As a landlord, it’s obvious that you want to lease your Tampa rental property for the highest amount possible. After all, that’s how you boost your profits. But increasing your rental property income and maximizing your profits is not always easy to do. Sometimes the things you do to earn more money actually backfire and end up costing you more in the long run.
That said, with the right plan in place, you can increase your rental income without making your tenants feel as though all you care about is money.
If you’re looking to generate more cash as a landlord, keep reading. We’ve got the 8 best ways to generate additional income from your Tampa rental property.
How to Increase Your Rental Property Income
1. Do Your Research and Price Accordingly
One of the biggest mistakes you can make as a new landlord is to price your rental property too low. Of course, you don’t want to inflate the rent and force yourself out of the competition. Tenants know what the going rates are and aren’t going to pay more for your rental when they know they can get a better deal down the street.
That said, if you price your rental too low you not only attract the wrong tenant pool, but you shortchange yourself when it comes to profits.
The best way to approach setting the right rent rate for your rental to earn the highest ROI and satisfy your tenants is to get a Free Rental Analysis of your property. Expert property managers in Tampa will be able to help you price your rental in the sweet spot. With the sweet spot, you’ll earn plenty of profit and your tenants won’t feel they are overpaying.
2. Improve the Curb Appeal
Remember, your tenants are living in your rental property and are calling it home. They want to be proud of the home they live in. This includes having a beautiful front yard for visitors to see when they stop by.
A great way to get your property leased quickly and for the most money possible is to improve its curb appeal. You only have about 7 seconds to make a first impression on interested tenants viewing your rental. If you spruce things up and make it look nice, people will be more excited to see what’s inside and more apt to rent from you.
3. Screen Tenants Thoroughly
It can be tempting to place the first tenant that shows interest in your Tampa property. In fact, you might think this is the number one way to start earning a profit right away.
While this will help you start collecting rent sooner than later, the problem with not thoroughly screening tenants is that you might place a problem tenant in your rental without even knowing it – until it’s too late.
Problem tenants can cost you big time:
- Cleaning bills
- Eviction costs
- Non-payment of rent
Rather than deal with all that, it’s best to have a strict screening process in place to make sure the tenant you choose is going to pay rent, care for your property, and follow the rules. If you aren’t sure how to screen tenants the right way, consider hiring a property manager in Tampa to do it for you. They have the knowledge needed to prevent discrimination but also find the highest quality people that are a good fit for your rental.
4. Ramp Up Your Ads
Advertising a vacant rental property is the key to attracting the right kind of tenants.
There are many ways to promote a vacant property. For example, you can place a sign in the window or yard, hand out flyers, or advertise on websites like Zillow. But there’s more to finding a tenant for your rental than just saying it’s available.
If you want to find a good tenant quickly, follow these top tips and tricks:
- Use high-resolution photos
- Add video footage or 3-D virtual tours
- Include multiple contact points (email, website, phone, office)
- Describe your rental with details and don’t forget the amenities
Most landlords are not expert marketers. But marketing vacancies is one of the jobs you’ll have to do to earn more money. If this is not for you, or you are finding filling vacancies tough, hire a Tampa property manager to help. They should even have an official website that they can market your property on, which will help you fill your vacancies faster.
5. Allow Pets
If you currently have a no-pet policy in your rental but are looking to earn some more income, consider making a change.
Nearly 72% of renters have pets in the United States. However, finding good, quality homes to rent that allow pets has become increasingly difficult. By allowing pets in your rental property, you give pet owners a chance to avoid having to surrender them to already overcrowded shelters. Plus, by charging a nonrefundable pet deposit at the start of the lease term and a recurring pet rent charge that is added to the monthly rent rate, you can easily rake in some more cash each year.
Making this change and allowing pets in your rental becomes even easier when you use a property management company like Rent It Network in Tampa, Florida. If you do allow certain pets, a $300.00 non-refundable pet fee will be charged to the tenant (upon lease approval). In addition, a separate deposit and monthly pet rent may also apply. This way you can trust that even if there is pet damage, you won’t have to pay for it out of your own pocket.
6. Stay on Top of Maintenance and Repairs
Lowering expenses is another one of the best ways to generate more rental property income. Luckily, preventative maintenance and handling repairs right away can help you lower the costs associated with owning an investment property.
Many landlords rely on their tenants to do things like change filters, clean AC units, and clear out rain gutters. But the truth is, not all tenants do everything they are supposed to. Not to mention, many times tenants will not inform you about small things like sink leaks, which can cause major problems if left for too long.
Here are ways to prevent having to dish out lots of cash on property repairs:
- Perform routine property inspections to check for minor repairs
- Take care of maintenance and repair requests right away
- Give tenants a handbook detailing how to care for things like appliances
- Write it into the lease what your tenants will be responsible for
- Use reputable and affordable contractors to do the work for you
- Take on some of the repair jobs yourself if you know how to
- Make it easy for tenants to contact you or your property manager
If you do regular maintenance to your Tampa property, you’ll stay in good favor with your tenants and save yourself money in the long run. After all, aside from maintenance and repairs costing a lot, high tenant turnover can dig deep into your profits. The happier your tenants are, the more likely they will be to sign a lease renewal.
7. Charge a Lease Termination Fee
Sometimes there is nothing you can do to stop a tenant from breaking a lease agreement. Things happen. But what you can do to offset the cost of an unexpected vacancy is charge a lease termination fee.
By charging a lease termination fee, you allow yourself to recoup at least a few months’ worth of rent while you fill that vacancy with a new tenant. Plus, it gives your tenants a way to back out of a lease without having to abandon the property should something come up.
8. Hire a Good Property Manager
Although this may seem counterintuitive, hiring a good, full-service property management company to care for your Tampa rental can save you money.
Here are just some of the things a property manager can do to help you earn more rental income:
- Screen applicants and place only high-quality tenants in your rental
- Set a competitive rent rate that will generate profits and keep tenants happy
- Ensure that rent is collected each month
- Maintain your property and make repairs quickly and thoroughly
- Perform routine inspections to make sure your renters are happy, and your property is running smoothly
- Draft airtight lease agreements and lease renewals (with lots of time to sign)
- Monitor your ROI and generate financial statements
Are you ready to hire a property management company in Tampa to help you earn more rental property income? Then contact us today and see how we can help you save money, earn more, and keep tenants wanting to lease from you.
At Rent It Network, we know how important your bottom line is. That’s why we work hard to make sure you get the best possible return from your property. Our goal is for you to stop struggling with the hassles of owning a rental property, barely breaking even, or worse – losing money. Instead, we want to give you the peace of mind that you’re earning a profit, your property is well-cared for, and you and your tenants are happy and satisfied.