Owning a rental property in Memphis comes with a lot of financial benefits, particularly the rental income you earn every month. However, deciding what to charge can sometimes be a challenge. How do you really know what the rental value is for your property, and how do you convince good tenants to pay what that home is worth?
You can find some average rental prices in your neighborhood online, but that data isn’t always reliable. When it comes to pricing your rental property, get some good information from a Memphis property management company. The right rental price will attract the best renters, reduce your vacancy time, and set you up for some consistent cash flow and long-term ROI.
Here are some of the things that will impact how your property is ultimately priced.
Memphis Rental Property Location
Location is always a huge factor when we’re talking about real estate values. The rental market is similar to the sales market in this regard – the location of your home will impact your price.
Most tenants today are looking for comfortable neighborhoods that are close to good schools. They also want to be close to work, restaurants, entertainment, and shops. Walkable neighborhoods are becoming more and more popular and can elevate your rental value. If you’re renting out a home that’s a bit more remote, you might find you have to charge less than those properties that are in desirable neighborhoods and close to amenities.
Consider Your Rental Property Condition
When you own a rental home, there’s not much you can do about the location. You don’t have any control over the strength of the current rental market, either. One thing you can control, however, is your property condition. This will factor into what you charge in rent, so make sure you’re leveraging every update and improvement that you can.
Well-maintained homes always earn higher rents. Make sure everything is working well. Consider investing in some cost-effective improvements that will make a difference in your rental value. New paint and flooring, for example, will attract better renters and earn you more every month. Replace any aging appliances with new, energy-efficient models. Check your lighting and make sure kitchens and bathrooms are bright. How is the landscaping? Curb appeal counts, and you want your rental home to look welcoming and inviting. If your property shows well, you’ll comfortably earn rents on the higher end of the appropriate range.
Accessing Comparative Market Data
Memphis property managers can tell you what similar homes have rented for recently. It’s important that you look at your specific neighborhood when you’re comparing rental rates. The city of Memphis is large, and rents can vary dramatically from one end of town to the other. That’s why professional input is so important when you’re pricing your home. Property managers have the technology and the data to help you price your property accurately and competitively.
Our experienced real estate experts at RiverTown Realty can help you price your rental home. We’ll evaluate your property, determine what similar homes are renting for, and settle on a rental price that reflects the value of your property while attracting the largest possible pool of potential applicants.
Contact us at RiverTown Realty. We’d love to help you lease your Memphis rental home.