Owning investment property in New Jersey is a smart way to build wealth and establish some financial security for both the present and the future. There are some costs associated with real estate investing, however, and some of those expenses are more frustrating than others. Vacancy, for example, is an easy way to lose money on your investment. A property that isn’t occupied won’t bring in any rent. It will also cost you more than you want to spend. You’ll have to pay for landscaping and cleaning and utilities.
With years of experience managing rental properties, we have found that there are a few tips that can help you limit long term vacancies. We recommend you price your home competitively, market it strategically, keep it well-maintained, and retain the tenants you currently have in place.
New Jersey Rental Property Pricing
Your price will impact your vacancy period. It’s critical that you study and understand the local rental market if you want to establish an accurate, profitable, and competitive rental value. We know how important it is to earn the highest rent possible. But pricing your home higher than what similar properties in your area are renting for will only result in a longer vacancy period.
Spend some time analyzing market values and looking at data that reflects what other properties are earning. Price your own property at or slightly below the average if you want to rent the home out quickly. Losing a month of rental income is far more expensive than dropping your price by $50 or $100 per month.
New Jersey Rental Property Marketing
Marketing and online advertising has to be smart and targeted when you’re trying to rent your home quickly and avoid long vacancies. You’ll need high-quality photos and detailed descriptions. List your property on all the popular rental sites that prospective tenants are using. Make sure your listing has the exposure you need to avoid long vacancies. Once you have generated some interest in your property, be proactive about following up. Answer the questions that people have and respond to messages. Responsive landlords are better at avoiding vacancy.
Keep Your Property Updated and Well-Maintained
Well-maintained properties rarely face long vacancies. Take an objective look at the condition of your rental home and make sure it’s going to attract the best residents. If your appliances look old, replace them. If your paint is scratched and faded, repaint. Make small but meaningful upgrades and updates such as new faucets on the sink or better lighting in the bathrooms. Check landscaping and curb appeal as well. Are you making a good first impression?
New Jersey Property Management and Tenant Retention
The best way to avoid vacancies, of course, is by retaining the good tenants you already have in place. When you’re good about establishing a relationship with your residents and you respond quickly to their questions and maintenance concerns, you’re showing your tenants that you value them and care about your property. Check in with your residents once in a while. Thank them when they pay rent on time. Be sensible when it comes to rental increases. Give those good tenants every reason to renew their lease agreement at the end of the tenancy.
Working with a professional New Jersey property management company is an excellent way to retain tenants, avoid vacancy, and have a better investment experience. We’d be happy to help. Contact our talented team at KeyVest LLC.
