Raising Rent Based On A High Amount Of Applicants?

Question

Posted a home for rent... I do city rentals!

- At the open house, a bunch of people applied...

- Can I raise the rent that I had previously listed the house at? I have many good tenants to choose from and I want to make sure I do this the right way and get maximum possible rent.

Is that discriminatory to raise rent based on demand?

Carrie Young · Answer

Yikes, you could get in trouble with fair housing laws. Just pick the best applicant so they don't ruin your house. Do a better market survey next time...

Tim Miller · Answer

You can't raise the rent after the fact. We had a similar situation, we took the ad down. Than we processed all the application and lady luck was with us, none of them past our screening process. We refreshed our add with the higher rental amount and posted. At the next showing a few people did ask if the rent went up. We told them yes it did, do to market condition. As @Carrie Young stated, do a better job with your market research. Good luck.

Mary Smith · Answer

I don't think it's a good idea to raise your rent amount based on the amount of applications you're receiving. It could lead you in some trouble. Definitely thoroughly screen your current set of applicants and choose the best for your rental.

Eliott Elias · Answer

Keep it as is, don't be greedy on this. Pick the best qualified tenant.

Cameron Riley · Answer

Same exact thing I did lol

JD Martin · Answer

There's an old saying:

Pigs get fat, hogs get slaughtered. Don't be a hog :)

You either did a good job of setting the price relative to the location & amenities of the property (well done) or you did an incompetent job of setting the price based on having no idea how to set the price despite the fact that you have done this before (poorly done). Which guy do you want to be? I'd want to be the first guy, and maybe do a better job of market research on the next go-round. This could just as easily blow up in your face, as you set the "new" price, get no applicants and have to drop the price later, perhaps back to where it was. I'm assuming you haven't even bothered to see how qualified the people who filled out the applications are, since you didn't mention whether they were or not. Back in the day when I took paper applications (you still do this?), I'd have all kinds of knuckleheads fill them out during a showing or open house. Easily 75%+ weren't qualified to rent a parking spot for a day much less a house.

Cameron Riley · Answer

What fair housing law would extreme demand/market conditions causing rent to be raised be violating?

(Not forcing them to sign the lease, But I do understand it is unfortunate to hear that the monthly price is going to have to be raised)

Appreciate the feedback...

Mose Gebremeskel · Answer

Agreed Mary!

Mose Gebremeskel · Answer

I wouldn't raise the rent after the fact. The tenants who applied for that rent are expecting that amount.

Nathan Gesner · Answer

Once someone has applied, you should honor that price.

Raising Rent Based On A High Amount Of Applicants?

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