Staying on top of the trends in the market is crucial to maintaining your business and continuing growth. Let’s take a look at some of the rental market trends of 2018 and how you can have them work in your favor.
Occupancy Numbers have Slowed Down, and Renters are Leaving
While in big metropolitan areas this isn’t the case, it is for most of America. Retaining renters is not as easy as it used to be since there are so many options that are cheaper, more beautiful and possibly in better neighborhoods. If you aren’t retaining renters, then you are probably lacking them as well. So what can you do to fill up the vacancy in your rental properties? Or to keep your current renters? To attract new renters, you need to have excellent marketing. And you need to differentiate yourself from the rest of the rental community. You do this efficiently by knowing who your target market is and their ages. Are you trying to attract college students, established families or young professionals? To keep your current renters, you can’t just give them a key and never see them again. All of their needs need to be met and beyond. Whether you have a few rental units or hundreds, there needs to be a sense of dependability on your end. If they can’t depend on you to tend to a recurring plumbing issue or a stain on the sidewalk that they hate looking at, then they’ll most certainly move on to a place that will.
Hottest Market Locations
If you’re preparing to purchase more rental properties, then finding the hottest market locations is crucial. According to HomeUnion’s opportunity ranking by metro area, the top ten places to invest in properties are:
- Las Vegas
- San Diego
- Dallas-Fort Worth
Do you currently own rental properties in any of these locations? If not, maybe you’ll have inspiration after reading this.
The Tech Era is Here, Whether You Like It or Not
The tech disruption means you need to go with the flow, not against it. Many new technologies will make your tenants’ day-to-day life easier. If you’re still taking checks from your tenants for rent, then you’re in trouble. We are in a time where voice technology is on the horizon. Your tenants will soon be able to pay their rent and make maintenance through voice technology, similar to that of Siri and Alexa. While we wait for that, there is technology available now that allows your tenants to make maintenance requests through text. Let’s say a potential tenant doesn’t have time to come in. Then you must accommodate their needs. Virtual tours are now available. Although you will have to make the initial investment in these technologies, doing so will keep and bring in new tenants. We encourage you to embrace changing times; they can work immensely in your favor.
What do you think about these trends? To you agree with them or not? How have you been working through some of your challenges with the rental market? Leave us a comment below.