of all household carbon emissions in the US. As we continue to invest in housing, we must recognize the current and future legislative pushes that aim to reduce the average American’s carbon footprint. By implementing strategies now, you will be ahead of the curve should any mandates come down the line later on
The newer generations of renters – Millennials and Gen Z – have demonstrated that they will readily spend more money with a company that reflects their eco-friendly values. Promoting that your property has taken measures to be energy efficient is a great marketable sales point to what is quickly becoming the largest renting demographic!
Cost-Effective Energy-Saving Upgrades:
- Energy Audit – You can hire an expert or do it yourself!
- Caulk Interior Windows and Door Trims
- Use Energy-Efficient Lightbulbs
- Keep / Install Wooden front doors – hollow metal doors invite cold air in!
- Use Native Plants for Landscaping
- Go Paperless!
- Install a Water Leak Detector
Larger Energy-Efficiency Investments:
- Insulate the Attic – this can reduce your energy bill 10-50%!
- Tankless Water Heater
- Solar Panels
- Programmable Thermostats
- Install low-flow showerheads and toilets (or even dual toilets!)
- Install low-consumption dishwashers and washing machines
The possibilities are nearly endless with green remodeling!
Whether you’re looking to rent one property or invest in a multi-family unit, a property management company like Frontline Property Management can help define your strategies as well as handle the day-to-day operations for your property.
Contact us today to learn more!
Improving the Marketability for Your Rental Property
As we have covered in a previous article, a common question that first-time landlords have is: How do I know my property is ready to be rented? We’ve discussed the matter of habitability – or making sure that the residence is clean, safe and functional for future tenants. You will next need to address marketability. In order to do this you will first need to:
- Be Familiar with Your Neighborhood: Have a clear visual understanding of what the surrounding neighborhood looks like, how well maintained the homes are, the styles of the homes there, et al.
- Be Familiar with Your Market: You need to know the statistics of your market such as what the current rental prices are, the average value of the homes there and the rate occupancy.
- Know What’s Trending with Renter Preferences: Like everything else, what worked in the 80’s doesn’t work now. Certain styles, features, and amenities, while detracting nothing from habitability, may make a prospective tenant think twice about renting.
Renters have expectations for the property that they are moving into. Once the home is habitable (which renters need), renters will look for features that make them want to rent with you. However; not every amenity is a necessity in the market your property is in. We’ll take a look at the breakdown of two major aspects of how to move from having a habitable rental property to one that is marketable.
Visual Impact (Curb Appeal)
Your rental property sells itself from the sidewalk! Curb appeal is decided in a few seconds – the time it takes someone to drive past. First impressions can make a prospective tenant decide to apply before they even realize it themselves. Do the following to maximize the visual impact your property has:
- Clean the Windows
Not only will this allow light into the property during a tour, but from the street gives an impression of newness and cleanliness. Clean, clear windows with repaired screens are inviting and reassuring. Any drapes or other window dressings in the property should be fresh.
Any yard or land attached to the property should be mown and trimmed. Old, leaning or dead trees (that may later on be a nuisance) should be removed, other trees and shrubs should be pruned. Plant new shrubs or flowers, pull up weeds, remove any old lawn decorations or flower pots from the garden beds. At the very least, the property should be in keeping with the surrounding neighborhood! If the neighboring yard doesn’t have Italian Cyprus lining a grotto-styled walkway, then don’t invest more than is necessary to spruce up the front. If, however, the neighborhood has an HOA or an otherwise shared aesthetic, it is best to match that expectation. Good landscaping can be a large investment, but will continue to sell your property for years!
Once a prospective tenant has fallen in love with the exterior of the home, they will want to see the interior! This is where renters will imagine their lives in your property. This is also where the difference between a habitable living space and a marketable one takes on a great depth of nuance and what you need to improve on your property relies heavily on its individual market.
- Paint the Walls
A fresh coat of paint brings life back into rooms! Neutral colors are highly recommended. Color palettes can be trendy and may quickly age a home as the fashion changes.
- Replace Flooring
Today’s wall to wall carpet is quickly becoming yesterday’s carpeted bathroom. While not completely necessary, updating to laminate flooring has the benefit of having the look of a classic wood floor without all the upkeep of true hardwood, while also negating the maintenance that carpeting requires. No more deep shampoos! This has also trended up so much with young renters that carpeted units have become associated with being outdated – even if the carpet is brand new!
Again, this is a luxury upgrade in most markets at the moment. Refer to the stats about the neighborhood – if other homes do not have laminate flooring, you can either match the expectation or exceed it and improve your competitive edge.
