experience overpricing your rentals?

User Forum Topic
Submitted by gzz on October 14, 2020 - 5:57pm

I'm curious if any of the landlords here have an experience about pricing their rental too high at some point in the past.

What caused you to overestimate the rental price?

How long before you cut the price?

Submitted by Escoguy on October 15, 2020 - 9:25pm.

I've probably always slightly under priced, by say $100 but then get good quality.

I did have one recently, no 3/4BR SFHs were at the $4K price point in 92127 so I listed at that price and boom the next day 3 came on the market.

Still managed to lease out in five days with a $100 cut. I don't think big moves are needed, just be responsive. I find most tenants prefer to deal with landlord directly vs mgmt company. In 15-20 years, I may have to reconsider if I want to do that though.

Submitted by gzz on October 19, 2020 - 4:17pm.

4k to 3.9k is only a 2.5% price cut. The leading 4 seems to be more of a psychological barrier.

Submitted by Escoguy on October 21, 2020 - 7:56pm.

It is interesting, it's been a long time since I rented so when everything blew past the $3K mark, it was a bit of a surprise. Most decent houses are now in the 3.5+ range. So I expect 4K will become more common.

When I look for 4BR 2500 sf, I only see about 15 houses county wide less than $4k. So I'm guessing this will cause those with lower payments to stay put.

One tenant just gave notice of wanting out of the lease early, she understands she is obligated.

Have about 6 inquires in 1 day for a 3BR in 92127 4S at $3500.
So no issues with renting I think, had preferred to keep on the spring to spring cycle though.

Submitted by sdrealtor on October 21, 2020 - 9:50pm.

Offer an 18 month lease same rent guaranteed as a 12 month. Problem solved

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