Investor · Hampton Roads, VA · Member since 2014 · 1k+ posts · 418 votes
So, I've had a property listed on craigslist and postlets for almost two weeks now. I get multiple calls, texts, and emails almost daily. I've been showing the property almost daily and sometimes more then once a day. I have yet to get a single application returned. I clearly explain the screening criteria over the phone (3x monthly rent, no felonies etc, no evictions, and credit don't worry too much about), first months rent and security deposit (normal in this area). 95% of people pass at that point. I have even offered the application fee to be applied to first months rent if approved. Still no applications....
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
12y
This statement:
Along with the fact you're renting this unit for the first time, brings me back to price. If "features" means bedrooms and garages and you're priced in line with other comparable units then your price is probably OK. If features means granite counter tops or other cosmetic things that are above comparable units then you need to forget about those "over improvements" and price your unit in line with other units in the same area.
The fact you're getting showings tells me you're in the right ballpark. Otherwise people wouldn't even be looking. But is there something more subtle? For instance, you have four bedrooms but they're small and the overall size is small vs. other four bed units. Or missing a garage. So, the property sounds good, but when people actually look its not what they're expecting.
Don't ask prospects what they don't like. Most people aren't going to say "it smells like dog poo" or "the floor plan is screwy". Instead try asking what else they're looking at and what they're finding in the area. Or, "what are you looking for in a home?"
I also really encourage people to fill out the application right there. Rarely do applications come back. Most times when I've actually got a new tenant they filled out the application on the spot. So, have pens and a place where they can sit and fill out the app. And "ask for the close". Say "would you like to fill out an application" with the app and a pen in your hands.
I make an effort to prequalify folks on the phone. I list off the key requirements to rent from me and then ask "will any of that be a problem?" So, if they show up I have a pretty good idea they will qualify.
I only show once a week. I pick a time slot on Saturday or Sunday and tell everyone the same time. Usually they show up a little before or after that time, so there's usually no overlap. But even if there is that's OK. A little competition never hurts.
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
12y
First, is it priced right? You want to be right at or a bit below the local pricing.
Second, its not the best time of the month. I find I get a lot of lookie-loos in the middle of the month and more interested lookers toward the end. So maybe you will get more applicants as we get closer to the end of the month.
Real Estate Broker · Indianapolis, IN · Member since 2014 · 3k+ posts · 2k+ votes
12y
If it's priced right and in a good area..... I would make sure that your other policies are competitive. Pets, late fee policy, lease terms, smoking, utilities. My wife and I have opted not to live somewhere due to ridiculous pet policies. She loves her "ankle biter". Also I agree with @Jon Holdman time of the month is probably a factor as well.
My pet policies were off. I've recently adjusted those. Area is not "A/B" but it's not bad either. Honestly, I think I might have an income problem. The rent is competitive for the features and area but I think I'm attracting people without the income.
Rental Property Investor · Manteno, IL · Member since 2009 · 2k+ posts · 2k+ votes
12y
Are there other place to advertise the place?
I know that sometimes, I have less luck with the freebie posting places than if I put an ad in my local paper. The ad costs about $120 for 2 weeks but it generates about twice the number of calls with much better applicants usually.
Any chance you have a local paper to put the ad in and see if that helps get more applicants that are able to act?
Investor · Bellingham, WA · Member since 2013 · 210 posts · 138 votes
12y
@Mike H. Do people still advertise in, or read, actual paper newspapers anymore??? Interesting that you're getting such good returns when most newspapers are going out of business due to lack of readership.
(I'm a HUGE fan of paper...books, newspapers, etc...but find most people just don't read them anymore).
Dallas, TX · Member since 2013 · 4k+ posts · 744 votes
12y
Here in Dallas, a lot of people still read the newspaper and ads in them because the Internet is full of scams, and no one trust what is on the Internet.
Investor · Bellingham, WA · Member since 2013 · 210 posts · 138 votes
12y
@Account Closed Heh, my Grandparents lived in Texarkana (Texas!) for years, and I remember my Grandfather showing me a really old newspaper clipping from the late 1880s - 1900s, of a "snake oil" salesman (I think it was a local doctor selling oils and potions...).
They say prostitution is the oldest profession...I would guess scams are the second.
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
12y
This statement:
Along with the fact you're renting this unit for the first time, brings me back to price. If "features" means bedrooms and garages and you're priced in line with other comparable units then your price is probably OK. If features means granite counter tops or other cosmetic things that are above comparable units then you need to forget about those "over improvements" and price your unit in line with other units in the same area.
