Vacant units are money pits in the long run; that's a simple fact. There's no rental income to be made, but you still have to maintain them for prospective tenants, and pay utility costs if electronics are running to keep them in good living condition.
To expedite the process of renting your vacant units, you need to implement effective strategies. You can achieve faster vacancy filling by focusing on both marketing your rentals and streamlining the overall leasing process. The following sections outline proven methods and practices for achieving this goal.
Key Highlights:
- Vacant units drain cash flow by generating no income while still incurring maintenance and utility costs.
- Preparing and upgrading the property, through repairs, cleaning, staging, and modern improvements, helps attract tenants faster.
- Compelling rental listings matter, using high-quality photos, detailed descriptions, and relevant keywords to boost visibility.
- Wider exposure speeds up leasing, achieved by posting on multiple platforms and using digital tools like virtual tours and online applications.
- Competitive pricing and market research are essential to avoid prolonged vacancies that can hurt reputation and limit growth.
1. Preparing the Rental Property
Your rental property should always be ready to accommodate potential tenants who want to see the unit in person. That means repairing or renovating the space once the previous tenant vacates the premises, as well as giving it a deep clean. Don't underestimate how curb appeal can become a selling point, so include it in your preparations.
If your rentals are unfurnished, you can stage them for rental listing photos and open houses. Once you find a new tenant, you can start making the empty unit move-in ready. It helps to have a reliable vendor network for faster and more cost-effective maintenance, repair, and cleaning services.
2. Making Improvements
Outdated systems and designs will only make it harder to find prospects. If it's within your budget, you can make improvements by adding new appliances, changing the interior design, or installing modern features. Do your research to discover what renters are looking for now.
Some of the most popular amenities and features that attract potential tenants include hardwood floors, stainless steel appliances, smart thermostats, and other smart appliances you can add. You don't have to spend much to make a change. Even a fresh coat of paint and a deep clean can make a huge difference.
3. Creating Convincing Rental Listings
The way you present your vacant units determines how many prospective tenants would even consider them. To create a convincing online listing, you need to use high-quality photos and provide detailed descriptions mentioning sought-after amenities that your rental property has.
Consider which platform you're posting on to know which strategies you have to adopt. Some social media platforms, for instance, have shorter word limits than online listing sites. Adding relevant keywords in your title and description will also increase your visibility and make your listing rank high in search results.
4. Posting on Multiple Platforms
Increasing visibility is one of the best ways to fill vacant units fast. To reach more renters or get more leads, posting on several platforms has been a strategy many landlords and property managers have adopted.
These online tools are often free, which means you can increase your listing's reach at little to no cost. Many of them are user-friendly as well, where the posting format is very straightforward, which is perfect if you're not as tech-savvy.
5. Conducting Proper Research
One of the first things potential renters look at in a rental listing is the rent price. After all, that is a deciding factor in their decision. If you want to fill vacancies, you need to price your rent right. You can even consult real estate professionals for tips on how to assess the current rental market.
To learn what the right amount is, you can research similar properties in your area and what kind of amenities they offer. This can even help you adjust terms in your rental agreement to garner more interest, such as making pet policies more lenient.
6. Going Digital
With potential renters turning to digital conveniences, such as online listings, up-to-date property management can help you fill vacant units more effectively. This is not limited to marketing or advertising your rental listings on online platforms.
Virtual tours, for example, offer convenience to potential tenants who cannot view the rental property in person. Furthermore, you can digitize the rental application process, where applicants can use e-signatures, saving both you and potential tenants days or even weeks in the process.
Risks of Prolonged Vacancies in Rental Properties
Higher Rental Rates
For landlords to maintain a stable cash flow, you might need to raise the rent of your current tenants to make up for the income loss in your vacant units. If you want to keep happy tenants, you should try to avoid raising rent as much as you can, or negotiate with your tenants for a fair increase.
Decline in Market Perception
Failing to fill vacancies can mean a lot of things. It can be due to low rental demand, or applicants don't see your rental as a place they can call home. The latter can signal problems to prospective renters, making your property look undesirable or poorly managed.
Reduced Growth
In a competitive rental market, you have to keep making upgrades to match similar properties in the area. If you can't fill vacancies, you won't earn the money you need to improve your investment property. This can then lead to further decline.
Filling Vacant Units FAQs
Who can help me fill vacant units fast?
- You can try to consult or hire experts in the field, such as property managers or advertising companies. It may cost you, but it's an easy way to get better leads to lease your rental faster. Some landlords also offer incentives for resident referrals.
How can I set competitive rental rates?
- You can set competitive rental rates by researching local market rents, comparing similar properties, factoring in your operating costs, and adjusting prices based on demand, amenities, and vacancy trends.
What should I include in my rental property listings?
- You should add high-quality photos, clear property details (square footage, floor plan), the rental rate, location highlights, unit features, included amenities, tenant requirements, and contact information. Be sure to add relevant keywords so your rental shows up in search results.
The Help a Landlord Needs
To get the marketing or advertising your business needs, hiring a property manager could be your best option. Companies like Income Property Advisors will have the tools and other resources you need to attract prospects, providing you with a more stable cash flow.
We can take care of your property and your renters. Call us, and let's discuss how we can help!
