So you’ve decided to work on that extra income and rent out your condo. Congratulations! It’s definitely an exciting milestone, but every new chapter in life comes with its challenges. Here’s a quick guide we’ve made to help you in renting out your condo unit.
1. Research and know your target market
Every businessperson knows that knowing the target market is one of the most important parts of the job. Know what group of customers you’re directing your efforts toward before deciding on aspects like design, price, and strategy.
Are you thinking of renting out to students or working professionals? Is it best for a couple, a group, or a solo tenant? As you think of these factors, be sure to also do some research on the different markets. It’s also important that you consider the location of your condo. If it’s located near schools, it may be best to rent it out to students and teachers. If it’s within a business district, working professionals may be the best market.
2. Make it the best condo for your target market
When you’ve identified your target market, make the necessary changes and repairs to your unit to fit them well. Be sure it’s also in great condition by making sure that the electrical system and plumbing are working well. This is also the best time to decide on furnishings and the price. Do you want to furnish it or rent it out bare? If your market is students, you might want to consider study tables and bunk beds. Making your unit the most suitable one for your target market does wonders.
3. Price it right
This may be a challenge for first-time landlords, but it can be a bit easier with the right information and considerations. Consider the prices of similar units in the same area, the furnishings of your unit, and your repair fund. The location of your condo unit plays an essential role for you to determine the price. The more prime the location is, the higher the price. The condo’s amenities and security also contribute to the price. Also keep in mind that pricing too low can cost you money, and pricing too high can cost you potential tenants.
4. Screen your potential tenants
You are offering your precious unit to a stranger, so you have every right to know who that stranger is. Meet your tenants personally and do a background check so you’re sure that your unit will be in good hands. Meeting them and doing a background check could also give you an idea if they’ll be able to pay the rent on time.
Remember: Being a landlord includes the risk of a tenant messing up your unit and missing payments, so be smart about the people you welcome into the unit and screen them first.
5. Establish rapport with your tenants
Trust is extremely important, especially in a situation that involves offering your property. Reach out to your tenants to build a healthy landlord-tenant relationship. Having mutual respect and professionalism will go a long way.
6. Have the necessary connections
It’s almost impossible for a unit not to have future issues like a leaky faucet or tile cracks, so don’t be surprised if a tenant calls to tell you about them. To make the resolution easier for both parties, you should already have the necessary connections to work on the repairs. Be ready with a network of electricians, repairmen, and plumbers that you trust.
Renting out a condo involves a lot of commitment, but with the right planning and decision-making, you’ll feel the reward and satisfaction in no time.
Ready to be a landlord? Contact us and we’ll help you get your very own unit at .