There are many benefits to having long-term tenants residing in your rental property. You get to save on marketing costs and have consistent returns on your investment, which means you can plan for property renovations or expand your portfolio.
Although some aspects of attracting long-term tenants can be challenging, it is possible! You can follow our tried-and-tested tips to end up with reliable renters who take care of the property and pay their rent on time, every time. Keep reading to learn more!
Focus on Marketing Your Property
Finding tenants who will stay at your property long-term begins with the marketing phase. Before you put your property on rental listing sites, you need to set an optimal rent price that matches the features and amenities you’re offering potential renters.
You don’t want to set the price too high and risk scaring off great renters, but you don’t want to set the price too low and not get as high of a return as possible.
Once you’ve set the price, consider other factors that make for a successful rental listing. Use great photos, write engaging copy about the space, and use multiple avenues to distribute your ad. Consider including a quality video tour of the property.
You also don’t have to limit yourself to marketing to an online audience only. Put out professional signage, reach out to your local network and even consider putting ads in the paper. You might be surprised to find good leads this way!
Remember to review the ads before posting to ensure that you remain compliant with the Fair Housing Act. When done right, you’ll end up with a wide pool of potential residents to choose from.
Consider Upgrading Your Property
Talking about renovations as a business strategy can make some landlords pause, which is understandable since renovation projects can be expensive! But if done right, property upgrades can be a great investment. New features and improved amenities can make your property more desirable to new tenants and can make those tenants happier in the long run.
More prospective renters are attracted to units that are recently upgraded, and it can be a huge factor for current tenants to renew their lease agreements.
Aside from making your residents happy, renovating your investment property can be a great way to make it stand out from the competition. Markets in California can be pretty competitive, so you can make your property more desirable by making smaller upgrades, like repainting the walls, installing a dishwasher, or upgrading other amenities.
Solidify Your Tenant Screening Process
It’s important for landlords to screen potential tenants carefully. Making mistakes can cost you time and money. Being too eager to rent to the first applicant could mean you end up with a tenant who’s going to damage the property or be unable to pay rent. You need to be thorough when checking a prospective resident’s rental history and financial health.
Develop a set of criteria and accept renters who match what you’re looking for. Go over their credit score, income level, and rental history. Why do these factors matter?
- A credit score provides a solid clue if a candidate manages their finances well. If a credit score is high, it indicates good financial health and responsibility. As a result, the risk of not getting rental payments remains low.
- Knowing the income level of a potential tenant ensures that the renter makes enough and can afford to pay the monthly rental dues. You can request documents to be submitted, such as bank statements, W-2s, or pay stubs to make a fair assessment.
- Learning a prospective tenant’s rental history is important for you to make better-informed decisions. Contacting former landlords gives you additional information and helps you sidestep problematic renters who pay late and cause property damage.
Always remember to set the same parameters for every potential tenant. You should have a standardized application process and ask for the same information from everyone. It’s important during the tenant screening process to adhere to Fair Housing laws.
Develop a Positive Landlord-Tenant Relationship
It takes time for new renters to become comfortable with their new home, especially if they’ve just moved from a different city. Before the new tenants arrive, make sure the property is clean and ready to live in.
You don’t need to show up when they move in but make sure tenants understand that you are available if they need help. A clean and comfortable rental space makes it easy for tenants to stick around as residents for the long term.
Be Attentive to Property Maintenance
Regular preventive maintenance lowers high repair costs and makes it easy to spot property issues early. This strategy can reduce risky vacancies since the rental home is well-maintained, encouraging the tenants to stay longer.
Design a rental property maintenance plan that includes checking all parts of the rental space from the roof to the basement. Lower your stress by having contingency plans, in case home systems malfunction. You can partner with reliable repair contractors to ensure your tenants and rental property are safe, especially during emergencies.
When you’re quick to respond to maintenance requests and get things fixed right away, your tenants know that you care about their well-being, which can go a long way and will likely be a consideration when it’s time for them to renew their lease.
Work with a Trusted Property Manager
Although you can manage a rental property on your own, it can become a full-time job, especially if you’re hoping to grow your portfolio and own multiple properties. That’s why it’s a great idea to partner with a dedicated property management company that can look after your rental property and your residents’ needs.
A professional property manager will bring their streamlined operations, best management practices, and network of resources to your partnership. You can rely on them for effective marketing, detailed tenant screening, proper maintenance, and prompt rent collection. A great property manager also offers legal protection by ensuring you comply with landlord-tenant laws.
To attract long-term tenants, you need to focus on strategic marketing and consistent property maintenance. You should also have a good tenant screening process in place. For property owners who are overwhelmed by the responsibilities that come with owning a rental property, it’s a great idea to hire a trusted property management company in your area.
If you’re looking for reliable property management services in Silicon Valley, contact Action Properties today!