The most common question landlords ask property managers is “How long will it take to find a tenant?” It’s not as easy to answer this question, given the various factors that affect it. It can be based on the desirability of the home, as well as the current rental demand in the area. Standard properties typically rent much faster than unique rentals.
The average time it takes for professional property managers to find a tenant is about 30 days, and it happens most of the time. However, renting out a home for the first time can take longer. It’s not uncommon for it to take weeks or even months before a tenant rents the property out.
If you want to estimate how quickly your rental property will potentially be rented within 30 days, take the free quiz below.
Question 1
Do you know the going rates in your neighborhood?
Here's the biggest trap that rental property owners fall into: my expenses for the property are X amount, therefore I need at least Y amount in rent every month to have positive cash flow or at least break even.
This is a horrible way to price your home. Let's say you have your mortgage, property taxes, insurance, and any special assessment taxes that total $3,000/month in expenses, but comparable properties in the area are renting for $2,500/month.
You can say: “I need at least $3k/month to break even, so that's what I'm going to list my property at.” Good tenants that have good credit scores and rental history won't even consider your home. They couldn't care less what your monthly expenses on the home are. Why would they pay $500 over market to rent your home so you can cover your expenses?
If you can't cover your expenses by renting out your home, maybe selling is a better option.
Question 2
Based on your research, is your property priced above, below, or at the market for rentals in your neighborhood?
You've probably heard of and used Zillow's nifty tool called the "Rent Zestimate," but this is often way off. Sometimes Zillow shows the home as a different bed/bath count and square footage than what it actually is. Zillow's algorithm estimates based on what other "comparable" properties are listed for, so if it has these details wrong, it's going to give a wrong rental estimate.
You need to research what other properties in the area that are similar to yours have actually rented for or are listed for, and how long they've been on the market.
We recommend listing slightly under market value. This will generate a ton of interest, and you will collect multiple applications, giving you the ability to choose the most qualified applicant and place a tenant that's going to pay the rent on time every month and take care of your property.
Question 3
Have you rented out this property before?
First-time landlords are much more prone to making rookie mistakes than seasoned landlords or investors who turn properties all the time. If you've rented your home out before, you should have an idea of what the going rent is, what major issues tenants find with it, and how you can fix it up or change it to make it more appealing to potential tenants.
If you haven't, you may end up pricing it too high, failing to make the necessary repairs prior to move-in in or advertising it poorly. Every landlord once had to rent out a home for the first time, but if you've rented out that particular home in the past, you are much more likely to rent it in 30 days or less.
Question 4
Is your property currently in move-in condition?
It’s easier to show a tenant what your property looks like at its best than promise them that you’ll do a thorough clean before they occupy the space. Make sure that the rental is already move-in ready by doing a thorough inspection and cleaning.
It even makes sense from a marketing standpoint, since you have to take recent photos of the property to list it. If you’re renting out a furnished rental unit, arranging it in a way that’s welcoming can help you find tenants faster.
Question 5
Has your home had new carpet and paint in the last 3 years?
Carpets and walls receive the most stress from either the elements or just daily use. You don’t have to change the carpets or paint the walls every time someone moves in, except if there’s extensive damage. You should, however, upgrade them every three years.
It could be that they’re out of style, or an upgrade is long overdue to increase tenant appeal. Either way, this can help you find tenants faster, since applicants will prefer rentals that look new.
Question 6
Have your kitchen and bathrooms been updated in the last 10 years?
Kitchen and bathroom features don’t go out of style as quickly as others, so it’s easy to forget about them until they become damaged beyond repair. However, they also have certain lifespans before they become outdated.
You don’t have to install the priciest appliances and fixtures to attract tenants, but your kitchen and bathroom should be modern in both appearance and functionality. Just an additional tip: spray some air fresheners in the kitchen and bathroom during open houses, since they are often associated with strong smells. Better it be a good one.
Question 7
Has it taken you over 2 weeks to find a qualified tenant in the past?
If you answered yes to this question, wake up! You are probably doing at least one, if not several things wrong when trying to rent out your home. Remember that market conditions always shift, and you should adjust your strategies accordingly.
If your home has been sitting for weeks with little to no interest, refer to the other questions in this guide and see what you could be doing differently to get it rented out in 30 days or less!
Question 8
Will you allow pets in your home?
It’s understandable not to want pets in your rental property, since it increases the potential for property damage and other lease violations, but did you know that about three out of five tenants have pets? And how much are you willing to bet that they’ll find other listings to accommodate their furry friends?
Restricting pets can effectively take out half the number of potential tenants who can rent your property. What you can do instead is set clear rules and outline the tenant’s responsibilities with their pets. Screen pets meticulously to avoid any issues in the future.
Be very careful in California. If you are going to try and ask for a non-refundable "pet fee," this is considered a security, and it is illegal to collect a non-refundable security fee. If you take an extra pet deposit, that is perfectly legal as long as it does not exceed 2x the monthly rent for an unfurnished rental and is refundable if the pet doesn't cause any damage.
Question 9
Are you available to show the property 7 days/week, including evenings?
Property management is a full-time job, and many landlords will tell you that the role can be demanding, especially when you’re trying to find prospective renters. You’ll have to create optimized listings and host showings for faster results.
You can always hire professionals, like property managers, to oversee everything from marketing to tenant screening. The property management fees will be a small price to pay instead of being vacant for over a month.
Question 10
Do you have a system in place to thoroughly screen tenants?
Finding quality tenants is always better than finding tenants fast. Good renters will follow your lease rules and pay rent on time, ensuring smooth operations. Screening tenants using comprehensive criteria helps you identify the bad eggs, especially since simple interviews leave you vulnerable to false information.
Question 11
Do you have accounts with all the major online listing services, including Zillow, Hotpads, Truila, Rentals.com, etc, and time to manage all of them?
If people can't find your property, they won't rent it. You never know which platforms potential tenants will prefer, so it's best to list your property on all of them to give it the most exposure and ensure you can rent it in 30 days or less.
That being said, there are a ton of services out there! Do you have the time and ability to manage all of them to include uploading the pictures, writing a description, and responding to all inquiries that come in?
If not, then you need to find an effective way to advertise your property and respond to inquiries. This is the most crucial step since it puts your rental listing on the map. Without visibility, your rental property could sit vacant for months.
Question 12
Can tenants apply for your property and pay the application fee online?
Many prospective tenants prefer online payments nowadays. It’s more convenient, and you automatically have it recorded in the transaction history. This is especially helpful for online inquiries, considering that there are applicants who are not even in the same state. No one will travel hundreds or thousands of miles just to pay an application fee.
Finding Quality Tenants Can Be Hard
Marketing your rental property can be tricky if you don’t know the factors and data to consider. You even need particular resources to ensure your listing’s visibility. Once you successfully market your property, you will also have to worry about screening your applicants.
It’s a lot to handle, but that’s where we come in.
If you feel like renting your property is too overwhelming, or you don’t even know where to begin, Mesa Properties can help you. With the tools and expertise we can bring to the table, we can find a reliable tenant for you in no time! Schedule a consultation, and you can determine whether we’re the right fit for you.
