Property investment is a great source of income when running smoothly. However, to run smoothly, you need to have tenants. Otherwise, you are left with an empty property costing you rather than paying you! Not to worry, today’s blog is a helpful guide on how to have minimal vacancy time on your property investments:
- Be Proactive with Your Current Tenants
The lease your tenants signed has a definitive end date, which most people adhere to, barring peculiar exceptions. Reach out to your tenants 90 days from that expiration date to see if they are interested in renewing. You could even offer a rent concession for renewal if they respond within 30 days of your first inquiry. With this incentive, you can avoid having a vacancy altogether for an extended period. If they decline to answer or tell you they don’t plan on renewing the lease; you now have more time to look for potential tenants and to start marketing.
- Properly Invest in Advertising
This point might seem obvious, but investing the proper amount of time and money into spreading the word on your property is not always an easy task. Spend time spreading the word in your social circle and with good existing tenants – as they might know other good tenants. If you are unsuccessful in finding tenants through word of mouth alone, invest in professional photos of the property when it is empty. This will make for better advertisements and more serious inquiries from potential tenants. These advertisements should also highlight the best features of the property and include any policies that might deter applications, such as a pet policy. If advertising seems too overwhelming, consider investing in a property manager to ease your stress.
- Understand Market Trends
If you are looking to invest in an area you are unfamiliar with, take the time to look into its vacancy rate. The lower the rate, the better the return on investment. Also, consider the vacancy rate throughout the time you have owned this property. If there appears to be a trend of vacancies during a particular season, look into having leases that last through that period. Look into various statistics on the market both currently, and for the past couple of years. Completing this analysis will allow you to make an informed decision on what leases to offer, and what is most advantageous.
Concerned that juggling various vacancies might too much for you to handle? Reach out to TALK Property Management today. Let our team handle the hassle while making you a profit!