Is it possible to raise rental income without raising the rent? Many rental property owners rely on a range of simple strategies designed to increase rental property income without raising their tenants’ rent. And as a Davie landlord, you too can make more money than just collecting rent. Here are a few proven methods to raise income and avoid asking your current tenants for more money. Use them to maximize your cash flow on every rental property you own as a Davie landlord.
Reduce Monthly Expenses.
One of the key tasks to increasing rental property income is to analyze your monthly rental expenses for areas where you can reduce costs. So, for example, if you haven’t checked landlord insurance rates in the last year, it’s advisable to shop around for a lower-priced policy with similar benefits. Landlord insurance does not have a fixed price. This is because it depends mainly on the size, value, and location of your Davie property. And also, on how much coverage you believe you need. On average, Florida landlord insurance costs around $2,400/year, which is more than in other states due to the increased weather-related risks in Florida. However, with features like burglar alarms, gated access, and fire sprinklers, you can often reduce your monthly expenses.
Hire a Property Management Company.
Another great way to help reduce monthly expenses is to hire a good property management company. It might appear like a paradox, but hiring a property management company can genuinely reduce your maintenance and repair costs. The truth is that timely and comprehensive property inspections and maintenance significantly reduce the cost and number of emergency repairs. They save clients time and money with cost-effective, reliable maintenance and in-house repairs. And also using preferred vendors with greater economies of scale. From evictions and managing troublesome tenants to marketing and understanding legal issues, they know what works in Davie. They know what the going rents are and how to get more from your property—with less interruption for you. They have the knowledge, licensing, and insurance to save you money and avoid costly mistakes.
Charge Pet Rent.
If you currently do not allow your tenants to keep a pet on the property, try changing your policy to allow for a “pet rent.” Even though this will increase the total amount your tenant pays every month, pet lovers are always willing to do so if it means being able to keep their beloved animal on the property. You can even factor in extras, such as a cleaning fee, to cover additional costs when preparing the property for a new tenant.
The advantage of a pet rent rather than a pet deposit is that a pet rent is a recurring income. Since pet rent is paid on top of the monthly rent of a pet owner, it can be a stream of regular supplementary income for pet accommodation. Pet rents range from $50 to $100 and should be stated in the lease and agreed upfront. This simple arrangement can raise rental income without raising rent.
Rent Out Your Unused Garage, Shed, or RV Space.
Large storage complexes typically charge far more than most people want to pay and sometimes even long-term contracts. Many individuals will likely prefer a secure storage space close to home. So, if your property has an unused garage, RV space, or shed, why not rent them out separately? If you can rent your unused storage areas for less than the going rate, you can secure extra income in your pocket every month.
Offer Upgrades!
Many a property owner has considered offering additional services and upgrades to busy tenants. With demanding work schedules and hectic lifestyles, amenities that facilitate a tenant’s situation, at an additional fee – may be welcome. There are a variety of simple services you can offer to tenants, such as internet service, alarm service, cleaning, lawn care, or even laundry services. If your tenants are stuck with outsourcing such services, they may jump at the chance to get all they need from their landlord or property manager. A simple fee-per-service model can raise rental income without raising rent.
Consider Furnishing Your Rental.
While you may have opted to rent out your unit unfurnished in the past, there are compelling reasons to consider investing in limited furniture and amenities. There are many benefits of furnishing a rental property. If done right, it can reduce vacancies, attract better tenants, and raise your rental income without raising rent too much. Furnished rentals usually go faster rather than unfurnished ones. This also allows you to attract corporate and cross-country tenants looking for a good quality rental home. If you’re struggling to reach a new renter demographic and raise rental property income, furnishing your rental property can be a great solution.
How We Can Help?
Are you looking for ways to improve your rental’s monthly cash flows? Contact Real Property Management Premier online or call 954-362-5235. Our property management professionals can help ensure that you maximize your property’s potential for the highest possible monthly income.
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