Scott's Weekly Column

On vs In the rental market

Our property management team has been on fire over the past few weeks with dozens of properties leased. There are many reasons why our landlords experience higher than average yields and lower than average vacancies , however, one of the reasons is that our team understand and are able to convey to our landlords the importance of attracting the best tenants with their rental property being “In” the market vs “On” the market.

In simple terms if there are three identical homes and two are for lease at $400pw and the other at $410 pw, then it makes sense that the two better value homes will lease first to the best available tenants. Some landlords will say, “Well that’s OK mine will lease next.” Well let’s consider that the following week another two identical homes become available for lease at $400pw, the next week another two become available for $400pw and so on and so on.

It doesn’t take a rocket scientist to work out that the home asking $410pw will stay vacant and not lease until the rental market rises, there is no competition or they accept a risky tenant.

Just like $10,000 in price may be the difference between a property selling or not, in the rental market $10 per week can be the difference between having a property leased or vacant.

If you’re looking for professional advice on your rental property why not contact one of the award winning Nolans property management team today, our advice is free but a bad tenant or a vacant property can cost you $$$thousands!!