Hope everyone is having a good Thanksgiving week so far! One issue I am having as I begin to analyze properties is centering in on a rental unit price for anaylsis purposes (one that makes sense - fair market rent) Furthermore, the hard part for me is looking at a unit with just information on # of beds and # of bathrooms and a couple pictures and saying "this should rent for $###" I can easily go on craigslist and see what close areas are asking and use this as an estimate but I feel this is too loose to base my analysis on.... someone please help!!
I own two multi units around downtown Los Angeles (East LA & Boyle Heights)
I use craigslist, hotpads, and zillow when I’m doing a rent analysis. Essentially, I look at rent prices comparable to the unit that I am trying to rent and how long each property remains listed. Hotpads has a section on the unit listing that shows how many people have contacted the listed property. This gives you an idea of the renter demand and the price they’re willing to pay. For example, there was a unit listed $2800/month for a 3bd/1ba somewhat renovated received 1 contact for the week whereas another 3bd/1ba listed for $1800 had 143 contacts for the week...
Also, if you use cozy, they have a paid service (Currently $20) for a rent analysis of your area if you want to save time.
I know people that use craigslist, hotpads, and rentometer.com. Usually between the three you get a good idea. Hope that helps
I used rentometer.You just put in the address and the number of beds and baths. It will show you all the rental comps and give you a good idea of the fair market rent.
The more sources you check the better (i.e. Craigslist, Zillow, Trulia, Rentometer, local property management company, etc). Here's a guide with some additional ideas to help you determine what the appropriate rent might be:
Thanks all, I will incorporate many of your suggestions!
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