Your Memphis rental home has a specific rental value that’s going to earn you the most money and attract and retain the best tenants around. The trick is finding that precise rental value.
We do it by studying the local market intently. We take a look at what homes similar to yours are renting for in the immediate area. We also evaluate how long those properties are on the market and who ends up renting them. Data is important in attaching a rental value to your home.
Equally important is your property condition, location, and even the season in which your property is on the market. We’re taking a look at the factors you need to pay attention to when you’re deciding what to charge for your Memphis rental home.
Location and Season are Factors in Rental Property Pricing
When your rental property is in a desirable neighborhood, close to good schools, restaurants, shopping, and entertainment – you’re going to be able to charge a bit more than you can if your home is more remote and an hour away from the things that tenants are looking for. Check out the commuter routes close to your property and average how long it would take for a tenant to get to a grocery store or a favorite pizza place. These things matter.
Season is also going to impact what you charge. Many owners find that they have to drop their price a bit in the winter, when tenants are reluctant to move. If your property becomes available in the late spring, you’re in the best possible position to increase what you’re asking in rent.
Property Condition Plays a Role in Memphis Rental Pricing
You can’t control the market, and you can’t do much about the seasons.
One thing you can control, however, is the condition of your rental property. Well-maintained homes are always going to rent for more, so you’ll have to consider whether you’re offering a home with competitive features and upgrades. If you want to earn more on your rental home, consider making some updates.
We aren’t suggesting that you do an expensive renovation of the home. You don’t have to expand the kitchen or add a new full bathroom. Instead, focus on basic, cost-effective improvements that will raise your market rent. Consider some of these potential upgrades:
- Fresh paint and trim
- Replace carpet with hard surface flooring
- Install new appliances that are energy-efficient
- Put better lighting in the kitchen, bathrooms, and outside
- Make your property accessible to smart home technology
- Switch out old and faded hardware for shiny new faucets, drawer pulls, and knobs
These things won’t cost you a lot, but they’ll increase what you can charge in rent.
Conduct a Comparative Rental Analysis
Before you price your own rental property, take a look at what similar homes are renting for in your neighborhood.
An effective comparative rental analysis will examine your specific neighborhood and the competing properties in the area. Once we know what the general range is for rental homes in a specific location, we’ll take into consideration the things that set your property apart. This will include the size and amenities of your own home.
You can look at online listings to get an idea of what properties are renting for, but make sure you’re using reliable data. A Memphis property manager who really knows the market and the math can help you establish the best rental value.
Would you like to hear more about what your Memphis rental property is worth to good tenants? We’d be happy to help. Contact our team at CrestCore Realty.