You’ve decided to rent out a room in your home to bring in some extra revenue. Or, you’re looking for an investment property to rent out. A few strategic tricks and worthwhile investments will ultimately nab you higher rental rates.
Here’s 9 ways you can rent your room for more.
- Buy an investment property close to a college: Forecasts show that there will be almost three million more students enrolled in U.S. colleges and universities in 2022 than were enrolled in 2012, according to Education Department projections. So, if you’re looking to purchase a property for the purpose of turning it into a rental, you can count on a steady stream of renters in the college town markets. Plus, rentals near a university rent for much higher rates than the surrounding markets. An analysis by HomeUnion, which is a residential real estate investment management firm, found that rent within a two-mile radius of a university’s campus is significantly higher. In some cases, off-campus homes close to campus rent for 80 percent higher than the market rate. Here’s 10 college markets that are especially hot.
- Reduce turnover: First things first, find a great tenant on RoomDock. If you can rent to, say, a PhD student who is looking to stay in the same rental for a few years, you’ll cut down on your expenses. Here’s why: With longer-term rentals, you scale back on the amount of time the room is vacant in between renters. Plus, you don’t have the expenses of patching walls, replacing carpet or bringing in a cleaning service in between renters.
- Raise rent strategically: While you want to keep rent affordable to incentivize a good renter to continue renting, you can check out rates on Roomdock to gauge market rates and see whether it makes sense to raise rent and then do so judiciously.
- Make some simple improvements: Take a cue from home stagers, and spend a day making improvements to the rental unit or room. A fresh coat of paint, an updated backsplash in the kitchen, new blinds, and replacing lighting with more modern fixtures are little extras that can make the rental instantly more appealing. If you’ve got some extra art, stage it in the home.
- Add furnishings: To truly set your rental apart from others, you can furnish a room with essentials that college students need, like a nightstand, bed and dresser. No need to invest in pricey furniture. You can apply the same “fix-and-flip” real estate tactics to furniture, finding a dresser at a thrift store, giving it a fresh coat of paint and replacing its handles with more modern hardware. Be sure to advertise the furnishings when you place your rental on Roomdock.
- Take good photos: Many college renters might not have time to check out a place in-person before they move in at the start of the academic year. That’s why it’s so important to take high-quality photos of your rental that accurately show the space you’re looking to rent out. You don’t need an expensive camera. Just master a few tricks from the pros: Use natural daylight by opening up the curtains to give the space a bright and open feel. Also, the best point-of-view is from a door or entryway, typically.
- Advertise selling points on Roomdock: Think from a renter’s perspective. That bus route that’s got a direct line to campus, for example, may be a huge selling point for students who either don’t have a car or don’t want to pay expensive rates to park on campus. Or, if you’re within walking distance of a cool coffee shop, be sure to make note of that.
- Add a few extra services: Unlike other sites, Roomdock allows you to add additional services that are of special interest to college students. For example, if you’re willing to give a campus tour, help your renter learn English or pick them up from the airport when they arrive to the states, you can advertise those extra services on Roomdock.
- Be strategic about the space you rent out: If you can include a private bath in the rental or can rent out a basement with its own entryway, those added amenities will likely set you apart from other rentals.