“Risk comes from not knowing what you’re doing.” Warren Buffett

With the current shortage of rental properties, you may have not had a vacancy for a while. You may have one now. Whether you have added an ADU to your property or one of the tenants has just moved, you are most likely going to realize an increased profit in your monthly income. This will increase your GROSS SCHEDULED INCOME which should add value to your building..

GET IT RENT READY. Clean up your unit, replace light switches, repair any non working items like air conditioners. Do a really thorough cleaning. Change window coverings and paint or replace floor and window screens coverings if needed. You may not have seen the unit for a while. Get rid of tobacco odor if it is there. You may not get another chance to rent your unit at full market rate for several years.

DETERMINE VALUE. Do a rent survey. We can help you there if needed. Drive by properties in the area similar to yours to see the range of asking prices. We can also help with currently rented units to see how they compare to yours. Check all the online rental agencies to compare similar properties.

ADVERTISE. You want to get some great photos. If you are not a great photographer, it may be worth it to have some professional photos taken. They may cost a few dollars, but the difference in rental amount and quality of tenant might just be worth it. Put your ads everywhere. Don’t forget Zillow rentals, Craigslist, Apartments.com, Redfin and Trulia rentals. You can find others as well. I don’t personally use For Rent signs, but many people do. I find it best, if possible, to try to show to multiple prospective tenants, rather than just one. People like to compete and I find it gets better results. It is not always possible, but if you try to set up showings on weekends when more people are around.

DO YOUR DUE DILIGENCE. Your Apartment Owners Association can help you here. Some of the online agencies offer these types of services as well, but I like the Apartment Owners Association for background checks and forms such as Applications and Rental Agreements. I always like to drive by the last location of a prospective tenant. You can learn a lot sometimes with this.

Best of Luck on your next successful rental.

“The secret to getting ahead is getting started. ” Mark Twain

What we at PRS PROPERTIES CAN DO. We are always available to chat. We can give you referrals for professionals, such as lenders, contractors, and engineers, so that you can decide who you feel best with. We can supply you with rent and sale comparables in the area of your properties, so that you know what rental values are in your area. It is important that you know the true value of your rental units, so that you can get them rented right away at market value, or at least as much as possible with rent control restrictions. We can look at potential purchases that you may be interested in to make the property more desirable, and maybe look at potential issues that an insurer might require you to repair.

 

If you should decide to sell your building, we can help you exchange into a larger or smaller properties. We can even help you move into something with less management responsibilities. We can also help with getting the paperwork together for a refinance if that is your desire. We can also recommend experienced licensed contractors who can perform any repairs or installations you may need prior to selling. We can also look at your building for other easy and inexpensive changes that might allow you to get a higher value. We can help you to get the maximum value for your property, should you decide to sell, or the maximum return if you are planning to keep your building.

We always have many investors who are looking for “as-is” properties and are willing to purchase with low rents, deferred maintenance or even with a problem tenant in place. We have put together numerous transactions over the years which involve properties that are not listed for sale. Many investors are currently in 1031 exchanges and need to identify a replacement property before their 45 day identification period runs out.

Should you decide to put your property on the market, we will put together an aggressive, targeted and professional campaign to get your property sold fast. We have been doing this for over 40 years, and we will use all the tools available to bring you the most dollars at closing. If you are thinking of selling or are just curious about the value of your property, don’t hesitate to give us a call.