Rental properties are one of the best investment options for anyone looking to build equity and have a regular source of income. There are tons of ways you can maximize your earnings to ensure that you get exceptional returns from such an investment. These are achieved through monitoring the property’s performance and making adjustments to increase profitability. Below are 5 ways to increase your revenue as a property owner. 
- Raise the rent
Increasing your rent is one of the simplest ways you can increase your revenue. You want to do this in a way that gets little to no pushback from your tenants. Adjusting your rent ensures that you keep up with market values and are able to take care of all expenses. Utility and management bills rise from time to time. It’s only fair that you also raise your rates to keep your investment profitable. This should be done considerably to ensure it does not strain the tenant. It should be within their budget. If you out-price them, they could leave and resort to live elsewhere. One of the best ways to introduce rent increase is by creating a provision for rent adjustment in your lease or tenancy agreement. This could be after every year. Potential tenants will see this before they move in. If they are okay with it, they will be prepared to raise their budgets and living expenses accordingly.
- Provide extra services
Providing additional services that are not available within the property is a great way to increase your revenue. For example, if tenants don’t have access to a unit-washer or dryer, you could offer laundry services onsite. This could be through coin-operated dryers and washers. Property owners have attested to this and claim that coin-based washers hold the potential to increase revenue by up to $250 per month. You can lease laundry machines from any appliance company near you. They should be able to take care of the maintenance, while you split the earnings with them. If you’re able to, buy the machines yourself and get an opportunity to keep 100% of all profits. Consider the cost of water and how near other laundry facilities are. Your onsite machines should make economic sense to your tenants.
- Let your tenants keep pets
A lot of tenants love having the luxury of owning a pet. Unfortunately, not a lot of dwellings are pet-friendly. Property owners have the opportunity of capitalizing on the needs of such tenants. With a pet-friendly property and established criteria for raising rents, property owners can increase their revenues tremendously. Consider charging a fee for taking care of the property. If the tenant’s pet causes damage to items, you can use a fraction of the security deposit to take care of the repairs. Remember that emotional support and service animals are not considered as pets. Property owners cannot legally charge tenants additional fees for such animals.
- Maintain the property well
As a property owner, you want to offer maximum value to your tenants by staying on top of your property maintenance duties. Tasks here may include repairing broken pipes, cleaning the gutters, repairing the air conditioning system, and changing air filters. This ensures that the property is in tip-top condition. It also prevents you from incurring heavy costs in the long-run and losing your tenants. Since the landlord doesn’t spend a lot of time at the property, it’s best if he/she stays in constant communication with the tenants to ensure that everything is running well. Landlords also need to educate their tenants on the importance of maintaining the property on their own. The tenancy/lease agreement should give adequate information on what the tenant is required to do. There should be consequences for neglecting tenant-required maintenance. Conduct occasional checks on your property and discuss with your tenants on areas of potential improvement. If you work through a property manager or best buyers agent, have them communicate to renters regularly to remind them to follow maintenance requirements. Their tasks could include things such as changing the air filters and repairing broken bulbs and fitments.
- Have a reliable team
While you and your tenants may do your best to keep the property in good condition, there will be times when you’ll need competent professionals to take care of repairs. These may include plumbers, painters, and electricians. Also, consider making friends with trustworthy vendors and contractors. They will be of help during emergencies and regular maintenance checks. The right people will keep your costs low. It also ensures that any operations carried out on the property are of high quality. In the long run, you save costs on having to correct a bad job. Having such people also ensures that you don’t waste time looking for someone who’s available for the job. You know just the right person to call.
I’m a 20-something stay-at-home mother and wife. I have an amazing husband, a beautiful daughter, two loving dogs, and a lazy cat. I wouldn’t change my life for anything! I love to read, listen to music, cook and blog!
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