Rental investments – or rental property investments – are purchases you make with the intention of leasing them out. The obvious example is buying an apartment and putting it up for rent. People will inquire about the property and pay a monthly fee to live there.
It’s all very straightforward, and in theory, can bring in a generous passive income. This post is geared towards rental property investors with a few extra ideas on how you can maximize your earnings every month.
Here’s what you can do:
Fill your property with the latest appliances
One of the biggest complaints from renters is the lack of modern appliances in rental properties. Landlords invest in the place, put appliances in, and then don’t make any changes for decades. A simple way to boost your rental rates – and to attract more tenants – is by kitting your property out with the latest appliances.
Smart appliances are a fantastic idea. You will wow tenants with them, and you can use a simple appliance management solution to track energy usage and spot any concerns before they happen. This will also let you provide a better service for the tenants as the appliances should be well maintained. People are willing to pay more each month when they get modern, energy-saving appliances as part of the package.
Introduce a pet policy
Another way to generate interest in your rental property is by letting people have pets. This is another big problem renters have as they want a pet, but their landlord won’t allow it. As a result, they’re eager to leave as soon as they can, meaning you have to deal with an empty property that earns zero dollars until a new tenant is found. Also, factor in the cost of advertising your property during this period – it’s more than you think.
Having a pro-pet policy will attract more tenants, meaning your property is filled ASAP. It’s also another way to up the rental price a bit. Sure, your apartment costs an extra $50 a month compared to similar ones nearby. But, yours allows pets, which is a huge perk and makes it worth the extra money in many renter’s eyes.
Bet a sympathetic landlord
Finally, you can earn more money from this endeavor if you’re a good person. Avoid randomly hiking the rental price up unless you need to. Be lenient when tenants request things like whether or not they can drill a hole in the wall to fit a wire through. As long as no substantial changes are made to the property, you should let them do whatever they want.
Having a good relationship with tenants will keep them around for longer. This guarantees you’re getting money every month without needing to constantly look for replacement tenants. Plus, if you ever do need to up the rental price, they’ll be more willing to pay it if they like you because they don’t want to go elsewhere and deal with a typical terrible landlord.
Whether this is your first home or the latest in a long line of property investments, try these tips to maximize rental earnings. They help you command a premium price for your property while encouraging tenants to stick around for the long-term. As a result, you can sit back, relax, and enjoy the money flowing into your account.
Growing Forward 