A large part of the Los Angeles tenant pool left the area when the pandemic arrived. If you were renting a home to college students, workers at Disney, or in the hospitality industry, you likely lost those tenants over the last year. While things are slowly returning to some type of normal, it’s still proving difficult to attract those tenants to your property. It’s a competitive market for property owners and investors, and that means you may need to offer some incentives to avoid long vacancies and deeper financial losses.
In today’s blog, we’re looking at some of the incentives you may want to offer so you attract high-quality tenants to your Los Angeles rental property.
Provide an Outstanding Rental Home
Start with the basics. Make sure your property is one those good tenants will want to rent.
You’re rarely going to find an incentive that makes up for a deteriorating home. Make sure that before you list your property, it’s in excellent condition. It should be clean, functioning, and inviting. Pay attention to curb appeal. Look for areas where you can upgrade without investing too much money upfront. New appliances are a good place to start or update flooring. Put a fresh coat of paint on the walls.
Additional incentives will only work if you have a great product to offer. Pay attention to details when you’re competing with other rental homes.
Offer Free or Reduced Rent
No rental property owner wants to give away free rent. It may seem counterintuitive to offer free rent or discounted rent to prospective tenants, but if that’s what it takes to get a good renter to sign a lease agreement, you should consider it. Apartment communities have long offered this incentive, and it’s something that can work. There are many different ways to utilize this incentive:
Offer one month of free rent with a signed lease.
Offer a discount on the first three months.
Ask for a lower security deposit.
Incentivize longer lease terms, charging less rent for a two-year lease agreement.
Programs like these will not hurt your bottom line as much as a vacancy that lasts two or three months. Get a good tenant in place and work hard to retain that tenant. You’ll be far better off than you would be waiting for a tenant who is willing to move in without a rent incentive.
Utilities and Other Incentives
You don’t only have to offer rental discounts. You could also include utilities in your rent. That might be exactly what some tenants are looking for. You could also offer free Wi-Fi for the duration of the lease, or include premium cable. These are unique features that not every landlord will offer. It gives you a competitive advantage when it comes to attracting good tenants.
If you’re struggling to attract good tenants even with your incentive program, don’t wait too long to seek professional help. With a Los Angeles property management company, you’re likely to find better tenants, and they’ll have programs in place to ensure your vacancy risk is as low as it can be.
We’d be happy to work with you. Please contact us at EGL Properties.