A Guide for Hampton Roads Investors
For most investors, learning the rental property business is on-the-job training. From setting the right rental price to screening quality tenants and keeping up with maintenance, it's hands-on work without the help of residential property management (Virginia Beach). However, owning investment properties can be profitable when investors know the tricks of the trade.
A rental house on its own doesn't generate income! Property owners need to understand how to take a professional approach to become a successful landlord when they own a 'business' that provides rental housing to tenants.
What do property investors need to know about building a profitable rental property portfolio in the Virginia Beach area? We've put together some of our best tips to help property owners grow their wealth through rental property investments. Keep reading to learn more from the experts at Renters Warehouse Hampton Roads!
Successful property investors start by building from the ground up: this means being familiar with the basics! Use this resource as a starting place for the best practices you should be applying to your investment properties before moving deeper into this guide.
Your Investment Income Begins With the Rental Rate
Your rental properties won't generate income until you find your bullseye price and then find a tenant. How can investors know the best rental price for a property?
Every property in your portfolio has an ideal rental price (what we refer to as your "bullseye price")—but you shouldn't try to base this number on a guess. Successful investors know that you don't merely "pick" a rental price for a property: the research that comes with a rental analysis "tells" you the ideal rental rate for every property in your portfolio.
It's Not a Guessing Game
What you want to charge your tenants to live in your property and what the market says you should charge can be two different figures. If you want your tenants to pay $2,000 to live in your property, but the market shows you should set the rate at $1,200, it's best to listen to the market. When we see landlords struggling to fill an otherwise excellent rental property, their rental price is one of the first things we investigate.
Renters are smart: they know the market, and they won't want to overpay for your property when they can find a similar property already set at its bullseye price! Performing a rental analysis helps you:
- Compare your property to other similar properties
- Understand the current market demand
- Learn what tenants want in a rental property.
Resist the temptation to overcharge your tenants—but make sure you don't sell your property short! When the rent is too low, you lose money. When the rent is too high, your properties remain vacant until you find a tenant willing to pay too much for your property.
The ideal rental rate helps you find the right renters—and generate the income you need from your investment properties!
Setting the rental rate isn't an exact science—but using market analysis helps you avoid losing money on your properties. Follow these links for more information about setting the rental price!
- The (Rent) Price Is Right: How to Set the Perfect Rent Rate in Hampton Roads
- How Can You Pick the Ideal Rent Rate for Your Chesapeake VA Rental Properties?
Property Listings Attract the Right Tenants
After you've set the rental rate, you need to get the word out about your available rental properties. Creating a property listing is both an art and a science! It's critical to include the nuts-and-bolts about your property—but the listing must also catch the eye of your next potential renter.
It's More Than Words
Your property listings need to describe your properties and include professional-quality photos. However, you should also be using each property's listing to tell the story of your Virginia Beach rental! In a sea of online property listings, when yours stands out from the rest, you're more likely to find your ideal tenants.
- Highlight what makes your property unique and desirable to tenants.
- Provide details about square footage, the number of rooms, and application fees.
- Include details about amenities, the neighborhood, and other local features.
- Use a professional photographer to capture your property's best angles.
Creating a compelling property listing is easier when you work with residential property management, Virginia Beach landlords! Trusting experts to show off your property is one of the best ways to find your ideal tenants quickly!
Combining the art and science of creating a property listing isn't easy! Click these links for more information about how to create listings that attract the right tenants for your investment properties.
- How to Create the Ideal Listing for Your Chesapeake VA Rental Home
- How to Attract Hampton Roads Renters With These 5 Tips for Effective Property Listings
- How to Amplify Your Hampton Roads Property Listings With Powerful Photos
Manage Tenants for Success
Placing a renter in your rental property is only the beginning of your landlord-tenant relationship. Choosing the right tenant is a critical part of starting your new working relationship with that resident. From there, managing tenants through a good relationship helps investors make more money!
Screening Is Never Optional
When you have an empty rental property, you lose money until you find a tenant to begin paying rent. However, despite the income loss from a vacant property, it's never worth it to hastily place a tenant without thoroughly screening every applicant.
A bad tenant (like a Professional Tenant) can become more expensive and create a significant loss to your income. Take the time to properly screen for the right renter!
Good Tenant Management Helps Reduce Turnover
Keeping good tenants for more than one lease term helps property investors make more money. The process of finding your next renter can be expensive: replacing tenants after every lease term is time-consuming and can reduce your profits.
When you find those high-quality renters that pay the rent on time and take good care of your property, they are more likely to stay through another lease renewal if you are doing your part. It's essential to encourage tenants to stay by fulfilling your end of the lease as an excellent landlord!
The wrong tenants can become an expensive hassle that results in eviction. Use these resources to learn more about setting your tenant screening criteria (including renters with pets), screening future residents, and what to do if you need to evict a tenant.
- Investors: How to Properly Screen Tenants for Your Chesapeake Rental Properties
- Should Investors in Hampton Roads Allow Pets in Their Rental Properties?
- How to Evict a Tenant: Tips for the Worst From Hampton Property Management
Provide Excellent Maintenance Services
Being a successful investor isn't only about finding tenants and collecting the rent. You also have a responsibility to provide a safe place for your tenants to live.
Without professional property maintenance services, you risk losing your best renters: poor maintenance services are one of the top reasons renters leave to find a new home.
Regular Inspections Keep Your Properties in Excellent Condition
We're not talking only about responding to tenant maintenance requests. Good property maintenance is a year-round effort!
- Regular inspections help property owners keep an eye on potential problems.
- Routine preventative maintenance keeps your rentals in excellent condition throughout the year.
- 24/7 emergency maintenance availability keeps tenants happy—and resolves issues before they become worse.
Juggling contractors or trying to repair maintenance issues on your own can become frustrating (and expensive) when you're a property investor. Spending money on the wrong property upgrades can also cause you to lose money.
When you hire residential property management, Virginia Beach landlords, you never have to worry about maintenance! Your property manager handles everything for you and your tenants—24/7.
Quality tenants look for properties that provide excellent maintenance services! Click the links below to learn about seasonal maintenance, property inspections, and how to invest the right upgrades for your Virginia Beach properties.
- Seasonal Property Maintenance Is Easy With Renters Warehouse Hampton Roads
- A Quick Investor's Guide to Property Inspections for Your Hampton Roads Rentals
- How to Upgrade Your Hampton Roads Rental Properties With 7 Fresh Ideas
Grow Your Wealth With Expert Property Management!
Many investors quickly realize that real estate is one of the best ways to build long-term wealth. One investment property can be a manageable asset. However, when you realize that adding more properties to your portfolio means you can generate more income, it's easy to get overwhelmed by the day-to-day time commitment of managing multiple properties.
There's no need to become overwhelmed! With the right experts, property investors don't need to invest more time to generate more investment income.
Property Managers Make Growth Possible
When you're ready to grow your portfolio, it's time to hire residential property management, Virginia Beach property owners!
Your Professional Landlord is an expert who handles everything from finding your bullseye price for each property to creating your property listings, screening tenants, and handling maintenance. Property management makes real estate investing a genuinely passive way to grow your wealth!