The Facts About Why First Time Buyers Are Being Forced to Rent
As the price of homes are rising and it is getting harder for hopeful first time home buyers to purchase homes, rental opportunities are increasing. If you are a real estate investor, one of the hottest places in the market today is in rental properties.
At the current time it is easier for a person to rent a home, than to buy their first home, being the housing market has halted. It is forecasted that by the year 2016 one in five households will rent instead of own their homes.
Some believe the rental sector is going to play a large role in providing homes for the community, and in doing this the relationship that goes on between the owner and the renter will make a difference in every community.
Demand For Rentals – Drive Up the Price
At the current time the demand for a place to live is so high, once a flat is available, it disappears quickly, in some cases the same day. Being rentals are so hard to find, they are rented quickly and as a property owner providing rentals, one thing you would not have to worry about is finding tenants to occupy the property.
However, you would have to manage the people in your units. Many are pulling resources together and sharing flats, so they can afford to pay the rent. While these accommodations can be difficult for the tenants, as new investors you will want to keep your tenants complying with your terms, especially in the hostile real estate market. They may feel because they were unable to buy a home, and have to rent they are not following their dreams, so there are things you as a landlord can do to make your tenants rental experience more enjoyable.
Ease Rental Anxiety With Good Relationships
There are several ways you can have good relationships with your renters.
- Landlords, as you screen your renters, make sure they are the right ones for your specific property. Doing proper background checks, checking references, and spending a little time with them can accomplish this. If you do not pick the right tenants, more than likely either you or the tenants will be unhappy.
- After you screen your tenants, view the rental together, make sure the tenant will be satisfied with the flat, make sure he or she understands any information regarding the property, any rules, regulations, and make sure the tenant understands the price of the apartment, and the time the payment is due, and any late fees.
- Let the renter know how to contact you, let them know what you will maintain and what they will maintain, and how any repairs should be handled. Keep communication thorough and open.
Renting properties can be a great way to create revenue, increase your portfolio and if you enjoy this type of work, you will also enjoy some of the projects you will get to work on when upgrading your rentals.
Remember to keep it a positive win-win for all parties, keep communication open and clear. When you begin the application process on the right foot, the entire renting experiences for everyone involved will be better, and most of the time happy rentals make happy landlords.**Nothing on this website should be confused with financial or legal advice. If you need this, or any other type of advice, please seek the help of a competent professional. In addition, because real estate laws change all the time and differ from state to state, and even city to city in the same state, everything in these pages should be considered general marketing advice and ideas. Please see link to full Disclaimer at the bottom of this page.