For many people looking to build their investment portfolio, owning rental properties is a great option. However, unless your properties are filled with renters and bringing you in money each and every month, this investment could prove to be a bad deal for you.
So to help ensure that you’re always got a steady influx of cash coming in, here are three tips for reducing vacancies in your rental properties.
Be Kind To Good Renters
Arguably the best way to ensure that your rental properties are always filled is to keep renters in your properties for as long as you can.
To do this, Kelly Gurnett, a contributor to The Penny Hoarder, recommends that you try your best to keep your renters happy and discourage them from wanting to look elsewhere for a place to live. This can be done by promptly and politely taking care of any maintenance requests you’re given as well as giving your renters some incentive to stay in the property if you have to raise their rent. While this doesn’t have to be anything big, simply showing your renters that you appreciate them and how well they’re taking care of your property can encourage them to stick around and keep you from having to find new renters to fill a vacancy.
Look For Referrals
When you wind up with a vacancy that you need filled, Brandon Turner, a contributor to BiggerPockets.com, recommends that you set up a referral program with your current tenants.
If you ask your tenants if they know of anyone that is looking for a place to live and then offer them a small incentive for helping you fill your vacancy, you can often get your property rented quicker than had you tried to find a new tenant all on your own. And, with some of your renters already knowing each other, you may have fewer issues between tenants as well, which can save you some major headaches as a landlord.
Give An Incentive
In addition to giving an incentive to your current tenants for providing you with a referral when filing vacant properties, the editors of AllBusiness.com share that you could also offer an incentive to anyone who signs a lease with you. Even if it’s just something small, like paying a small bill out of their utility costs or allowing free storage space, you could get someone who’s eager to move into your rental property as opposed to another property that has no incentive.
If you own one or more rental properties and you want to ensure that they are always occupied, consider using the tips mentioned above to help you get a tenant into your property quickly as well as assist you in holding onto good tenants that you find.