Real Estate Gladiators is an industry leader in the property management industry serving Issaquah, Bellevue, Kirkland, the greater eastside and surrounding areas.
Your home’s rental value depends on a number of factors. Some of those things are outside of your control, but there are things that you can do to increase what you charge in rent. When landlords are trying to decide how much to charge for their Bellevue rental property, they need to consider the following factors:
- Market strength
- Property location
- Property condition
Let’s discuss how these things impact what you can earn in rent.
Evaluating the Bellevue Rental Market
Before you price your rental property, you need to know how strong the rental market is. You’ll need to figure out if there’s a lot of competition for rental properties like yours or if the market is flooded with inventory and therefore competitive for owners who are seeking good tenants. You’ll need to consider the time of year and whether a lot of tenants are looking for homes, and you’ll have to factor in the overall strength of the tenant pool.
Market conditions are the single largest factor in determining how much you can charge for rent. You might have heard that someone rented out a property like yours for $2,500 last year. But, things change quickly, so you might have to settle for a $2,000 per month price tag now.
If you underprice your property, you’ll lose money because it will take a long time to bring that price up to market standards. If you overprice your property, you’ll also lose money because it will remain vacant longer. Good tenants will not pay more than they have to.
Property Location and Rental Value
Everyone knows that location is important when you’re buying and selling property. It’s important in the rental market, too. You’ll need to evaluate where your property is located and determine whether geography will help or hurt your rental value. If you’re in a great school district and a desirable neighborhood, you can probably charge a little more than you could if your property is in a remote location and not close to any commuter routes, shopping centers, or conveniences.
Well-Maintained Properties Rent for More
Property condition is the one pricing factor that you can really control. So, you have to make it count. Good tenants are willing to pay more for attractive properties with modern upgrades and updates. Make sure everything in your property works well, and make sure it’s appealing to high quality tenants. Invest a little money in minor upgrades. This doesn’t mean you need to rip out your kitchen or add a bedroom. But, a fresh coat of paint, new hard surface floors, or even shiny brass hardware fixtures on drawers and cupboards can make a huge difference. Spruce up your landscaping. Provide a modern, functional home if you want to increase the rent you collect.
Attaching the right rental price to your Bellevue rental property is an important part of the leasing process. It affects the type of tenants you attract and it has huge implications for your short-term rental income and your long-term returns. Make sure you get it right.
Contact us at Real Estate Gladiators for help in finding the right price for your property. We have access to some detailed data and outstanding rental comparisons.
