You have to prevent rental property vacancy. Without tenants in your property there is no monthly ROI at all. Tenants provide the income for your rental property. Without tenants there is only an increase in value of your property. That isn’t enough to make it worthwhile. A property that rents for $1000 a month loses more than $33 a day.
Tenants are like any other customer. Offer them something they want. Charge an appropriate amount for it. Then, retain them as customers. This maintains monthly income.
Retain the current tenants
Keeping the current tenants is the easiest way to keep vacancy down. It’s the cheapest way too. Turnovers cost money and it can be avoided. Retain the tenant, maintain the income stream and avoid costly turnovers. Jacobgrant uses the following tools to retain tenants
- Our maintenance department responds quickly to maintenance requests within 24 hours.
- The lease has clear expectations. This avoids tensions that might cause a tenant to look elsewhere.
- We provide rentals people want instead of the minimum to get by.
- Jacobgrant’s screening process acquires tenants that will fit the property. This means they will be more likely to keep it.
We Prevent Rental Property Vacancy Before Leasing a Property
Timing of the lease is essential. Don’t allow the lease to end in the winter months if possible. No one wants to move in the winter. Jacobgrant’s leasing department has leases end in the summer months when tenants are more likely to move.
Don’t allow the lease to expire at any time when the property might be harder to rent.
Timing leases is especially difficult in Rexburg. Students come and go with the scholastic terms. Leasing keeps a certain number available when the terms start through lease timing. Jacobgrant’s leasing department has mastered this through experience.
Lease Term Flexibility
Jacobgrant’s leasing department offers longer leases at lower rates. There are leases of up to eighteen months. This incentivizes tenants to stay in their rental. Strategic lease lengths prevent vacancies at hard to rent times. There is more consistent ROI as a result.
Jacobgrant Prevents Through Quick Turnovers and Marketing
The leasing department doesn’t show occupied units. The unit will frequently look bad. This makes the property unappealing to potential tenants. Potential tenants see the mess or the décor and not the quality of the rental. Jacobgrant gets much better results showing unoccupied units.
We perform a move out inspection. We determine the condition of the property before the old tenants move out. This tells us what needs to be done to make it ready to rent. Jacobgrant provides visual proof of the condition of properties to the owners. In addition there are comments that add context to the images of a property.
Our maintenance department completes all necessary repairs next. Repositioning is completed if it fits with the property and the owner. Another inspection is completed to assure that the necessary repairs and maintenance were completed. Jacobgrant’s leasing department assesses the rental’s market posittion. The rent is increased if the market will support it. Maximum market rent increases ROI.
Marketing Your Property
Eighty percent of our properties have new tenants before the property is available. The leasing department starts marketing properties when current tenants give 30 day notice.
Jacobgrant uses several online resources to market properties.
Our leasing department gets the best results from Trulia and Zillow.
A live video is created and posted on Facebook. This happens if the property doesn’t rent within a few days of availability, and the property hasn’t been rented. This marketing method is nearly 100% successful.
Examining Market Rents
Rent level will be examined if the property hasn’t rented in seven days. If the rent had been raised to maximize ROI, it will be dropped back down. The leasing department will try a move in special if necessary. This has proven to be a good incentive.
Move in Specials and Rent Discounts
Apartments are discounted fifty to seventy-five dollars a month for the first three months. Single family rentals are discounted by one hundred dollars for the first three months. This discount depends on what can be afforded.
Offering shorter leases down to month to month at full rent are also considered. This gets tenants in by leveraging flexibility in lease length.
The last resort is dropping the rent for the length of the lease. It’s not as horrible as it sounds. Discounted rent is better than no rent. Collected rent is what pays the bills.
Jacobgrant has the experience, skills and procedures to keep your property occupied. Our leasing department knows how to maximize your ROI. They do this by keeping rents at the maximum the market will allow and assuring constant occupancy. It’s part of; “We Work, You Profit”
To learn more about how Jacob Grant can improve your Passive ROI with vacancy prevention call 208-795-8218 or schedule a call Schedule call