- Update Fixtures
In many markets, so long as the faucets don’t leak, they are fine. In competitive markets, habitability is a low bar to clear. Countertops are transitioning from wood laminate to marble laminate. Fixtures throughout the residence should match in style. These details, again, are luxuries but also long-term investments that can be made to maintain marketability to future residents. Also, keep in mind that your tenant may want to install new home technology, from video camera doorbells to entire home operating systems. Be prepared to answer these questions and know ahead of time how the technologies work, how their installation affects your property and what it means for future liability and lease writing.
In order to navigate what’s a worthy investment for your property, recruit the business of a Property Management Company! Companies like Frontline Property Management Company are tapped into how the markets are changing, what renters want, and how to get you what you need to find a tenant!
Contact us today to learn how we can help you market for, and recruit, your next tenant!
5 Steps to Prepare Your Property to Rent
There are a number of ways that you can improve the quality of your rental property. Before moving on to the superficialities of fresh coats of paint and the curb appeal (which is also important, as it may drastically improve the marketability of your property) you will first need to have these very basic needs covered.
These are steps that you need to take to ensure the habitability of your property and is the first line of defense in identifying issues while they are small, before they become more costly down the road. Remember – neglect is paid back with interest!
Take these five steps to best prepare your property:
- Change the Locks
Everything will need to be re-coded and re-keyed. This will include all doors to the property, gates, mailboxes and any facilities that only tenants have the need to access. Electric key pads are convenient in that they will only need to have their codes reprogrammed, but a standard locksmith is an excellent way to make sure that no prior tenants or vendors can gain access to the property.
- Check Your HVAC System
Bring in a technician to do a tune-up of the heating and cooling system and all its elements. The ducts and vests will need to be checked for mold and all air filters will need to be replaced. Reusable air filters may be replaced by disposable ones, as not all tenants will diligently clean the air filters on a monthly basis, but would rather replace the air filters entirely.
Test everything. A vacancy, whether you have never rented before or are between tenants, is the perfect opportunity to identify key issues. As if you were a tenant yourself, check every room for any issues that you would have moving into and living in that space. Look at the property with fresh eyes and not with what you are willing to live with. The major appliances provided in the property must have full functionality, there must be no drips from any faucets, no toilets that run for long periods of time and no dead outlets.
Revolve any issues from the testing phase of your make-ready! With no occupant to work around, there’s no time like the present to fix problems at their source. Replace broken fixtures and appliances, bring in electricians, technicians and repairmen to ensure that the work being done is up to code, and rest easy with the knowledge that everything from the roof to the foundation is in tip-top shape!
- Hire a Professional Cleaner
Plenty of professional cleaning services offer deep-cleans for make-ready quality work – and you should leave it up to the professionals! Not only will they cover the spots you may not think about (like say, the tops of ceiling fan blades) but can also get into hard-to-reach places; beneath, behind and inside appliances; and will thoroughly deodorize the property. Smell is one of the biggest first impressions new tenants make of a home! Cleanliness isn’t (only) about how it looks, but ensures the sanitary conditions that everyone expects when moving into a new space.
6. Bonus: Hire a Property Management Company! (Pro-Tip: Do This First)
Property Management companies like Frontline Property Management, Inc. get all of this and more done on a regular basis! Our experienced property management company has a well-maintained network of vendors along with the experience to determine when a job is well done. Your property’s make-ready is just the first step in acquiring your tenant – and we have you covered every step of the way!
Interested in finding out what it would take for your property to become rental-ready when managed by us?
How to Manage an Out-of-State Property
There are (more than) a few reasons that you might be interested in owning and managing an out of state property. You could be:
Funding Your Vacation/Retirement Home
Renting out a property that you plan to eventually reside in, either permanently in the case of retirement or seasonally as a vacation home, is one strategy many investors use to pay down the mortgage before moving in. As part of a long-term investment plan, you may even find it both equitable and convenient to invest in a property near the college your children attend. Not only do you gain reliable tenants, but any trip to visit them at the property can also double as an inspection – making the trip at least partially tax deductible!
Investing in Affordable Areas
Investors from costly coastal markets are attracted to Southern states and suburban markets which have experienced an average 4% rent increase since 2010. This moderate rate, rather than a quick appreciation of housing value, benefits the investor looking for steady income from their real estate investment.
Diversifying Your Holdings
All housing markets are not equal. Rather than invest in one particular region, or your own market, you may choose to set your sights on a few different markets. Your eggs are not all in one basket, so to speak.
