Buying an Investment Property? Here's How You Can Maximize Your Rental Revenue
Whether you're buying a ski-in/ski-out condo at your favorite resort or you're thinking of picking up a small home in a busy tourist area, buying a property for short-term rental purposes or buying a property for long term, it can be an excellent investment that quickly begins to provide additional revenue. Let's take a quick look at a few steps that you can take to maximize the revenue that your investment properties bring in each month whether it is a small or large investment property.
Upgrade Your Home to Give It a Clean Updated Feel
It should go without saying that if you want your home to rent for a high price it has to have a significant amount of value behind it. If you have purchased your investment property at a low price due to needing work or upgrades, take your time and get it done to give that upgrade, like new feel. After you purchase the home, spend some time on upgrades that help to enhance the home's beauty and usability. If you are providing a furnished property, possible each sofa should be a sofa-bed so that additional guests can stay the night. Upgrade the televisions, have Wi-Fi internet access available and provide a phone number that guests can call if anything goes away. If this investment is a single family home, fresh paint, carpet, hardwood or laminate gives the feel of clean, fresh, like new condition if an older home. Kitchens and baths are big on the rental list and can be easily updated with a little fresh paint, new counters, new hardware and light fixture. Tip here, is to check out the hardware stores like Lowe's or Home Depot for the area where surplus from contractors are returned to a used area. Super savings.
Professional Photos and Copywriting
If you're renting your property out to short-term or vacationing tenants you're most likely going to use online services like VRBO, HomeAway or AirBnB to attract new business. While these sites have a lot of visitor traffic you're also going to face a high level of competition from other property owners in the area. It's worth paying a professional photographer to take pictures of your home as well as having a professional copywriter handle the sales copy for your listing. These are one-time costs that can help you to defeat your competition and close high-ticket clients. Again professional photos will help also in a single family home rental on Craigslist and other rental sites.
Cater to Large Groups or a Niche Crowd on your Vacation Rentals. Location, Location, Location!
There are a number of "niche" travelers out there and if you can cater to these groups you'll find that you're able to charge more than the average vacation property. For example, you may be buying a home in a popular wedding destination that can be marketed to couples who are being married. If you're buying a larger 3 or 4 bedroom home, be sure to note that it can house large groups who may be traveling together. If you are purchasing a rental, close to shopping or in a location where there is a lot of parks. Remember location is also key in renting especially if you are going to do a short term rental, say like for Derby or Thunder Over Louisville.
Referrals and Repeat Business
Finally, don't forget to ask your clients to refer you to their friends and family who many want to stay in your unit, and always invite them to return in the future. You may want to consider offering a discount to repeat visitors to encourage them to visit annually.
Renting out your vacation home or investment property can provide a lucrative income stream as long as you do your due diligence ahead of time.
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For more information about real estate in the Louisville, Jefferson, Oldham, Shelby, Spencer, Bullitt county areas, contact me, Karen Rodriguez, at 502-643-2255 or email firstname.lastname@example.org. Years of Experience, Experience the Difference.
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