How to make your investment property stand out to tenants
With rental listings in Perth hovering above the long term average right now, competition to secure tenants has increased.
So what can you do to make your rental property stand out in this market?
We spoke with Co-Chair of REIWA’s Property Management Network, Kathryn Massey, to find out her top tips for attracting tenants.
With the vacancy rate currently sitting at 5.6 per cent, Perth’s rental market landscape is in a very different position than it was a few years ago.
Ms Massey said that a few years ago, when vacancy rates were low, it would have been unusual for a property to remain vacant for more than one week, but that things were different now and investment property owners needed to price their rental properties accordingly to attract tenants.
“Tenants will search for prospective properties using price as their main requirement. If no one is applying to view your property it is more than likely because it is overpriced,” Ms Massey said.
The latest quarterly data shows that Perth’s overall median rent price fell $20 to $400 a week over the September quarter, with house rent prices sitting at $420 during this time and units at $395.
“If you’re holding out to achieve a higher rent, this will actually be costing you money. If we use an example of a property achieving $550 per week. A $20 per week reduction is 3.6 per cent. If the property is vacant for three weeks, this 3.6 per cent is already lost and the property is still likely to require the $20 per week reduction to secure a tenant.
“Less rent per week is better than a long vacancy period with no rent at all,” Ms Massey said.
Presentation and improvements
The appearance, presentation and maintenance of your rental property is paramount to attracting tenants in this competitive market.
“Why would someone want a property that is looking tired when they can have a brand spanking new one with the same amenities?” Ms Massey said.