If you’re not happy with the return on investment from your rental property, these 11 expert tips will help increase your earnings and build wealth faster.
Are you a landlord struggling to make a profit? If you have low earnings on a rental property in South Orlando, then you might be wondering how to increase the return on investment.
You can do several simple things right now to increase your rental property profits. Whether you have one property or 100, we offer the following strategies to help you routinely increase your revenue.
Effective Property Marketing
One way to improve your occupancy rate is by marketing your property more effectively. Make sure you have good photos of the interior and exterior, as well as a complete list of amenities. You can also create a website or blog specifically for your rental property where you can post updates or changes regularly. Additionally, be sure to list your property on popular rental websites and real estate listing services.
Screening Tenants Carefully
Another way to improve your profits is by screening tenants more carefully. This means doing a background check and credit check and asking for references from their previous landlords. When you find good tenants, it’s more likely they will pay their rent on time and look after your home. Minimizing resident turnover is smart and cost-effective because re-leasing can get expensive.
Pro tip: Spend a little extra time screening a potential tenant. If you don’t, there’s a good chance it will come back to haunt you later.
Improve Your Property’s Curb Appeal
First impressions count. Improving your property’s curb appeal is another excellent way to attract more quality tenants and increase profits. Make sure the exterior of your house looks clean and attractive by mowing the lawn, trimming bushes or trees and cleaning up fall leaves. Also, consider pressure washing the sidewalks, driveway, and/or parking areas.
Get the Returns You Deserve On Your Investment Property
One of the easiest ways to increase your return on your investment property is by raising the rent. This can be a little bit tricky since you don’t want to price yourself out of the market, but it’s important to keep up with inflation rates and changes in the local real estate market. Your investment property is a valuable asset and you should always be looking for ways to increase your returns.
Do Competitive Research On Other Rental Properties
If you want to increase your rental property profits, you must know what other properties rent for in South Orlando. This will help you set a competitive price on yours and make sure there is enough demand for tenants looking at your home — research market data, as well as the rental prices of comparable homes in your area.
Make Necessary Repairs and Upgrades
Repairs and upgrades are necessary to get the most money for your rental property. Don’t skip on things like painting, roofing repairs, and appliance replacements. Pay a closer attention to the bathroom which is a common area of the property which can fall into disrepair if left neglected over time. These small investments can make a big difference in your home’s overall look and feel and help attract more quality tenants. Making these improvements will not only make your home more appealing to renters, but it will also make you more money when it comes time to sell.
Excellent Communication & Accountability
Communication is the key to successful property management. As a landlord, it’s essential to be available and responsive to your tenants. It’s also important to act professionally. You can do this by always showing up on time for appointments or inspections, always answering your phone so you’ll never miss an emergency call from tenants, etc. These small things will go a long way in maintaining a good relationship with your renters and improving your rental property’s profits.
Keep Detailed Accounting Records
Keeping detailed records of your rental income and expenses is crucial to making sure you’re profitable. This includes receipts for all repairs, utility bills, property management fees, advertising costs, etc. The devil is often in the details, and it’s essential to have a clear understanding of where your money is going.
Landlords Can Get Creative
Sometimes a competitive market requires thinking outside the box. Here are a few examples of what we mean by that…
- Offer a furnished rental property to attract premium corporate tenancy
- Make your property pet friendly and add a monthly pet rent and a non-refundable pet fee
- Include updated security and technology to advertise great safety features
These ideas attract high-quality tenants, increase your rental income, and can help you stand out from other competing properties. As a landlord, it’s important always to be looking for ways to increase your profits. Don’t forget — the value of your rental property increases with upgrades like the above.
Tenants Are Your Customers
Clever property owners build a sense of community with their tenants by showing them appreciation throughout their lease — not just on signing day. Offering a small gift, like a $50 Visa card or a $25 Dunkin’ Donuts gift card, can make all the difference in the world. It’s also important to stay in touch with your tenants by sending them occasional newsletters or emails about upcoming events in the area and changes that may affect their rent (like increases in property taxes or utility costs).
Establishing a good rapport with your tenants can increase their appreciation for you as an owner and landlord, likely resulting in them renewing their lease. However, if they do decide to move out before it’s up, make sure there are no hard feelings between the two of you so that they’ll be more inclined to refer you to their friends and family.
Get Help Managing Your South Orlando Rental Property
If you don’t have time to manage your property or are an out-of-town/state property owner, hiring a property manager is an excellent way to improve profits and increase occupancy rates quickly.
A reputable property management company in South Orlando can handle all aspects of renting your home for you, including showing it to prospective tenants, approving leases, collecting rent, and maintaining the property. Hiring a professional property manager gives you more time to focus on expanding your portfolio and increasing your income.
Final Thoughts on Maximizing Rental Property Profits
Keeping your property in excellent shape and understanding the market are keys to your success. You don’t have to break the bank to stand out from the competition. There are budget-friendly options out there for making your property look great and renting quickly.
Contact us to increase the profit on your rental property, manage your rental proficiently, and increase retention in the South Orlando area.
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