There is no precise formula to follow when you’re establishing a rental value for your Roseville property. The amount you can charge will largely depend on the market, and that’s more or less out of your control. The location, too, plays a big part in how much you can charge, and it’s not like you can pick up your property and move it to a more desirable neighborhood.
There are some elements you can control, however, such as the condition of your property and what it offers to high-quality tenants.
Here’s how to properly price your Roseville rental property. Make sure you have access to good data and a willingness to be flexible, especially if the market favors tenants who have a lot of options.
Conducting a Comparative Rental Analysis
To determine how much your rental property is worth, you’ll need to check out what similar homes are renting for in your neighborhood. Use comparison points that apply to your rental property as well as those you’re looking at. For example, you don’t want to measure your own two-bedroom, two-bathroom single-family home against a studio apartment in a building.
It’s important to understand your competition. If you price your rental home much higher than what you’re finding other homes are renting for, you can expect a longer vacancy. If you want to avoid those long and expensive vacancies, make sure you’re setting your price at or below what the competition is charging.
Property Location and Pricing
Location is incredibly important when it comes to real estate investing, and this is true with rentals as well as sales. Most tenants will want a home that’s in a good school district, and close to restaurants, grocery stores, entertainment, and parks. If your home is in a popular and desirable Roseville neighborhood, you’ll be able to charge more. If it’s in a more remote area, you’ll have to lower your rent a little bit to get a good tenant placed.
When you’re conducting your comparative analysis, pay attention to what properties are renting for in your specific neighborhood. Things can change dramatically just one or two streets over. You want to price your property according to the competition around it.
Property Condition, Size, and Amenities
Condition plays a huge part in what you can charge in rent. Tenants will be willing to pay a little more for a home that’s well-maintained, attractive, and has good curb appeal. They will not pay to live in a house that’s dirty, falling apart, or clearly neglected.
Size also matters. If you have a one bedroom studio, you’ll probably earn less than a three-bedroom, two-bathroom home. Consider your amenities as well. You can charge a bit more if you have updated appliances and new floors. If your property is in an HOA community with a pool or a fitness center, you can also ask a bit more.
Professional Roseville Property Management
For the best and most accurate pricing, work with a Roseville property manager. Zillow and other online sites are a good way to get a quick estimate, but it doesn’t show what the property actually rented for, and it doesn’t show how long it took the property to rent. To get those numbers, you’ll have to contact an agent or a property manager with access to the Multiple Listing Service (MLS). Some agents might do that for free, and others might charge a fee.
A property manager should do this for you if you’re planning to hire them to manage your home.
We can help you set the right rental price. For the best in leasing and management, contact us at Sunburst Properties.