The Harrisburg rental housing market is an investor's dream right now. According to a news report published by PennLive, a vacant rental apartment attracts about 14 renters.
Although the rental market goes through cycles, it's clear that the demand is always strong in this city. However, this doesn't necessarily mean your rental will magically get tenants. If you don't have a rental leasing strategy, expect a low occupancy rate.
Arming yourself with innovative leasing methods is the surest way to capitalize on Harrisburg's vibrant rental housing market. Read on for a few effective rental strategies you can deploy.
1. Flexible Lease Terms
Tying down tenants to long-term lease agreements is a natural trend for most new landlords since it helps reduce tenant turnover. However, while such leases have many benefits, they can work against you in certain market conditions.
For example, if your target market comprises younger people, long leases might not work because this demographic lovers to house/neighborhood hop. Offering flexible lease terms instead will make your property more attractive to them.
A short-term lease - no more than one year - is a good offer, but don't shy away from month-to-month leases if necessary.
2. Do Away With Punitive Lease Conditions
As a landlord, you must protect yourself from the financial risks that may come with having a tenant. You can build certain terms and conditions into the rental lease to minimize that risk.
For instance, you can levy fines and other charges on things like intentional tenant damage. If a tenant destroys the locks to gain access, they surely need to pay for replacements and repairs.
All good, but some landlords go all in, sometimes introducing conditions that renters might find punitive. For example, being quick to charge a late rent payment fee on a tenant who's otherwise never missed a payment can appear to be a punitive measure, and they can resolve to move out when their lease expires, or sooner.
3. Offer Lease Incentives
In a market with strong demand, you have the luxury to sit back and watch as renters circle your rental. You can offer the bare minimum and still get a tenant paying your asking price.
However, when market conditions change, you have to up your tactics and employee creative tenant attraction. Consider throwing in some incentives, such as a 5% discount if rent is paid on the first day of a new month.
Lease renewal incentives also come in handy when you don't want a good tenant to leave. Examples of ideal incentives include:
- Property upgrades and improvements without a rent increase
- Rent-free month
- Rent reductions
- Rental rule adjustments, such as allowing pets if there is a ban
Gain a Competitive Edge With Creative Rental Leasing
Leasing your Harrisburg rental shouldn't be a task that gives you sleepless nights. Whether your current need is to attract tenants or retain existing ones, these creative rental leasing strategies have you covered.
If you'd like to get a helping hand, the experts at Hometown Property Management are ready. As a local full-service firm, we help Harrisburg landlords market, lease, and manage their properties.
Contact us for more information on how we can help keep your property occupied year-round.
