How Much Should I Charge in Rent for My Property?
Pricing your Whittier rental property is one of the first things you have to do when you put it on the rental market. Your goal should be to price it competitively so you can get it rented quickly to the best possible resident. However, you also want to price it high enough that you’re earning as much as you can in monthly rent. Asking for more rent than the market will bear is going to lead to longer vacancy times, and that will cost you money. You’ll also increase your chances of attracting bad residents who have been denied from renting other properties.
Well-qualified residents will never overpay for a property.
Pay Attention to Market Factors
Remember that the market drives the price of your rental property. It doesn’t matter how much money you want to earn every month, and it doesn’t really matter how much you think the property is worth. A rental property will only rent for what the market demands. Consider this when you’re buying an investment property in Whittier and when you’re preparing to attach a rental value to the home.
Property Location, Size, and Condition
Location is a driving factor in real estate prices, whether you are selling a home or renting one out. When your property is in a great neighborhood with good schools and easy commuter routes, you’ll be in a comfortable position to ask for more in rent than if your property is more remote and not close to conveniences like grocery stores and major roadways.
The size and condition of your home will also control the price. Well-maintained homes with lots of curb appeal and modern updates will rent for more than older properties that are worn down. Make a few inexpensive upgrades to your property to help it rent for more. Simple things like a fresh coat of paint, colorful flowers, or shiny new hardware on drawers and cabinets can make a big difference.
Do a Comparable Rental Analysis
Before you price your own rental property, you need to know what similar properties are renting for. This is called a comparable market analysis, or a rental analysis, and you can find a local Whittier property management company to run one for you.
Some rental prices can be found online; sites like Zillow and Trulia and even Craigslist will show you what rentals are listed for. However, you cannot always depend on the list price. They may rent for something else. So, make sure you’re using reliable data when you’re conducting your market research. You’ll also need to make sure you’re considering any special amenities that your rental property has or doesn’t have. That will make a difference in how you price your home.
Working with a professional property management company can help you get an accurate rental price. We know the Whittier rental market very well, and we have reliable data that will provide a dependable rental range for your property. Contact us at LS Property Management if you’d like help pricing your property.