Top Reasons Your Rental Property Is Unoccupied

 

 

You own a lovely property in a decent town, but it’s just sitting on the market with little to no inquiries. You’ve placed an ad and even hosted a few open houses, but no one seems interested in putting in an application. If you can’t find tenants soon, you’ll fall behind financially trying to keep up with the expenses yourself. What is it that you’re doing wrong? More importantly, what can be done to resolve the matter? Let’s start by learning about the top reasons rental properties remain vacant.

 

Incomplete Maintenance And Repairs

 

Taking potential tenants on a tour of the property as you point out all the imperfections and explaining how you’ll take care of it later is the worst thing you can do. Although the cost and responsibility of maintenance and repairs lie on the landlord, tenants don’t want to move into a ready-made headache.

 

If there are structural or system maintenance and repairs that need to be completed, you must resolve the matter now. There are sites like Home Advisor where you can find local contractors with the experience to tackle projects within your budget.

 

The Property is Outdated

 

The meat and bones of the property might be intact, but if it’s outdated, tenants aren’t interested. Survey your rental property and be honest about its appearance. Are there things you could do to make it more modern? You can even host an open house and ask guests to get a better idea of what’s missing.

 

Once you have an idea of ways to renovate or improve the property, it’s time to hire professionals to get the job done. HomeAdvisor makes it easier to find reputable contractors that specialize in home improvements ranging from bathroom remodeling to landscaping.

 

Not Enough Marketing

 

You can have the perfect rental property in an ideal neighborhood that is structurally and aesthetically sound, but if no one knows it exists, you’ll have difficulty finding tenants. Effective marketing is essential to attracting potential tenants to your rental property. More than just placing an ad in the online classifieds or printing up flyers, you must utilize various tools and platforms to get the word out. Such methods might include social media posts, ads on multiple rental sites, open houses, and signage. If you lack time or experience in marketing, it’s best to hire a professional to assist you in this area.

 

The Rate Is Too High

 

Affordability is a factor tenants consider significantly when looking for a rental property. Your apartment units or house might be lovely, but if it costs too much, no one is going to show interest. Although the idea is to profit on your rental properties, you can’t expect a return on an over-priced unit. Check out comparable properties in the area to see the going rate, and then advertise your property for a similar rate. While lowering the monthly rent on your property might reduce your return, it’s a lot better than having to cover all the expenses yourself (because it’s unoccupied).

 

You’ve Chosen A Bad Investment

 

Part of the landscape of real estate investing is that sometimes you’re going to pick a bad apple. While you may have gotten it at a reasonable price and implemented the strategies above to attract tenants, it may not be enough. The property could be in a lousy neighborhood, structurally compromised, or near distractions like airports and train tracks. At some point, you’re going to have to decide whether it’s time to cut your losses. This might mean selling the property at or below market value.

 

As you can see, there are various elements involved in getting a tenant in your rental property. Unless you have money just to throw away, you must take steps towards improving your asset to get the return you need. Whether this means using HomeAdvisor to find contractors for improvements and renovations or reassessing the monthly rent, taking these steps is essential. Doing so will increase your chances of getting a tenant in the unit before you know it.