Every investor and landlord wants to make the best of their rental property, especially when it is an HMO. These are such rental accommodations where multiple tenants live together in separate rooms and pay their own rent. Each landlord wants to cash on this opportunity of increased demand by charging more rents.
Landlords receive almost 50% more applications in summers than in winters. This happens because it’s time for students to get back to their colleges, universities, and schools. Besides, the graduates start to look for jobs, and some professionals move back to rental properties after spending wintertime with families.
Best Time To List HMO Property
As per research by HMO Property Designs, each landlord must start looking for tenants 60 days prior to the agreement’s end date. Moreover, the tenants also start to look for rental properties before summer arrives, i.e., spring. Therefore, advertise or list your HMO property in spring, so you have a higher chance of getting suitable rental applications.
It would help if you also consider discussing the renewal of current rental agreement with your current tenants. Whatever you decide, make sure you act proactively. As there are many HMO properties, especially near college campuses, you might have an empty property for a whole year if you delay.
Tips To Take Advantage Of Rental Peak Season
In order to reduce void periods and take advantage of rental peak season (the time when rental applications are maximum), here are some tips for landlords.
1. Make Sure Agreements End In Summer
As now you know that summer is the time when you will be getting lots of rental applications. Then you should adjust your previous rental agreements that end in summer. You can do this by signing 18-month agreements or so.
By properly adjusting your vacancy cycle, you will be able to generate more revenue and lesser void periods. All it requires is some experience and planning. Besides, it is the perfect way to take advantage of peak rental time.
2. Research About Current Rental Market
You need to do proper research before setting your property rents, especially when it is an HMO. Normally people expect HMOs to be lesser expensive than single-let property. You need to be sure of what other rental properties (both single let and multi-let) are offering to their tenants.
An easy method is to review listings of your area or meet local HMO officers. Rental demand dictates the rental amount new tenants are going to pay. Moreover, if you are renewing the current tenants’ agreement, you can increase their rent.
3. Talk To Current Tenants
Perfect tenants are not easy to find, and once you find them, it is better not to let them go. In HMO properties, tenants have to adjust with other renters living in a similar property. Therefore, with time they develop an affiliation with each other, which makes their and your time peaceful.
Thus it is better to have a one-on-one conversation with tenants about the renewal of their rental agreement. If they agree, that’s perfect. However, if they don’t, it’s time to make some changes to your apartment once these tenants move out.
4. Improve The Property’s Outlook
In peak rental time, though there is a high demand for rental properties but quality matters too. There is tough competition among HMOs to provide the best services, property, and rental prices to attract the best tenants.
Therefore, you need to pay attention to the outlook of your property and make certain changes. For example, make sure the kitchen is well-maintained, the apartment does not look dull, and it’s the best package renters can get.
5. Use Online Platforms To List Your Property
Technology has changed our ways of dealings, and renting properties is no exception. Generation Z, students, and young professionals look for properties online. Therefore, you need to use the best listing platforms for your property.
Also, make sure you add attractive pictures of your apartment that can grasp the attention of potential tenants. Start doing it in spring, so by the time people start to look for properties, your rental ad appears on the top.
Putting It All Together
As a landlord, you can take advantage of the peak rental time by following the aforementioned tactics. In this way, you will receive more rental applications, hence, more options to select the perfect tenant. Moreover, you will have enough time to check their rental history.