Renting Your Investment Property: The Three Ps

When preparing to rent your investment property, whether for the first time or even the third or fourth time, it’s important to remember that it is not always as simple as hammering in a “For Rent” sign out the front.

Preparing your investment property for new tenants should come with some considerations to ensure that you are setting yourself up for success. You need to understand the mindset of your prospective tenants; their wants, their needs, and how they will view your property.

There are three key factors you need to think about when considering how to rent your investment property: Price, Presentation, and Promotion.

1. Price

Price is perhaps the most crucial element to your investment being tenanted rather than remaining vacant. This is why it’s important to make sure you are entering the market at a realistic price point. Listing your property at above market price will see it sit empty and cost you money. The best properties in the world remain unleased and unsold if they are priced above market price.

The price of your rental should take into consideration the current market, the proximity of your rental to amenities like public transport, local schools, whether you’ve invested in a metro or regional location, and the age and condition of the property.

Make sure to take the time to properly research the rental price of similar properties in your area, and sit down to talk with a few different resources about the pros and cons of pricing your property. Both your Property Manager and a Property Mentor from Property Club are great resources for this as there are many pros and cons to different price points. Take the chance to find out their opinions on pricing below, at, and above market value in the area to get an idea of what the best price point for your property is.

2. Presentation

Properties need to turn heads - for the right reasons! Prospective tenants want to envision themselves living happily in your property, and this can be hard when the property starts aging and looks outdated. Make sure the yard is well maintained and the inside of your property is clean and tidy. Electricity connected to the property will present it “in lights”, and there is nothing more welcoming to prospective tenants than cooling fans or air-conditioning on a hot day!

Before you even get to the property inspection stage, it’s important to present your property in the best light in all of your marketing materials. Some property managers may help with this, taking professional photos to add to their listings. If you need to take your own photos, however, make sure to capture your property in the best light possible. Ensuring the property is bright, clean, and tidy will help to highlight the best features of your property.

3. Promotion

You can’t attract renters without promoting your property! Make sure you have a plan in place to promote your rental to prospective renters. If you’re choosing to rent through an agency, they will more than likely have a plan in place to promote your property effectively. If you are in charge of promoting your property yourself, our Property Mentors can help you with some of their best tips and resources to put your property in front of the right audience.

Talk To Our Property Mentors About Preparing Your Investment Property

If you want to get some expert advice on how to prepare your investment property for rent, get in touch with Property Club! Our Property Mentors have been preparing their own investment properties for the rental market for years, and have guided fellow investors along every step of their own journey. To find your own Property Mentor, join Property Club today - it’s absolutely free, and provides you access to expert resources and advice to help you make the most of your investment property.