For whatever reason, you decide to manage an out-of-state property, know that the basic needs of becoming a landlord still apply. This is more taxing as a landlord who is not able to quickly be on-hand; however, that does not mean that you cannot manage effectively from a distance.
Communication is Key
The most important element of being out of town is to keep the pathways of communication open and clear. Email is a convenient way to have written documentation of all conversations, but remember to keep your cell on! You never know when an emergency will come about.
Get Your Automation On
You will need to find a way to collect rent that is convenient for both you and your tenant. There are many payment apps that are available. You may elect to have them deposit the funds right into your bank account!
Develop Your Vendor Network
A trusted vendor is worth their weight in gold when you’re not there to tend to maintenance issues yourself. A tenant won’t be happy to wait weeks to have leaky pipes fixed, and you won’t be pleased to travel hours for a simple task. Leaving work orders unresolved is not only bad for business, but it’s detrimental to the health of your investment property.
Inspect What You Expect
Like any other job, you must continually evaluate your renting situation. Your property needs to be inspected (with due notice) at least once a year. This prevents small problems from turning into larger ones. Leaking pipes can turn into foundation damage. Damage from a careless tenant could depreciate the overall value of your investment. There is no substitute for hands-on, eyes-on evaluation of a property.
Hire a Property Management Company
While none of the above necessities for managing out-of-state are impossible to do on your own, there are many complications inherent with taking on these tasks. By hiring a Property Management Company, you’re bringing in a local to do the business for you in their own geographical area.
A few benefits of hiring a local Property Management Company:
Scouting: You need help finding a property to invest in. Without knowing the local housing market and, importantly, the local neighborhoods they cover, it’s easy to find yourself invested in the wrong property in the wrong place at the wrong time.
Local Laws and Regulations: Although there are national Fair Housing Laws, there are local statutes that you may not be aware of that a local Property Manager will be able to help you navigate.
Tenant Management: When automation doesn’t work and you need to demand rent from a tenant or file eviction, a local presence is more able to enforce the lease contract that you and the tenant have agreed upon. A Property Management Company also provides leases that are Fair Housing compliant and legally binding. Furthermore, a Property Management Company handles any and all interaction between what would otherwise be you and the tenant.
Property Management: Of course, your property would also benefit from a Property Management Company! Property Managers not only find quality tenants, but also conduct inspections, have a network of vendors they work with, and can be at your property if any issues arise. They are your eyes, ears and hands on the scene! You can spend all the free time you’ll have relaxing and focusing on your investment strategies.
In short, hire a Property Management Company like Frontline Property Management, Inc. to protect your bottom line and improve your overhead.
Do you have a property that you need help managing? Are you tired of being on call 24/7? Fill out his form to see how we can help!
3 Ways to Build Your Vendor Relationships
If you have decided that you would prefer the freedom of outsourcing your maintenance rather than, say, making yourself available at any time of the day or night to tend to your tenant’s needs, then you are now in search of maintenance vendors.
What you are NOT looking for: a “handy” family member or family friend, a “jack of all trades and master of none”.
What you ARE looking for: licensed professionals who are also covered by liability insurance.
Your maintenance vendors are a crucial part of your business. They represent you by interacting directly with your tenants and help you by saving time and money. Building a relationship with your vendors is imperative – here are three ways to do just that:
1) Select a FEW Vendors
It should go without saying that in order to build a relationship, you will need to choose a few go-to vendors for your maintenance needs. By doing this, you and your tenant benefit from consistency in performance, and the reassurance of a familiar face. Being a steady source of business for your vendor may actually get you higher on their priority list, as well.
2) Pay Your Vendors on Time
Recognize that the time and effort that you’re saving by not completing repairs yourself translates into dollars paid to your vendor. You are paying not only for the repair, but also their hourly rate. Remember that these are professionals that can not only diagnose the issue, but have it repaired in a timely manner that does not drag out the inconvenience to your tenant (which becomes an inconvenience to you!). Be respectful and pay your vendors in a timely manner as well.
3) Refer and Rate Your Preferred Vendors
Ratings are everything these days! If you love your vendor, refer them to other landlords like yourself! Getting your vendors more business is a great way to build a positive relationship. If they have a website, write a stellar review! Give them stars on Angie’s List or other online vendor search applications.
Keep in mind, this will be a matter of trial and error. You may find a fantastic vendor the first time you ever need a repair, or you may not. There are horror stories of vendors doing more harm than good, or upcharging exorbitant costs for what should have been a relatively simple repair. Also, as an extension of your own business, if they have a conflict with your tenant – you now have a conflict with your tenant.
