3 Tips When Renting Out Your Property
Renting out your property can be a great way to make a little more income, or depending on your situation, allow your property to be your sole source of income. Over one-third of Americans rent their homes, meaning that there is a large market to tap into. However, renting does come with a few considerations that should be taken into account before diving into it. Here are three tips you should be aware of when renting out your property.
Make sure that you have removed any irreplaceable items, such as family heirlooms or handcrafted items, or particularly expensive pieces that you would sorely miss should anything happen to them. While any accidents or thefts hopefully never occur, it’s better to be prepared.
One way to help put your mind at ease during the rental process is by considering some home warranty options. Home warranties help cover your appliances and your electrical and plumbing and will make any repairs or replacements much simpler and easier. This should allow you to rest assured that everything will be taken care of, and you can put your property back up for rent as quickly as possible.
Before renting out your property, screening your tenants is a great way to make sure that you will be getting the responsible guests you are aiming for. People who will be respectful of your property and make payments on time are always preferred to other tenants who can be more of a handful.
Having designated parking spots for renters, guests, and visitors when staying at your rental property can be a large draw and can help boost your attractiveness on the market! Using GuestParq by ParqEx can help you reserve spots for your guests and eliminate any hassles that finding parking can bring. This can be incredibly useful, especially in more crowded urban areas or simply areas that may be new and unfamiliar to guests.
In addition, this can help you rent out multiple spots at the same time and keep track of everything in a single simple location. Guests will greatly appreciate this aspect of your rental, as finding a parking spot can be a stressful factor in the renting process. This way, their spot will be reserved and waiting for them!
When determining a price for your rental property, it’s important to research the fair market prices of rentals in your area. Take into account if you have certain amenities that other properties don’t have, such as the best view or a pool or spa that can allow you to raise your price. Here is a list of some of the most sought-after real-estate amenities that will increase the value of your property!
You should keep in mind that pricing will depend on your income sources; if renting is your main source of income, you should put yourself in a position to charge more than using rentals to supplement your current income, which may give you more flexibility in pricing.
Tally up all your fixed costs, such as mortgage payments, property taxes, water, and electricity, etc., and you have your “break-even” point that you must charge in order to not lose money. Here are a few rental property expenses to keep in mind! Compare this to the average rental price in your area, factor in any bonuses that your property might have in comparison, and ballpark a rental price that suits both you as well as your guests!
Renting out your property can be a relatively stress-free way of adding to your income, provided you take the proper steps beforehand. Making sure your house is protected from any unruly guests or from general wear and tear can ensure that you are protecting your assets, and getting the most out of your rental property can help add to your bottom line—and provide a great place for your guests to stay!