As a rental property owner in San Jose or elsewhere in Santa Clara County, you likely have one primary goal in mind: to maximize your return on investment (ROI). After all, you’ve invested a significant amount of money into your property, and you want to ensure you’re seeing a positive return on that investment. Fortunately, there are many strategies you can use to increase your rental property’s ROI.
Raise Rent Appropriately
One of the most effective ways to increase your rental property’s ROI is to raise rent appropriately. While it can be tempting to keep rent prices low to attract tenants, you don’t want to leave money on the table. Do some research to find or work with a local property manager to see what similar rental properties in your area are charging and adjust your prices accordingly. It’s best to have your rent at or slightly below the current market of other comparable rental properties in the local area or neighborhood. If your property is in San Jose for example, a San Jose property management company will provide guidance on what the rent should be for a rental property in a specific location. They would also provide guidance on whether to increase rent prices if your rental has high-quality amenities or is in a desirable location.
Another way to increase your rental property’s ROI is to renovate smartly. You don’t need to make major renovations or completely remodel your property to see a return on investment. Instead, focus on smaller updates that can make a big impact. For example, consider upgrading appliances, replacing outdated flooring, or repainting walls. These updates can help increase the value of your property and make it more attractive to potential tenants. Doing more extensive renovations is best scheduled right after a tenant has vacated when the property is vacant.
Improve Curb Appeal
The appearance of your rental property is important, as it can directly impact its value and attractiveness to renters. Ensure your property has good curb appeal by keeping the exterior well-maintained and investing in landscaping. Having an attractive landscape and maintaining it using the services of a professional gardener is usually the best option. Since tenants usually do not maintain yards and outside areas, it’s best to incorporate the costs of using routine gardening services into the rent. You want to keep your current tenants happy with living in your rental and when they move out potential new tenants will be impressed with the appearance of your property before they even step inside.
Focus on Marketing
To maximize your rental property’s ROI, you need to make sure it’s marketed well and visible to potential tenants. Focus on marketing your property effectively by listing it on popular rental websites, creating attractive and detailed property listings, and using high-quality photos and videos to showcase it. If you use the services of a local property management company, they will do these things for you, but as a rental owner make sure you know how they are marketing your property. Additionally, ensure either you or your property manager is scheduling times to show your property to potential tenants that are qualified and get weekly updates on their marketing efforts.
Stay on Top of Maintenance
A well-maintained property is essential for keeping tenants happy and preventing issues that can lead to costly repairs. Make sure you stay on top of maintenance by scheduling regular inspections or use a property manager that does this for you. It is important to make repairs promptly and ensure that the property is always in good condition. By doing so, you’ll save money in the long run and keep your tenants happy and satisfied.
Another way to increase your rental property’s ROI is to offer some desirable amenities. This could include things like providing routine gardening services to maintain the yard and landscape or providing high-speed internet. Consider what amenities are most desirable to potential tenants in your local area and provide those that make the most sense for your rental property.
Property Management in San Jose and Santa Clara County
If you own a rental in San Jose or elsewhere in Santa Clara County contact Valley Management Group. Valley Management Group is a San Jose property management company that provides full-service and customized management services based on your needs. With over 40 years of residential property management experience, Valley Management Group will help you maximize your return and eliminate the stress of owning a rental. Call Valley Management Group for a free quote and get one month of free property management services when you sign up for services.