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9 Ways to Maximize Revenue from Your Rental Property

Are you making the most out of your real estate investment? While being a landlord is an awesome thing, only a few take advantage of the opportunities to maximize profits. This blog post offers nine useful tips to get your money flowing in the right direction.

1. Decrease rental vacancy

Vacancy is one of a landlord’s nightmares. But the good news is that there are plenty of ways to avoid this. Start with what sets your rental apart from others. Is it your new renovations? Parking space? Security system? Also, keep your current tenants happy.

2. Consider software solutions for rent payments

Tenants who don’t pay online can make tons of excuses like “It got lost in the mail,” or “I came to drop off the rent but you weren’t home.” Online rent payments offer no room for excuses. Software tools enable automated recurring payment setup.

3. Keep your rental in excellent condition

Every landlord should prioritize preventive maintenance if they were to save more money in the long run. Leaks should be repaired right away. Old flooring and appliances should be replaced. Pests must be eliminated to avoid property damage.

Related: How to Prevent Tenants from Damaging Your Rental Property

4. Strategically raise the rent

Renovate your old rental to be able to charge more. Even on a tight budget, you can upgrade various aspects of your rental such as the cupboards, light fixtures, and molding. You can also increase the rent steadily each year. Make sure to inform your current tenants early.

5. Don’t rely on your tenants for standard maintenance

Many landlords hand over the responsibility of maintenance and repairs to tenants. While you can certainly include in the lease the requirement to trim the lawn or clean the gutters, you might just end up dealing with more costly repairs due to neglect.

6. Don’t lose your best tenants

Your goal should always be to keep good tenants instead of repeatedly finding new ones. Landlords lose tenants in many ways. They don’t respond to requests in a timely manner. They allow the rental to deteriorate. They increase the rent dramatically.

7. Put coin op laundry machines

Busy tenants can wash their clothes in a way that saves them time and effort. You can lease a few machines from a manufacturer or invest in your own if you can deal with maintenance and upfront costs. Detergents are also extra passive income.

8. Choose the right neighborhood

Location is one factor that determines your return on investment. Look for neighborhoods with clean streets and businesses. Avoid those with multiple abandoned properties. It’s also easier to run your rental if you live nearby.

9. Make your rental pet-friendly and have a detailed pet policy

Landlords who put up pet-friendly rentals attract more tenants and are less likely to experience turnover (since not a lot of rentals allow pets). Just make sure to let in the right pets. Meet the animal before signing the lease. Charge a refundable pet deposit.  

Related: Renting to Tenants with Pets: Tips to Follow

Wrapping Up

These small steps can make your rental property business more profitable. Remember that everything you do or fail to do for your rental affects your bottom line. While following the tips discussed, screen all tenants thoroughly. Landlord Prep will always be here to help you grow your earnings as a do-it-yourself landlord.

Want to be a successful landlord?

I offer you the opportunity to take a complete DIY landlording course: Landlord Prep: Video E-Course and How-To Tutorials. Everything you need to know to become not just a landlord, BUT A SUCCESSFUL LANDLORD, is here.