The fact you're getting showings tells me you're in the right ballpark. Otherwise people wouldn't even be looking. But is there something more subtle? For instance, you have four bedrooms but they're small and the overall size is small vs. other four bed units. Or missing a garage. So, the property sounds good, but when people actually look its not what they're expecting.
Don't ask prospects what they don't like. Most people aren't going to say "it smells like dog poo" or "the floor plan is screwy". Instead try asking what else they're looking at and what they're finding in the area. Or, "what are you looking for in a home?"
I also really encourage people to fill out the application right there. Rarely do applications come back. Most times when I've actually got a new tenant they filled out the application on the spot. So, have pens and a place where they can sit and fill out the app. And "ask for the close". Say "would you like to fill out an application" with the app and a pen in your hands.
I make an effort to prequalify folks on the phone. I list off the key requirements to rent from me and then ask "will any of that be a problem?" So, if they show up I have a pretty good idea they will qualify.
I only show once a week. I pick a time slot on Saturday or Sunday and tell everyone the same time. Usually they show up a little before or after that time, so there's usually no overlap. But even if there is that's OK. A little competition never hurts.
Coppell, TX · Member since 2014 · 188 posts · 125 votes
12y
Chiming in here.
How long has it been on the market?
How much money have you spent advertising and don't forget your cost in time for showing the rental?
Why not use a realtor to advertise and market? They only charge one month rent usually for their services.
Rental Property Investor · Denver, CO · Member since 2013 · 4k+ posts · 2k+ votes
12y
@Bryan N. - I will take another track. Look at yourself. For me I don't tell the tenants what I want I ask them what they have. I ask them what they make, if they don't make enough I tell them. By taking this approach you won't have to guess about why people are not qualifying. If you don't take criminals ask them what their criminal record is. If you don't pets ask them if they have pets and if so ask what the pets are. These open ended questions allow you to stop and listen to the prospects. It gives you market feed back it allows you to screen them our rather than them screening you out. Subtle but better.
All that said. It's probably the price. Also changing the pet thing hurt you. Now your listing is stale. People search and see the same ad and don't even consider it. Rework your ad so it's not obvious that it's the same ad and same property. Take different pictures too.
Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
12y
Depends on what you are renting whether it is the right time. You are getting a lot of traffic so the people who are looking are looking at your place so that is good. Do you ask them each when they are looking to move? That probably will give you an idea of whether you are getting people who are looking for real right now. could be an issue, they have time but you want to get it rented. I have another showing or I have a lot of interest is a good thing to say.
I have also learned not to show to people who don't want what I have available. So prescreen on the phone, if there is a deal breaker mention it up front. If there is something in particular Like the location is a particular street or they want 2 bathrooms and you have one go over that on the phone. I include these things in the ad but also mention it when they call. I can't tell you how many people don't read the ad. I also record that on the phone so they need to hear it before they leave a message. The 4 thigs I always make sure to ask is who is this for, when are you looking for, smoking and pets.
Listen when they come. Most people will say what they like and don't like.
For applications I offer to email to them. Some people like this better and this gives you an opportunity for contact with good prospects.
Investor · Newton, IA · Member since 2012 · 89 posts · 39 votes
12y
Or perhaps, you're looking for A/B tenants in an area you said is "not A/B, but not bad either." This means, you're going to attract C tenants if you invest in C neighborhoods. I'm not saying you shouldn't expect some minimum requirements, but a lot of families are already living pay check to pay check and many probably technically can't afford the 3 times rent.
The question then becomes, do you consider being more lenient on the 3x rent in income. Some of them may have subsidies that make it still affordable. It might seem counter productive to go that route, but it might cost you more in the long run waiting for A/B tenants than just finding a C tenant who's willing to sign a lease and capable of surviving 9 or so months before running into issues at which point you evict.
Real Estate Broker · Raleigh, NC · Member since 2014 · 2k+ posts · 1k+ votes
12y
It's always a function of price and condition. It sounds like your price is in the right ballpark if you are getting the showings, so that tells me it must be condition. Is the home spotless? Are the walls and carpet clean? Are the fixtures and appliances decent? If people are not renting your unit, it is because they have found a better one for the same price or a similar one for a lower price.
Investor · Hampton Roads, VA · Member since 2014 · 1k+ posts · 418 votes
12y
I think it's a combination of tire kickers and tenant pool for the neighborhood. It's a blended neighborhood of state troopers, city employees, and various other work backgrounds. People see a rehabbed property online and then the blended neighborhood. Three more showings scheduled for today, so I will see....