For-Rent-By-Owner properties are rented out by private landlords. This offers advantages such as more direct interaction with tenants. You'll avoid management fees.
It also makes the rental property management process more complex. You'll be responsible for everything from the most minor tenant complaint to the largest legal issue. It can be a heavy weight for first-time landlords, but the keys to success are similar to those for any other landlord.
Read on to learn how to succeed as a for-rent-by-owner landlord in Orem, UT.
Set a Competitive Rental Rate
At least 27% of households in Utah spend over 30% of their income on housing. If you want to attract these cost-burdened renters, you have to set the right rental rates.
Pricing your property competitively starts with researching the Orum, UT real estate market. How is the overall supply and demand?
Then, go in closer and compare your property to similar ones in the neighborhood. Focus on factors such as:
- Condition
- Location
- Amenities and extra features
It'll help you find the price that's just right so you don't leave money on the table or scare potential applicants away. Continuously monitor the market so that your rate can change along with it.
Marketing Your Property Effectively
Property marketing is the next step after deciding on a rental rate.
Create a listing that grabs the viewer's attention. Include professional photos that show off the property's best features. Write a compelling description highlighting what sets it apart from others in the neighborhood.
Put the listing on all the major real estate platforms and social media. You can also use traditional marketing methods such as signs and posts on local community boards.
Tenant Screening and Leasing Management
One of the single most important property management tips you'll ever receive is that a poor quality tenant is worse than no tenant at all. A vacant unit can be a nightmare that takes time and money to fix. Having one filled with a tenant who refuses to pay rent or leaves damage and destruction in their wake is even worse.
This makes tenant screening one of the most important things a for-rent-by-owner landlord can do. It needs to be comprehensive. Look into their:
- Criminal history
- Credit history
- Rental history
- Employment history
Using successful leasing strategies is also essential to avoiding tenant headaches. Have a clear lease that outlines all their responsibilities and the penalties for not following them.
Communication and Responsiveness
When looking for landlord tips and advice, you'll surely hear about the importance of communication. When you have quality tenants, treat them well to maintain that relationship.
Respond to their requests as quickly as possible. It boosts their satisfaction and increases your retention rates.
Elevate Your For-Rent-By-Owner Model with Professional Support
A for-rent-by-owner property succeeds with much. The landlord needs to do market research to set the right rental rates and market the property. They must also screen their tenants and be responsive to their needs.
Relying on a professional property management partner like PMI Reliant makes the journey easier. We're dedicated to helping all homes in the Utah County area.
Let our certified team handle the overwhelming burdens of finances, tenants, maintenance, and more. Contact us to see how we can start making managing your property manageable today.
