You must have this plan in mind because it turns out that most owners who start renting furnished (or empty) apartments make mistakes… And sometimes waste a lot of time when they set up an apartment rental strategy. Are you the owner of an apartment that you wish to rent? Have you invested in a quality property and wish to make your rental investment profitable as soon as possible?
You have renovated and prepared your apartment to face tough competition, but you don’t know where to start to rent it efficiently? At first, it may seem difficult because there are many parameters to take into account. You don’t always know where to start. To make things easier for you, I’ve put together a simple 4-step plan that allows any landlord to rent their apartment without getting caught up in unimportant things. So, without further ado, let’s dive into this blog.
1. Rent your apartment furnished? Rent empty? Rent your apartment seasonally?
The first question you should ask yourself when you plan to rent is this one: what type of rental do I plan to do? Empty rental or furnished rental? And if furnished, classically furnished rental or seasonal rental? To answer this question, you must study the demand of the geographical area where your apartment is located.
Do the tenants stay for a long time? Is the location a tourist area that welcomes many tourists every year? If the answer to this question is yes, it is obvious that you should opt for a seasonal rental. This type of rental is for the owner who wants to rent his apartment for a short period. If it is a student area, you will opt for a classically furnished or empty rental. The advantage of a furnished rental is that the demand is growing, and you can justify higher rates.
2. Make sure the accommodation is in good condition
Of course, you must make sure you respect the decency guidelines the law imposes. And thus, take care that your real estate constitutes decent housing. Then, you must obtain the real estate diagnoses (energy performance diagnoses, state of natural and technological risks, PPR, and report of risk of exposure to lead). And measure exactly the living area, without forgetting the law: only count in the living area the surface whose height under the ceiling is not lower than 1m80.
3. Setting the rent
How do you set a rate that is both good for your wallet and attractive to tenants? To do this, you will first have to study the rates of the competition so as not to be totally out of step with the local market. Generally, the price depends on many parameters, such as:
- The property’s geographical location (an apartment located in the city center will be more expensive than an apartment located in a remote area).
- The living area
- The quality of the furniture (if you rent furnished)
- The equipment
Everything is good to justify a relatively high price, so don’t leave anything to chance (washing machine, oven, stereo, flat screen TV). If you have the time and really want to make a profit from your rental, it is best to rent your apartment without an agency.
If you prefer to have a third party manage your property, it is better to go through an agency. But renting through an agency has a disadvantage: the agency will take a commission on the rent, and you will have to pay an entrance fee.
4. Finding a tenant
How to rent an apartment without an agency? In other words, how to rent your apartment from one person to another? Various means are more or less effective in finding tenants:
- Classified ads
- Sites specialized in vacation rentals
- Personal website (a must for seasonal rentals)
- Word of mouth
Knowing how to write a good ad is essential. Remember to put quality photos online, as this can make all the difference. The first question to ask yourself is: is the property vacant, or is it still occupied by a tenant? Obviously, if the apartment is occupied, you will not be able to organize visits at any time.
You will have to make sure that you arrange with your tenant so that he takes care of the visits. Or that he/she gives you a time slot during which you can do the visits. During the visit, leave nothing to chance. Explain the property’s strong points to the visitor, but also the weak points (because if this weak point is blocking him, it will prevent him from taking leave shortly after the signature of the lease).
The first solution allows you to have a more in-depth and friendly discussion with each of the prospective tenants. So give all the details to your visitor: condition of the property, electrical installation, plumbing, recent work done… Highlight the advantages of all these small details. And don’t forget to describe the neighborhood: atmosphere, living environment, local services… As for the visits themselves, I advise you to meet with the candidates one by one rather than making group visits.
Sound off in the comments section below and tell us what you want to read next and if you want to read more about renting your apartment.
