Not attracting good applicants
I posted this almost a year ago.
http://www.biggerpockets.com/forums/52/topics/1478...
I'm curious now about another new one for me. I bought a foreclosed rental back in April and finished off the rehab that the previous owner failed to finish.
Zillow, Rentometer, and the MLS put this property at $1,250 - $1,300 a month. I started out at $1,275 and now have dropped to $1,250. Four other properties are on the market in the same neighborhood anywhere from $1,200 - $1,250 (craiglsist and zillow). Three of the properties are run by management companies (which suck in my area) and the fourth is at $1,200 but has no pics, because it's most likely not in good shape.
I get contacted several times each day, but all the callers are either section 8, don't even meet 2.5x income, had evictions in the past, or filed bankruptcy (some as soon as last week), and none are really qualified. I took two applications and both were in trouble in regards to credit and income. I even had a sheriff apply who had horrible credit and rental problems. The neighborhood has zero crime and is very quiet.
I tried lowering my credit score requiremtent from 600 to 500 and only got worse quality inquires as expected.
My wife and I have considered dropping the rent amount to $1,175 to see what happens.
Any ideas on what is going on here? I've always rented a place in about two weeks. This has been 30 days now.
Thanks