Finding great Sacramento tenantsis a priority, because vacancies are expensive. The rental income you lose on the month or two months that your home is not rented can never be recovered, and it not only depletes your cash flow, it also harms your ROI. Make sure your Sacramento investment property stays rented by following these tips.
Make Renovations and UpgradesWhen you have an appealing property to offer prospective tenants, it’s easy to avoid a vacancy. You don’t have to spend a lot of money renovating the property every time a tenant moves out. However, you do want to make sure your home is clean, modern, and functional. Make smart upgrades that are inexpensive. Install tile flooring instead of carpet. It looks better, it’s easier to maintain, and it will last longer. The appliances don’t have to be stainless steel, but they do have to be less than 20 years old. Give your prospective tenants a home that they will be eager to rent. That will make you more competitive and reduce the likelihood that your property will be vacant.
Pricing and MarketingPricing has a huge impact on vacancy. If you price your home too high, you’ll drive away good tenants and be left with an empty property. Take a look at comparable prices in your area, and price the home based on what the market will bear. A lot of Sacramento landlords make the mistake of pricing their home based on what they want to earn, and not what tenants will be willing to pay. You have to know your market. Advertising and marketing is also important in avoiding long vacancies. Make sure your listing has great photographs and compelling descriptions. Post it on all the rental websites that potential tenants are using.
Tenant RetentionThe most effective way to avoid vacancies is to keep the tenants you have. When you have a great renter in place who pays on time every month, takes care of the home, and follows the terms of the lease, you want to keep that tenant as long as possible. That might mean not raising the rent every year, or providing other incentives to keep those tenants in place. It’s worth it. Show your tenants that you appreciate them and want to keep them.
If you have any questions about how a Sacramento property management company can help you avoid expensive vacancies, please contact us at Titan Property Management.