If you’ve chosen to invest in real estate, you’re likely always on the lookout for ways that you can see an even bigger return on your investment. Luckily, for people who choose to purchase an apartment and rent it out to tenants, there are quite a few ways in which you can maximize this investment opportunity.
To help you find some ways that might work for your exact situation, here are three ways you can make more money from your rental apartment.
Get The Right Tenants
One of the best and easiest ways that you can make more money from your rental apartment is to get the right tenants into the space. You’re losing money each month that you have a vacant apartment rental. So by getting good tenants in there, you can maximize your profits.
To ensure you’re able to get the right tenant from the get-go, Kelly Gurnett, a contributor to The Penny Hoarder, advises that you take the time to thoroughly screen tenant applicants before renting to them.
If you simply go with the first people who apply so you can get someone in the space, you might not have had the time to check that these people are responsible, trustworthy, have all the other makings for good tenants. When you do find the right tenants, they’ll get their rent paid on time, maintain the property, and present minimal problems for you.
Offer Additional Services
The more valuable you can make your rental property, the more you can ask for when it comes to rent. Aside from increasing the actual value of the property, you can make the apartment more valuable to tenants if you offer them additional services or conveniences.
According to G. Brian Davis, a contributor to BiggerPockets.com, some services you might consider offering could include property-related services like lawn maintenance or regular deep cleaning. Other options could include services that are more for the convenience of your renter, like babysitting, pet care, or various concierge services. Keep in mind, however, that you should only offer these services if they make financial sense for your investment.
Increase Rent With The Market Or Apartment Improvements
One easy way you can start making more money off of your apartment rental is to start charging more for rent. While this can be a fine balance to strike, especially if you already have tenants in the space, there are some things you can try to make this transition a little easier for your tenants to swallow.
If you’re going to consider raising the rent, Blake Hilgemann, a contributor to Money.com, recommends being strategic by increasing the rent either as the housing market becomes more expensive or as you make upgrades or improvements to the property. By doing this, your rent increases will be much more justified.
If you’re wanting to find ways to get more value out of your apartment rental, consider using the tips mentioned above to help you do just that.