Property Management companies like Frontline Property Management, Inc. have spent years vetting their vendors and building those relationships so that you don’t have to! If your property is hours away or out of state, that’s a huge impediment to having the face-to-face teamwork that we have with our vendors. With Frontline, you always know where your bottom line stands. Large repairs are never started without an appraisal of the work by a licensed and insured vendor, and we never EVER make a profit on the work being done. Our goal is a happy landlord and a happy tenant, and we do everything in between to make it happen!
Do you have a property that you need help managing? Are you tired of being on call 24/7? Fill out this form to see how we can help!
You own a home that you would like to rent. The arrangement seems like a simple one: You provide the residence, the tenant pays the rent and bills. Yet there is a gap between the perfect home and the perfect tenant – and the space in between is where you become a landlord.
These are three basic truths of being a landlord:
1) Things Break
As a homeowner, you understand that a residence requires maintenance. If it’s not the big-ticket items – the roof, the water heater, the HVAC system – it’s the smaller things. Faucets leak, doors squeak and outlets go out. A landlord is responsible for maintaining their property from the foundation up, and part of homeownership is owning that responsibility as well. Even new homes have their issues, and the phrase “it’s always something” will be said more than once as you find yourself once again getting a call on a relaxing evening on your day off.
2) People Aren't Perfect
Although there is an ideal tenant – someone who is self-reliant and pays all their bills on time – there is no such thing as the perfect tenant. Life happens to everyone. Beyond that, you are almost certainly guaranteed to come across tenants who can’t or won’t pay their rent on time, who ignore or cause damage to your property, and who can and will contact you for every single issue they have – day or night. Your interpersonal skills, as well as your patience, will be tested as you interact directly with your tenants. How you handle your disagreements can greatly affect your experience as a landlord – it’s easy to become chronically frustrated and fatigued by less-than-perfect tenants, but it’s part of the job!
3) Resolutions Take Time
As a landlord, you will become very familiar with resolving issues. Whether you’re rolling up your sleeves in the middle of the night to do emergency plumbing, going back and forth with a tenant over non-payments, or filing (seemingly) never-ending stacks of insurance, taxes, and invoice paperwork – it falls on you, as the landlord, to take care of these issues. All of these things will cut into your free time.
Of course, you don’t have to go through the hassles of being a landlord.
There is a way to rent out your property without having to deal directly with repairs or troublesome tenants, and without having to spend hours of your life making phone calls and filing paperwork:
HIRE A PROPERTY MANAGER.
A Property Manager is someone who will be your middleman. Property Managers find and screen tenants, collect payments, and deal with every hassle and phone call on your behalf. They can even help you sell your home or increase your portfolio. They are your hands in the field and eyes on the ground and go to work for you to facilitate a smooth renting experience for you and your tenants.
Frontline Managers do all that and also benefit from a full staff of support! The Frontline Family works as a stellar team to ensure that every step of the process is taken care of, down the very last detail. Working with Frontline Property Management is not only hiring a Property Manager, it’s gaining an accounting department, a team of tenant coordinators, a corporate office and managers with years of real estate experience! Sleep better at night knowing that your property and your business is safe in our hands!
Enter the following information to request information now about hiring Frontline Property Management!
3 Must-Have Traits for Success
As a full-service brokerage, our team speaks to people interested in real estate investing nearly every day. Unfortunately, many of them never move forward. We started to wonder what the difference was between those that move forward verse those who just sort of fizzle out. While researching how we could take our service to the next level and help those interested in real estate investing be successful we came across an article written by Dan Sheeks. In his article, 3 Must-Have Traits of Successful Entrepreneurs, Sheeks list out personal traits that could make even the most unlikely investor successful.
1) An Insatiable Thirst for Knowledge
Once we leave the secondary school system, additional education is a choice. Many choose to continue their education with a degree or certification, then stop. For entrepreneurs, that’s not an option. Continued learning is as necessary as oxygen and nourishment. Knowledge is nourishment for our brain that we naturally seek.
It’s not a secret that an entrepreneur needs to have wisdom and knowledge to be successful in their endeavors. Pursuing an investment opportunity without knowing and understanding the details is not the best strategy. The more we know, the more likely we are to succeed. (But only to a point—see No. 2 below.)
If someone wanted to start a restaurant but knew very little about food, business, accounting, cooking, customer service, managing people, or the market area, it would likely be a quick and disastrous attempt. We need to know before we go.
