WHAT SHOULD YOUR AGENT BE DOING FOR YOUR RENTAL?

Renting out a home is becoming the obvious choice for many homeowners/investors but realistically how long should your home be sitting on the market? Many agents are choosing to focus on rentals due to the difficulties they are encountering in the buyer/sellers’ market, however, you want to be sure that the agent you have representing your property is experienced in handling rentals. Every month that goes by is a mortgage payment coming out of YOUR pocket or money NOT coming into your pocket. Choosing the right agent is extremely important when it comes to listing your property.

MAKE SURE YOUR AGENT IS PRO ACTIVE

Many agents have a laissez faire attitude and wait for other agents to bring them the right renter. You want to make sure that your agent not only has the experience and connections to find you a quick renter but is also actively catching and pursuing leads. There are many marketing outlets available on the internet and no reason why your property should not be visible to all potential renters.

MAKE SURE YOUR AGENT CARES ABOUT PRESENTATION

Presentation of a rental property is something that I feel is often overlooked by inexperienced agents or agents that frankly just don’t care; they tend to feel that the ‘look’ of the home is not their problem and they couldn’t be more wrong. Aside from making suggestions pertaining to cosmetic improvements, staging, an agent should always be sure that the home is clean. Sounds simple but many times vacant homes can become messy looking just by the amount of visitors that are coming in and out, would your agent be willing to ‘tend’ to simple maintenance of the home? Smells are also important, they are the first thing I notice walking into a property.  Hot weather, carpeting, many vacant homes tend to smell ‘stuffy,’ would your agent consider buying an air freshener or would that be asking for too much?? Taking proper pictures is crucial to the marketing of your home. Pictures are the first impression of your property to potential renters. They don’t have to be professional grade but they shouldn’t be blurry and have dark shadows either. Make sure that you request to see the images your agent will be posting.

MAKE SURE YOUR AGENT IS FULL TIME

I understand that for many real estate is a part time job, however, you as the owner really need to understand what that means. There have been many times when I have called to inquire about a property for a prospective tenant and there has been no answer until later in the evening, if that, no reply to emails, which nowadays has no excuse. These are all leads that you’re losing because the agent you selected is unavailable during working hours. Marketing is crucial and unless the agent’s day job is very lenient are they really going to be marketing your property during their work hours? Probably not, your home will probably get marketed when they have time. The main benefit of hiring an agent to rent your property is to make your life easier and to get the job done quickly, make sure that your agent is doing this for you.

 

Property Leasing for Additional Income!

 

1. What does the process of leasing your home involve?

Well, that can depend on your needs. If you just want to do it all yourself, you can! You go get a “for lease” sign, you market your home in the newspaper, online ads, etc; screen your own possible tenants,  write up your own standard lease, that you can probably download from a reputable site and if you’re a handy person you can be in charge of repairs (depending on the terms of your lease agreement). For some homeowners, however, there just isn’t enough time in the day. The ability to utilize the knowledge of a realtor is much more desirable. A realtor can do all of the above for you, including referring you to a company equipped to handle any necessary repairs. 

2. How can I ensure quality tenants will lease my home?

You can’t, life happens, people that would otherwise be extremely responsible, sometimes are forced to do what is economically best for their own families. However, you can increase the probability that you will lease to a quality tenant by performing proper screening, consisting of: employment length; income and rental verification, as well as a credit report. A home is a very personal investment and it is very important that when you are leasing your own home that you or your realtor utilizes an efficient screening method.

3. How much will leasing my home cost me?

Again, that depends, if you decide to do this all yourself or utilize the services of a Realtor. If you handle everything on your own, you’ll be saving the payment to a realtor, which typically can consist of first month’s rent, or percentage of total monthly rent to be received, however; this will all depend on your home’s price, location, agreement between you and the realtor etc. You also have the property management fee, if you decide to go that route. However, there is always the risk that if you don’t follow the right procedures; lease agreement, proper screening, leasing your home could cost you much more. 

Listing Your Home: 0% Vs. 6% Commission

As a homeowner in this tough economy, you are no doubt looking to sell for the most amount of money and as quickly as possible. By now you are probably aware of the growing popularity of discounted commission being offered by many real estate agents. Why and who should be considering a discounted fee? What do you get with a discounted commision or flat fee listing fee vs. a full 6% commission?

The seller that should be considering a discounted fee will have to determine his/her needs and wants before making their final decision. They must also pay attention to their home and determine what type of marketing would be the best fit. If a seller is trying to earn back as much money as possible (not bringing money to the table) then a discounted listing would definitely be beneficial to his/her pockets. It’s very important for sellers to interview their agents and ask them exactly what type of services they will be receiving with a discounted/flat fee. Also, please keep in mind that a lot of the service you receive depends on the agent you select. Some agents are contempt with listing your home on MLS, complete with horrible pictures and never do anything else to “market” your home all for a full 6% commission. There are agents, who even though they are receiving a discounted/flat fee will go above and beyond. Money is money and it costs work to earn it!  However, if your home will require extensive marketing because it belongs on a higher end of the sales price bracket than you might want to consider the full price listing. The amount of work and agent’s money that goes into marketing a higher priced listing is more extensive because the numbers of potential buyers are limited.

Below you will find some Flat Fee Plans offered by VIP Premier Realty.