Guilderland, NY · Member since 2011 · 25 posts · 2 votes
So I bought a two family 5 bed apartment located in a student rental area (paid $128,00 currently rented for $1800 a month). The apartment was already rented until the school year (May 2013). The current tenants have decided not to renew the lease. I have started advertising the place and have scheduled my first showing in Jan. This will be the first time I will be showing a place (have always been on the other side). I was wondering if any of you have tips to share. Any input will be appreciated.
Investor · Statewide, MO · Member since 2011 · 814 posts · 425 votes
13y
I'd offer a small incentive to the existing tenants if the property is re-rented before they move. Sure, you probably have permission in your lease to show the unit, but tenants can resist or be deliberate in making it tough to rent if they want to. To shed a $100 gift card to get them to cooperate and say nice things about you and rent the unit faster is a great investment in my book.
I have heard of some landlords requiring picture ID before showing occupied units. Also, be sure to keep the showing group together to minimize the risk of theft.
Also, do a thorough prescreeing on the phone to ensure you're not showing the unit to a tenant that will not meet your minimum rental criteria.
Investor · Dallas, TX · Member since 2012 · 158 posts · 99 votes
13y
as Ed said- Do some prescreening so you don't waste your valuable time. Just make sure the people you're showing to meet some basic criteria.
When I'm showing a property I will usually walk it with them and show it to them one time through, then judge the situation. Sometimes it's best to walk it with them and then go hang out on the porch so they can talk it over with eachother without you being there. Either way, try to close the deal while you're showing it to them. Try hard (not used car salesman hard, but still hard) to get them to sign an application before they leave.
You can incentivise (new word) that by saying "if you put in the application now I'll wave the initial application fee". Then make sure they know that if they pass that application, they will pay the credit check directly (I use mysmartmove.com. They pay the website and then I am able to view the results).
Investor/Realtor · Hoover, AL · Member since 2010 · 1k+ posts · 459 votes
13y
You might consider showing Sat/Sun for a 2 hour window each week until all vacancies filled. I always do a phone pre-screen to determine if qualified. Many in my area want to view but don't meet income requirements or rental requirements..
Real Estate Investor · Philadelphia, PA · Member since 2010 · 283 posts · 81 votes
13y
I consider my showings for my properties as interviews. You are interviewing these people to live in your property and pay you rent on time.
Did they bring all the required documentation you asked for.
Can they provide evidence of thier job
What is their body language saying, when you are telling them your rules and regulations are the wandering around or are they paying attention to you.
When you are showing them around listen to what they are talking about with thier partner or roommate.
I have heard someone say that they wanted to paint a room and change the floor. That was a big red flag for me but I only knew about it because I was listening to thier conversation.
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
13y
My normal process is to stick up a sign and take calls. I don't worry about getting it up too quickly. About three weeks before the old tenant moves out is sufficient. I expect about 50 calls. I show once a week, and not in two hour windows, either. I tell everyone the same time. I tell them to call 30 minutes before the scheduled time or I would be there. I get about 60% of the people who schedule a visit to actually show up. Ideally, I have three or four scheduled, which translates to 2-3 actually showing up.
We discuss qualifications and restrictions on the phone and I ask "will that be a problem"? We discuss them again when they visit.
Now, yours is a student rental, so that's different. They aren't going to have jobs. You can try to get parents to co-sign. That's common in some areas, not in others, apparently. They're often messy. Some years ago, I considered this route and looked at a bunch of occupied units - every one was a mess.
Usually there is some window when a lot of leasing for the next school year occurs. Call property managers in the area and discuss this with them. I'd start by telling them you have a property and would like to discuss them managing it. You may, in the end, choose to do it your self, but they will still discuss with you how they would work. Also find the campus housing office and ask them about when leasing occurs. And try to advertise your unit with them. With student, having a window where they can look might work.
Also be sure you're in compliance with zoning. I suspect you're renting to five unrelated students. In the area I considered, that was ok with some zoning codes, but not others. The high density codes were within a couple of blocks of the campus. Further away you were limited to at most two unrelated parties. And when I spoke with the zoning folks, they said, yes, they did get reports of violators - mostly from the landlords that played by the rules.
Guilderland, NY · Member since 2011 · 25 posts · 2 votes
13y
Thanks a lot guys, I really appreciate all the replies. Yes, the parents foot the bills for rents. I have an application form that I will hand out when they look at the place. I am not sure screening them on mysmartmove will be very helpful as these guys barely have any credit. I will try to have the parents cosign the lease.
Investor and Architect · Ramsey, NJ · Member since 2010 · 305 posts · 84 votes
13y
Sign out front + Craigslist
Make set times such as Tuesday and Thursday morning from x to y and Tuesday and Thursday night from a to b and Saturdays from c to d. This will show you who is motivated +"seeing the competition" will get their butts moving faster.
If you make custom one on one appointments they will run you ragged.