Oregon City, OR · Member since 2016 · 11 posts · 5 votes
I was very inspired by the latest Webinar on the BRRRR strategy. I am curious as to if anyone has done this and found that undergoing a rehab in an offseason was detrimental? For example:
Purchasing a home in Sept. and then undergoing a 1 1/2 month renovation would put you into Nov. and potential renters might be in a limited demand.
Real Estate Agent · Oceanside, CA · Member since 2016 · 28 posts · 22 votes
9y
You know the old saying that one should always sell in the summer?
Well, there's really no good reason for it. But it remains important because perception, however irrational it may be, is reality in the market.
I have had my best sales in the month of December. Families often transition at or around the first of the year, and no one is selling except, well, me. Low supply, high demand, seller wins.
Software Developer · Vidor, TX · Member since 2015 · 922 posts · 639 votes
9y
People typically take the late spring and summer as a chance to switch rentals due to 1) their lease probably ends then because transitions are typical in that time frame. 2) The kids are out of school and don't have to worry about potentially having to switch schools in the middle of the year.
Your tenant pool would probably be slimmer due to the time it's available, but only families I would think. Also, the market will probably be slimmer too so it could work out in your favor.
You could buy the property and hold off assuming all cash or low pmt mortgage, until late December. Not something I would do, but still.
If you're building/renovating to sell, then time of year doesn't play as much of a role.
I've wondered the same thing too! This is what I have concluded after reading up on it:
1) There are ALWAYS people looking to rent, no matter what time of year it is. It may take a little longer for you to find the right tenant, but chances are, your rental won't sit empty until spring or summer.
2) Advertising plays a BIG role in how quickly you rent. If you are advertising in the right places (everyone seems to agree that Craigslist and Zillow are the bare minimum), you WILL get tenants.
3) Screening still matters. Don't rent your unit out to the first person who applies just out of desperation!
4) Worse comes to worst, you can lower rent. You can rent for $50 or $100 less than you would ideally, but keep the lease short (to take you to the next spring) and then advertise at market rate.