You have decided to rent out one of your properties but you cannot decide what the rental fee will be because you have no experience in being a landlord. If that is your case have no worries because we will present to you the factors by which you should decide what the rent of your property should be.
The first and foremost factor that determines the rental value of a property is its desirability. A well maintained rental unit is much more sought than a badly maintained rental unit. So the state of your property is the first factor that you should consider when it comes to the rental fee.
The next factor that you should consider is the prices of your competitors. Check various rental websites and newspaper adds to learn what is the approximate rental fee for a property like yours. This way you will get a better idea about the rental value of your property and won’t make the mistake of asking too much or too low.
The location of your property is another factor that affects gravely the rental value of your rental unit. For example if your property is located in a good neighbourhood you will be able to ask a higher rent than the average. On the other hand if your property is situated in a bad neighbourhood you will have no choice than to ask a lower rent than the average.
Next you must compare the incentive that you are offering to the incentives that the other landlords in your area are offering. For instance if the other landlords are offering incentives such as free cable television or internet and you are not you cannot demand the same rental fee as them. Alternatively is you are offering more incentives them your competitors you can slightly elevate your rental fee.
The terms of the tenancy agreement also affect the price of a rental unit. For example if your tenant is going to pay for the moving in and end of tenancy cleaning you can reduce the rental fee or ask him to hire professionals like Cleaners Surbiton, because you won’t have the invest any money in pre and post tenancy cleaning services. So when you are negotiating with a potential tenant always be flexible about the rental fee that you are asking.
The last factor that you should consider is the interest towards your property. The more people are interested into renting your property the higher fee you can ask and vice versa