Did you know that over 34% of households in Colorado are rented?
If you've invested in one or more properties, then you might be wondering what you should set the rent at. It's a balancing act because you'll want to get the most amount of money possible without scaring away all of your potential tenants.
Are you wondering what price is fair for each party? Keep reading to learn all about determining the rental value in Denver.
Location
"Location, location, location" is a mantra often associated with real estate agents. Whether someone is renting or buying, location will always be a huge factor in determining value.
As you decide on rental property value, you should keep in mind the location of your property in relation to other places of note. The closer you are to Denver's city center, the more you can charge. From the bustling nightlife to the convenience of having everything a stone's throw away, people will pay more for the best locations.
Amenities
Yet another factor to consider when determining rental value involves amenities. A fully-furnished apartment that has a washer and dry, a dog park, a tennis court, and more, will allow you to raise the rent. You can't expect tenants to pay more when they have to walk down the street to do their laundry, for instance.
Since the state of amenities often depends on how well people are treating them, it's a good idea to invest in regular rental inspections while you're at it. By maintaining the quality of the amenities, you can always rest assured that your rent value is justified.
Don't forget that the most reliable property management service can offer you a free rent analysis. That way, you'll have a much clearer idea of how much money you can bring in.
Competition
Did you know that Denver rental value is skyrocketing this year? Since the previous year, rent has gone up a whopping 15%.
If you don't keep up with other landlords, then you could be losing out on a significant amount of revenue. A tenant expects rent to go up with each leasing renewal, it's just a matter of how much.
It's always a good rule of thumb to see what the property value is going for in the surrounding areas. Being slightly under can give you an advantage, but it depends on your financial goals.
Ready to Determine the Rental Value?
Now that you've learned about determining rental value, you can find a price that makes you and your Denver tenants happy. Don't forget that setting the value is only the beginning. From tenant screening to maintaining the property, there's a significant amount of work involved.
Instead of getting in over your head, you can allow your team of trained professionals to do the heavy lifting on your behalf. We're ready to work with you every step of the way so that you can get the absolute best return on investment.
Feel free to contact us with questions.
