How much can I charge for rent?
When you decide to rent your home or investment property, you want to make the most amount of money without having lengthy vacancy periods. But there are a lot of factors that go into determining how much you can charge for rent—if you set the price too high, no one will be interested in renting, but if you set the price too low, you’ll lose money on your investment. That’s why Coakley is here to help you answer the most important property management questions: how much can I charge for rent?
When determining how much you can charge for rent, some of the things you need to consider are:
Location – Where the property is located is going to be a key indicator when determining rent. Certain areas and parts of town are more affluent and popular than others and the price of the rent should reflect that. For instance, if your property is near a college, Metro stop or shopping center, housing is more likely to be in high demand and the rent will be higher because of it.
Comparable Properties – Check local real estate listings for properties that are comparable to yours. Look for square footage, amenities, bedrooms, bathrooms, yard (if applicable) and anything else that pertains to your home, and then see what price ranges people are renting for those properties. This can help you get a good idea of how to answer “how much can I charge for rent?”
Appraisal Value – If your home hasn’t been appraised in a long time, you should have it appraised. Knowing how much your property is worth can help you set the appropriate rent.
Current Payments – How much is your current mortgage or payments on the property? However much you decide to charge for rent should be at least equal to the total amount of monthly payments you make on the property.
Of course, when you find yourself wondering “how much can I charge for rent?” the easiest way to figure it out is to invest in a property manager. A property management company will be able to help you accurately determine the best rent price for your property to maximize profits for you. When you need a property manager in Rockville or the surrounding areas, contact Coakley Realty!