Specials are subject to change. Please call our leasing offices for the most up to date pricing and specials information.
What can we do to attract the right tenants quickly?
What’s the goal when listing a rental property? Quite simply, it’s to find the best-qualified tenants in the shortest amount of time. Some important characteristics of a good tenant are stable employment, adherence to rental agreements, timely rent payment, considerate attitude towards neighbors, and no history of eviction. We want someone that can be trusted to pay rent each month and treat a property with care, but we can’t wait all day! Below we’ll discuss some of the special offers we use to get units rented quickly, without sacrificing our owner’s revenue.
The Average Cost of Application Fees
Fortunately, this is a bit of an extreme scenario, since the average cost of an applications fee is only $30 per applicant. However, both the location, as well as the current market conditions play a significant role in determining application fees. And, most landlords are looking to capitalize on their rental properties as much as possible. So, why wouldn’t they charge as much as they possibly can, especially if there are no legal limits to what can be charged?
Give Security Deposit Special
A security deposit is a sum that a new tenant pays to a landlord or property management company before moving in. Security deposits are the first line of defense for landlords. They provide insurance if a tenant causes damages to the apartment that’s beyond normal wear and tear.
If you’re not anticipating your new applicants to damage your property because you’ve screened them thoroughly and called their rental references, then a special offer on the security deposit really doesn’t hit your pocket as an owner. For a qualified group, we’ll often offer ½ off on the security deposit to save them some of the upfront cost in moving. This is a highly effective tool when you have a decent pool of candidates.
What Does My Security Deposit Cover?
A security deposit can cover a range of items that crop up during a tenant’s stay.
1. Property damage: Property damage is the most common thing that landlords use a security deposit for. This damage must be beyond normal wear and tear. Landlords may use the security deposit to patch holes in the wall and fix carpet burns. They could also use it to replace any fixtures that were broken and more
2. Missed rent payments: If you get into a habit of missing rent payments. your landlord may pull that money from your security deposit. You can’t expressly say to your landlord that you’d like to use your security deposit funds to pay rent this month. However, if you owe back rent at the time of vacating the property, your landlord may keep some or all of your security deposit on these grounds.
3. Cleaning and key replacements: Any necessary professional cleaning services or replacements for losing house keys can also be covered by your security deposit.
Offer Rent Specials
There are a few different rent specials that have worked for us at Elias Karam. Probably the most effective of the rent specials is a free 1st month’s rent or ½ off 1st month’s rent with lease starting by a predetermined date. [Example: “Charming 2 Bedroom Apartment Downtown – ½ off your first month’s rent with a lease starting on or before 10/1] Scarcity is a big reason people make decisions to purchase, and if they think your unit is going to rent quickly, they’ll be more likely to request a showing and apply for the unit!
Another effective offer can be a decrease in the rental rate with an extended-term lease. Say you typically rent your property for $1,700/month on a 1-Year term. You also know that it costs you around $650 and 10-15 hours to remarket and get it rented each year. Why not then, offer a 2-Year term at $1,000, and lock tenants into a longer lease? If you break down the numbers in the above scenario, the owner saves themselves time and effort remarketing after the first year, and makes an extra $250 over the course of two! From our experience, longer-term tenants also tend to treat a property better and are more likely to extend their lease again.
Consider Waiving Fees
Another special offer that may entice the right groups is a promise to waive other fees normally associated with renting like pet, parking, or storage fees.
The thing about pets is, if you’re screening them properly and get a good reference from a previous landlord, it may make sense to waive fees or deposits to get quality candidates to sign a lease with you. Good pet owners also tend to be good tenants, so if eliminating a monthly pet fee is all it takes, why not try it? For the right group, waiving fees for extra storage space or additional access to parking can also be effective, especially when those fees aren’t greatly impacting your bottom line.
Try a Free Giveaway
One last special offer you can try in your property marketing is the “Free Giveaway…” everyone likes FREE! Gift cards, event tickets, move-in boxes, or even use of a truck on move-in day are all good examples of giveaways at lease signing. Sometimes a $50 gift card to the city’s most popular restaurant is all it takes for a couple to choose your unit over another!
The Final Word
Sometimes the market is firing and your rental property won’t require special offers or tricks to get it filled. At other times, like the dead of winter or the start of a pandemic, your rental property may be listed forever without a bite. When your property isn’t getting any hits, try mixing in some of the offers we’ve presented, and let us know how it works for you. Rent specials, security deposit savers, and product giveaways are just a few ways you can attract quality leads fast when the market’s moving like molasses! Happy Hunting!
Have questions? Contact us directly at info@historicpearl.com , +1 (210) 480-3939. You can also submit the contact form below and we’ll reach out to you in a timely manner!