Do you think it is worth "testing the waters" on rent (making it little higher) and if no one applies then lower the rent after a couple of weeks on the market.
Ie. Rent is a comfortable $850, but I see value in a unit that lends it to be $900-950.
Should I see if anyone is interested at 950?
Looking for pros and cons, Thanks for the thoughts!
If it's in a decent area where the vacancy doesn't mean that things start walking off, then it's really just a personal question of 'is it worth the wait?' It sounds like you're just trying to rent above market, which usually lends to you using a leasing agent in your area that may know some tenants that want a few more bells and whistles to be worth more every month.
Instead of $100 over, try $895 and see if that can get you where you want, knowing that if the tenant is solid, you can get to $925 next year and that will help you get the rent you want without pricing the tenant out.
If you think your unit stands out with the competition and there is not a lot of available units in your market , you can give it a try.
@Randall Weatherall great point! Yes the plan is to be a tad higher because of a few additions that you don't see in my area (SimplySafe security, washer/dryer, modern appliances/fixtures, etc.) The goal is to just get better quality tenants more than making more money on the rent.
@Bryan Cavellier I don’t see why not. You should know within a week or maybe two if you’re too high. You’ll see some interest, but no applications (meaning they found something that met their needs for cheaper).
I don’t find that apartments keep any kind of stigma about an initial higher price like selling a house might. If you drop the price next week, you’ll get a new batch of applicants who like the new rent.