Whether it’s the Internet, self-help books, touring workshop gurus, or just HGTV primetime hit shows, it seems like everyone is looking for deals in the current real estate market. Finding them is harder than ever.
If you already have a few properties under your belt, you might be wondering how you can squeeze more money out of what you’ve already got instead of getting more properties or just in addition to it. If you’re renting out any of your properties, then consider these nine possibilities:
1. Raise the Rent
If it’s been a while since you raised the rent, in most markets you’re probably overdue. Even if you have been raising it, are you sure you’re keeping up pace with the local market standards? If you’re in the area, then an Ipswich property management firm might just pay for itself because it keeps as much rent coming in as possible.
2. Offer Storage Space
Do you rent out every square foot of every property? Maybe you have an extra closet or even a garage area that could be home to someone’s hoard. Self-storage is a huge market, and some renters might love having storage someplace unique and even safer.
3. Decrease Your Vacancies
Vacancies come with the territory, but some steps can be taken to keep tenants in occupancy longer than average. Also, turnover times can be shortened to minimize downtime between renters. An effective property management firm with expertise in such things can be a great tool in your arsenal.
4. Rent Out a Parking Spot
Some cities and markets are places where it’s harder to find parking than a home. San Francisco comes to mind. If you have an extra space or two, rent them out. For that matter, if you have tenants that don’t even own cars, maybe you can rent them all out. Also, this doesn’t have to be a permanent thing. If there are holidays or festivals where parking is at a premium, you might be able to rent out your tenant spots and share the proceeds with them, so long as they can find somewhere else to put their cars.
5. Get Strict on Your Late Fees
There are reasons why late fees exist, and waiving or delaying them can be good business for the right tenants. However, doing it all the time leaves money on the table. If you’re just not the kind of person to always put your foot down about this, consider using a property management crew as an in-between you and your renters. No-nonsense professionals get you every dime you’re owed, on time.
6. Install Solar Panels
Electricity is democratizing. Throw up some panels to charge your tenants for their electricity, or just sell your excess right back into the grid.
7. Permit Pets
Pets can mean a lot of wear and tear, damage, upkeep, and maintenance. Then again, renters can’t take pets with them everywhere, so it’s a tighter and more in-demand market. If allowed by law, pet fees added to a lease can bring in extra cash to the general rental income. The details of handling all this can be cumbersome, but a veteran landlord agency can crunch the numbers to see if it makes dollars and cents to do it.
8. Charge More If You Have Furnished Units
Not everyone looks for these, but it’s a niche market. Those in this market pay a premium for not having to own or move furniture in and out. This is particularly true of out-of-town professionals who maintain a second residence that is their actual ‘family home’.
9. Include Concierge Services
Sometimes, competing over renters comes down to services and user experience more than rent or location, especially if they have many options. Landscaping might be a given for apartment renters, but what if you’re renting a neighborhood home? Even door-side garbage pickup can be a little thing people don’t mind paying for. Arrange it through a property management office to get access to their volume pricing with contractors.
Does all of this sound like a lot of work? It can be, but a property management firm can take a lot of tedious work off of your shoulders. For a modest commission fee, they can arrange for quite a few things that generate more income from your current properties, boosting your profits from what you’ve already got.
By: Eric Reyes
About the Author:
Eric Reyes is a passionate thought leader having been featured in 50 distinguished online and offline platforms. His passion and knowledge in Finance and Business made him a sought-after contributor providing valuable insights to his readers. You can find him reading a book and discussing current events in his spare time.