Have you recently purchased a buy-to-let property? If so, you are probably wondering how to market your property to attract tenants. First of all, you should consider the type of property you own to establish who your target market is. By doing this, you can establish the demographic you are aiming at to help you decide what they are looking for in a rented property.
There are a number of important factors to consider when targeting tenants, including the following five tips which will help you gain tenant interest and begin to reap the benefits of your investment.
- Location hotspots
If you already purchased your property, more than likely you will have conducted tenant research to determine where you should invest. For example, if your property is based in a suburban area – close to good schools and local shops, then you should be targeting families with young children.
It may be the case that you have a target tenant, such as young professionals, but are yet to find a property that suits this type of tenants. For assistance with your search, you could contact property experts like RW Invest, who specialise in central developments. These properties are ideal for the millennial market, as they are close to growing industries in Manchester’s MediaCity and Liverpool’s expanding industries.
- Amenities and perks
It is important to understand the needs of your tenants; therefore, you should find out exactly what they look for in a property. However, most property perks like high-speed Wi-Fi and parking are universal to all demographics, so if your property has these facilities, you’re already off to a good start.
Some properties offer more luxury amenities, such as gym access or a rooftop view. If this is the case for you, then this is a great way to keep ahead of your competition, while also allowing you to charge extra for such perks.
- Furnishings
While it may seem obvious that your tenant would want their home furnished, this is not true for the majority of renters. According to statistics, 60.21% would actually prefer an unfurnished property, although only 14% of properties cater to this request. This is where you can capitalise, especially if you are yet to furnish your property, as not only is it less work, but it will also significantly reduce your decorating costs.
Although unfurnished properties are in demand, you shouldn’t fret if your property has already been decorated, as more than likely you will have kept the decor simple and neutral. Tenants interested in this type of property are usually people looking to move in right away without having to worry about purchasing furnishings, decor and white goods.
- Landlord duties
When drawing up your tenancy agreement with a legal professional, you should take time to consider your landlord responsibilities. You can decide to offer very limited services, or if you want to take a hands-on approach, you can take care of everything from regular maintenance to collecting rubbish. Of course, if you take up the latter role, this will take up a lot of your time, but you can also charge additional fees which should be included in the rental fee.
You could even offer additional services like cleaning, renovation or repairs, which will attract tenants who do not want the responsibilities associated with homeownership. If you’re qualified in these areas, then you can conduct all these tasks yourself, however, usually investors’ hire contractors to make sure these tasks are properly fulfilled.
- Reasonable rent rates
Last but certainly not least, you must make sure your listing price is fair and affordable for your target tenants while making sure you receive your calculated profit. For instance, if you purchased your property with the intention of renting to students, then they will be on the lookout for a bargain. Therefore, your rental rate should remain low without affecting your profit margins.
If your property is situated in a sought-after location and has a variety of luxury perks, then you can raise your rental fee. This would attract business professionals and anyone else looking to rent a lucrative property in proximity to their place of work.