A key part of being successful in the rental market is a great marketing strategy
Successful property investors know that the real estate market changes all the time. There are ups, downs, high and low periods. One of the mistakes that can be made is picking the least effective time to advertise a property, often resulting in your investment being exposed to the market for months and sacrificing the weekly rental income along the way.
As Property Managers, we are often asked when the best time to lease actually is. From our experience, the rental property market has two main highs or peaks through the year: January/February and then again in the June/July period.
January & February months
For a long time, January and February have been known to be the busiest two months in the rental market and a Property Manager’s diary. It’s the time of year people are most on the move because lease agreements are ending, often associated with employment. This is particularly relevant to employees that work for government agencies. Teachers often have annual contracts that end at the end of the year, whereas Queensland Health doctors work on a February to January contract year.
Other lifestyle reasons for relocating in the warmer, summer months include settling kids into new schools and even young adults heading off to university or further education. Other times, it could be simply down to a fresh perspective for the time of the year – new year, new house, new location, new lifestyle!
June & July months
Roughly six months after the very busy January rush, the cooler months of June and July are the second busiest time in the rental property year. Mid-year university intakes have begun and other short six-month tenancy agreements are coming to the end of their scheduled term.
This presents an opportunity for landlords looking at the rental vacancy of their investment property.
How to Market Your Property
Periods of high rental demand are favourable to landlords – the only problem is, many more homes are also on the market at the same time, creating a lot of options for potential tenants. While timing is important to the success of filling your rental property with great tenants, it isn’t the only factor.
Competition is high so you need to ensure that your home stands out from the rest. It is important to note that these are not decisions potential renters take likely. Your property is going to become their home, potentially for many years to come.
To help achieve success in these busy advertising periods it is worthwhile considering ways that you can increase the desirability of your property. Consider if a fresh coat of paint or updating the kitchen appliances would be of benefit. Extra features and small improvements will set your property apart from all the others on the market and attract the right kind of tenants. This may also provide an opportunity to review and increase the rent, particularly if you are offering features tenants are willing to pay more for.
At the same time, it is important not to invest in unnecessary changes. To help with this decision, speak with your Property Manager about the demographics of the local area and that of your potential tenants. For example, if you’re property is situated in a family-friendly suburb surrounded by schools, an extra bedroom as opposed to a study may be attractive to your potential tenants who are looking to grow their family. Whereas, if you are looking to appeal to empty-nesters and retirees, a playground or pool in the backyard won’t add much value to the property.
Seek Expert Advice
Given that the market is constantly in a state of change, it is a good idea to seek advice from your Property Manager to find the best strategy for marketing your rental property.