Owning an investment property is often touted as “passive” income. If you have taken the foray into landlordship yourself, you know that the money won’t just come to you; you have to work for it. The most important part of that is ensuring your units are filled for as long and often as possible. After all, you aren’t making any money off an empty space! While economy and location do play a large part in attracting quality tenants, vacancy rates are largely impacted by your property manager. Don’t believe us? Here are three ways that your property manager influences your renters.
Attracting Potential Renters
Before you can convince someone to sign a lease, you must find them. A highly competitive rental market means that you can’t wait for potential renters to come across your property. You need effective strategies to get eyes looking in your direction. That’s where an experienced third-party property manager can be your greatest asset. While you crunch numbers and keep on top of your affairs, they can develop and enact a marketing plan. Beware of casting the net too wide, however, as you don’t want just anyone residing on your property. The best plans will target your ideal, quality tenant.
Vetting Quality Candidates
Speaking of your ideal tenant, let’s talk about qualities you absolutely want in a renter: someone who pays their rent on time, communicates problems in a timely manner, and who will take good care of your property. Not all your applicants will fit the bill, so it’s up to your property manager to decide which ones have the most promise through methods such as interviews, background checks, and references. If quick turnovers and high vacancy rates are plaguing your property, consider leaning more towards candidates who intend on sticking around for longer leases.
Improving Relationships & Renewals
Filling the empty spaces is only part of the equation. Holding on to the great tenants you do have for the long term is a large part of reducing vacancy rates. Once you’ve got them in, don’t underestimate the role your property manager plays in how long they stay. After all, that is the person who your renters will deal with the most on a day-to-day basis. These are some of the most appreciated measures a property manager can take:
- Develop great personal rapport
- Abide by prompt response times
- Demonstrate flexibility with tenants in good standing
- Invest in preventative maintenance
- Offer lease renewal incentives
In conclusion, high vacancy rates must be attacked by a combination of targeted marketing, competent vetting, and a comprehensive tenant retention plan. In most cases, property owners alone do not have the time or know-how to develop, let alone execute, these strategies. Therefore, it just makes sense to work with a third-party property management company. At GIL Property Management & Sales, we offer full management and leasing-only packages to target high vacancy rates. Request a quote today and find out how we can keep your units filled and support your investment!