Pricing a Brentwood rental property is always a bit of a challenge. You want to price it high enough that you earn as much as possible. But, you don’t want to price it so high that tenants ignore your property and it stays vacant for too long.
With the current rental market so competitive and rents rising by considerable amounts, attaching a rental value to your property can seem even more complex. How do you know where your price point should fall?
There are a number of factors that contribute to the price of a rental home – and you only have control over a few of them. Here are some factors to consider when you’re setting a competitive and profitable rental price for your Brentwood property.
Brentwood Rental Price and Location
Location is always a huge winner or loser when it comes to real estate. This is true for rental properties just as much as homes on the sales market.
Location will always impact how much you can ask for your property. If you’re in a good neighborhood with excellent schools and close to commuter routes, shopping, and entertainment, you’ll be able to charge more than you will for a more remote property that requires a long commute to school or work. Not all workers are remote workers, and accessibility will be important.
Property Condition is One Pricing Factor You Can Control
You cannot control your property’s location, and you cannot control what the market is currently doing. There’s nothing you can do about your competition or the preferences of tenants.
But, you can control the condition and appearance of your property. Those things impact rental value.
A well-maintained property in excellent condition will rent for a lot more than one that has old and dated floors, dirty appliances, and an overgrown yard.
Prices are Market-Driven and Depend on Competition
If it’s a tenant-friendly rental market, where there are more properties available than tenants to rent them, you’ll need to be more competitive with your price. If it’s a tight rental market and tenants are competing for well-maintained homes, you’ll be able to charge a little more because tenants will be willing to pay. Educate yourself on the Brentwood rental market, and begin following its trends and nuances so you know how to effectively price your rental property.
Conduct a comparative market analysis so you’ll know what the market is asking for properties like yours. Take a look at homes in your area that have rented recently. Make sure you’re comparing your own property to those similar in size and features. You can look at listings online, but remember those are homes that are currently for rent. The best data comes from homes that have recently rented to tenants. Someone may be asking $2,000 per month, but they may ultimately settle for $1,850. You need to know what homes are rented for, not what they listed for.
We can help you by providing a comparable analysis that will give you a good rental rate for your Brentwood property. We invite you to contact us at Parks Property Management.