so I rent out to tenants at rates 25-30% over what I see advertised in public ads. I'm only able to charge so much because I have a talent in getting high paying tenants even if my property is about as good as the other ones in the area.
I'm worried that once I report taxes or something, my rents will be seen by other investors. Is this a legitimate fear or is there a way to hide it?
I wouldn't worry about that.
Other than them checking a website your advertising on for comparisons on rents that they may run across, I doubt they would care or be interested in what you are getting income wise until it is time you may consider selling.
Good for you if your able to command the higher rent rate for similar unit that is above the competition, they are either lazy or out for coffee.
They don't have access to income tax records.
They can look up public records for property tax amounts and payment history and property valuation per city assessor.
My husband is an agent in Las Vegas and he is able to see (via the MLS) the price the house was rented at. Not sure how the MLS differs in other states, but if an agent has access to the MLS, they might be able to see it (if the property was advertised on the MLS in the first place).
David, agree with the others that it will only become public information if other investors see it in the medium where you market it. My property manger also commands higher than market rents, she has a waiting list and doesn't have to advertise. As one of the other investors I'm bummed that I don't have visibility on that data to use with my remaining self managed units, but more power to her!
Look up your property on rent o meter or zilpy and see if it is listed there. Those would probably be the main two spots a prospective renter would check.
... so, would you like to share your trade secrets on getting higher than projected value : )
@David Zheng , yeah what he said, trade secrets?
IF they find out all the better as it could drive up market rents in your area. You can then go even higher.
I agree with Greg S. Why would it hurt if other investors started raising their rents? It seems this would only help you maintain or capture more rents. If all the rents went up in the neighborhood, property values may increase too. I really don't see the down side.
Hi @David Zheng ,
I'd worry a whole lot more about the tenants figuring it out than the other landlords.
As we know from the election, taxes are not public info and the public sees it only after the taxpayer voluntarily releases it.
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