Every investor has a different goal when they buy an Everett rental property. Maybe you’ve purchased a home that you plan to live in yourself one day or perhaps you’re hoping it will increase in value over the next 10 years so you can retire. Whatever your investment goals happen to be, increasing the return on your investment is going to be a priority.
Sometimes, it’s easier said than done. The performance of your investment property will largely depend on the market and the economy. Certain things, however, will ensure you’re able to maximize what you earn.
We have five tips on getting the best ROI on your Everett rental property.
Price your Rental Property Correctly
Vacancies will hurt the return you earn on your investment property, and it will be nearly impossible to recover the money you lose. One of the biggest mistakes we see investors make is to price their rental property too high. We understand wanting to earn as much as possible in monthly rent; you don’t want to devalue your property or lose what you could potentially earn.
Overpricing your property can be just as damaging and even more expensive. Today’s tenants are pretty savvy, and they understand the rental values in Everett. Make sure your property is priced competitively and that your rental value is aligned with what similar homes in your area are renting for. A well-priced property will always earn more ROI.
Marketing and Curb Appeal Impact ROI
Every property earns more with high quality tenants. Good tenants will help by paying rent on time and taking good care of your home. To attract these tenants, you need a strategic marketing plan. You also want to offer an attractive and comfortable home for rent.
Take clear, appealing marketing photos before you list your rental home. The pictures will be what first attracts the attention of potential renters. List your property everywhere; on rental websites, on the MLS, on social media – any place that you know tenants are looking for their next home.
The faster you rent your property, the more you earn. This requires a plan to reach the best possible tenants in Everett.
Consistent Rent Collection
Maximizing your ROI requires a consistent and on-time rent collection process. The best way to ensure you’re getting the rent paid on time is by establishing and maintaining a good relationship with your residents. Communicate openly and transparently with them, and let them know what your expectations are for on-time rental payments.
Preventative Maintenance Protects Your Value
Maintenance is critical to increasing your ROI. While maintenance expenses are tempting to avoid, smart investors know that taking care of small repair issues right away will save money and time by preventing larger or emergency disasters. Be responsive with repair requests. Not only does it show your tenants that you care (thereby increasing tenant retention rates), it also protects the condition of your home.
Preventative maintenance is necessary. Have your HVAC system serviced once a year, get your gutters cleaned out, and have someone take care of cleaning and landscaping on an annual basis.
Work with Professional Everett Property Managers
One of the most reliable ways to increase your ROI is by working with a professional property management company. A good property manager will save you money on maintenance, help you find and keep great tenants, and ensure you’re not making any expensive legal mistakes. Your property management company has the tools and resources to lease and manage your home in more profitable ways. It won’t take long to notice that you’re earning more and spending less.
If you’d like some help increasing your returns, contact us at Real Estate Gladiators. We’d be happy to meet all of your Everett property management needs.