How To Avoid Long Duplex Vacancies

said on August 26th, 2013 categorized under: Multi-Family Property Investing

for rentWhat’s the one thing you can do to make sure you don’t spend more time with a vacant unit on your hands than you can afford?

Lower the rent.

Yes, I’ve blogged about this before. And, to some of you, it may seem obvious that lowering the price (rent) would result in immediate occupancy. However, that is actually the biggest fear my clients who intend to occupy their duplex have.

They worry they’ll go months and months without tenants, emptying their life savings to cover the mortgage payment.

And I wonder if they are envisioning themselves as the world’s worst landlords.

If you have an empty duplex, and endless advertising on Craigslist hasn’t netted you a qualified tenant, one of two things is wrong:

  1. It’s dirty or dated and needs a face lift.
  2. The rent is too high.

After all, if you have a clean, well-maintained unit available for rent that’s $100 or $200 less per month than every other property in the area, do you think you’ll have trouble finding a tenant?

I doubt it.