There are numerous ways to seek out knowledge. But no matter what options are available, entrepreneurs will find at least one to satisfy their hunger for knowledge until another option is available—they’re always learning.
I’m sure this will look familiar to you, but here is a shortlist of ways to gain knowledge:
- Attend a class
- Attend a seminar
- Find a mentor
- Read books
- Listen to podcasts
- Read blogs
- Converse with others
2) The Ability to Pull the Trigger at the Right Time
We will never know everything about real estate investing, but there comes a point where we know enough. Therein lies the real test of the entrepreneur: Can they pull the trigger at the right time?
There is a spectrum of decision making. The left extreme is making decisions without any information. The other end is the extreme of always needing more information, resulting in no decision whatsoever. Either extreme is rarely the case, as most of us make decisions somewhere in between.
But entrepreneurs can actually make a decision. Too many fall on the right side of the spectrum and always feel they need more knowledge.
The left side of the spectrum is for fools. They are the quick-draws, who jump in without any prudence. They often fall victim to scams and are broke without knowing what happened. A fool and his money are soon parted.
Those who find their home on the right side of the spectrum are the “paralysis by analysis” types. They want to have every detail figured out. They are continually seeking that additional piece of insight or always waiting for the perfect opportunity. Neither ever comes, and in the end, they do nothing.
An entrepreneur knows when they know enough. They recognize that point in time, which is key. Because once they are confident in their knowledge, they act. They are able to know when they know what they need to know.
3) An Unusually Low Fear of Failure
Success does not come without failure. Period.
We’ve all heard the story about how Thomas Edison tried a thousand materials before he found the one that made the light bulb work. Or how Stephen King submitted his first book, Carrie, 30 times, while would-be publishers rejected it each time. Or how George Lucas took his idea of Star Wars to Disney, United Artists, and Universal and was sent walking on each occasion—until finally FOX decided to roll the dice.
Entrepreneurs don’t fear failure; they thrive in it. An entrepreneur inherently realizes that failure brings education, knowledge, growth, confidence, and opportunity. They recognize that failure is the key. It’s about trying; it’s about putting yourself out there; it’s about breaking the norms; it’s about exploring beyond the box; it’s about ignoring the hoops and jumping through walls; it’s about challenging the status quo. And this approach will inescapably come with massive failure at times, but those failures are the needed steps to be taken on the path to success.
Unfortunately, most people are too concerned about what others may think if they fail. Or too worried about the consequences of a failure. Entrepreneurs are more concerned with the consequences if they don’t fail.
For more details on our property management services please tell us a little bit about your self and your investment(s).
How to determine how much rent to charge in Fort Worth, TX
When you’re pricing your rental property, one thing you don’t want to do is rely on the public rental comps that are out there. That’s one thing we always tell owners when they call about how to determine how much rent to charge. Pricing is a bit of a science but also a lot of art.
Timing and Pricing
Timing is an important part of pricing. Tenants don’t want to move a Christmas tree. Things slow down a bit during the holiday season, and our best leasing time is May through the second week in August. Everyone wants to get into a property and settled before their children start school. Timing is important, and you need to be careful with those public rent comps because they can be six months old.
Key Pricing Factors
If your prospective tenant comes to see your property, and there are a few houses in the neighborhood that aren’t the nicest, and when they drive up to your property there are five or six dogs next door barking, they’re going to form an opinion about the area. There’s not a lot you can do, but maybe you take them a different way to the house. You’ll have to strategize around this because it will impact your price.
The WOW Factor
When we can get the wow factor right, that alone can overcome the other two issues when it comes to pricing your property. If you ask a property manager for a rental rate over the phone, and someone gives you a rate without seeing the property, you should be leery. We like to get in that property and see it before we can tell you how much it will rent for. We can point out what renters are looking for and recommend how to add value. Simple things like ceiling fans, fixtures, flooring, and bathrooms will increase your rental potential. Never leave the old autumn-colored gold appliances. Curb appeal is huge.
If your prospect drives up and walks in and says “wow” – you can overcome almost anything else.
So, the pricing strategy is a little bit of art and science. We do price high sometimes because we want to wait and see what the activity is. We’ll get a baseline from the market, but we’ll wait and see. If we show the property five times but don’t get an application, we know that we need to drop the price. Sometimes, we are happy and surprised with what we can get for your home.
If you think you got the price wrong on your property or you need any help with property management in Fort Worth, Texas, please contact us at Frontline Property Management. We’d be happy to help.
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