Useful Tips for a Rental Down Market
Updated: Dec 3, 2020
Some of today’s property managers and leasing agents were not in the business in 2008 and 2009, and over the past decade, they may have become accustomed to high leasing demand. Now, they have been plunged quite suddenly into the deep end of the lake.
With landlords experiencing a down market as a result of the pandemic, many have been dealing with renters unwilling or unable to pay as well as eviction restrictions. On the flip side, there may be units that are remaining vacant. What are some of the best practices to remain afloat?
While there isn’t much that can be done for existing renters, there are steps that can be taken moving forward. For example, you may wish to lock in renters for lengthier leases as it may help to cut down on vacancy as well as reducing churn. If you have a certain period in which you typically send out renewal offer letters, consider sending them out earlier. You may find this will increase the odds of greater occupancy.
Speaking of renewals, take a look at how competitors price theirs. Don’t concentrate as much on rental comps from online listings and call-arounds. This only focuses on new leases and seldom reflects what's on the lease roll. When your internal data and your transactional benchmarks inform you that there is no reason to take risky steps with pricing, one of the worst decisions you can make is to follow your opponents.
This update is by Livo, a rental optimization platform aimed at providing you with a robust revenue enhancement tool. With Livo, you can maximize rental yields, accept and manage multiple offers and offers, and enjoy better retention. Livo targets rentals with the greatest odds of receiving a multitude of offers, and those with the best locations, features, configurations, and more. Please call 833.333.5486 today to learn more.