How to Rent a House Quickly

So, you’ve bought your first investment property and you’re all excited about getting in there and rehabbing it to make it ready for your first renters.  Unfortunately, at the same time, you’re scared to death that you won’t be able to get anyone in there, or that it will spend months unoccupied, or your screening process will fail and your first tenants will wreck the place and skip out.

Never fear—even though you’ve heard these horror stories, usually from people who have never invested in real estate or tried being landlords, it is not that difficult to avoid these scenarios.  Here are a few tips to help you get on the right track, and get that property rented to good tenants as soon as it is ready for move-in:

• Advertise your vacancy IMMEDIATELY: Don’t wait until you’ve completed every step of the make-ready process; put that red FOR RENT sign up in the yard the same day that yard comes into your possession.  When prospects call in, describe what the house will be like after renovations, available move-in date, deposit and monthly rent.  Start building your list of possible renters so you can CHOOSE which tenants to accept when the time comes.
• Pre-qualify prospective tenants: Know the criteria you have for renters, and as interested prospects call in, ask questions that lead into whether or not they qualify to rent your property.  (i.e. – how many people will be living there? monthly income?) Be sure to get the phone numbers of qualified prospects.
• Schedule viewings 3-at-a-time: You should know when your property will be ready for move-in.  As possible tenants call in, schedule viewings of the finished property with 3 prospects at a time.  Some will never show up; for those that do, seeing other interested prospects makes the house more desirable.  This technique saves you time and increases your probability of renting quickly.
• BEST PRODUCT / BEST PRICE:  Don’t be miserly.  The rental property should not be dolled up by an interior decorator, but it should be adequately updated with fresh paint, like new carpets, and no noticeable defects.  Your rental property should be the nicest in the neighborhood.  If the other rentals in the area are going for $1,000 per month, rent yours for $985.  You may think you’re losing out on $15 a month, but when it rents 2 weeks faster, you’ll more than make up for it. 
• Screen Tenants: Make sure you have a thorough application (borrow or buy one—do not try to make up your own) and use a company to screen your potential renter, such as National Tenant Network (http://www.ntnonline.com/).  You just put a lot of time and money into your property—make sure you trust the people you’re giving the keys to.
• Sign a contract: Have a legally binding contract drawn up professionally, or buy a standard form that you can tweak.  Do not try to create your own contract from scratch.  Make sure you discuss the main points with your tenant before you both sign the final agreement.  Make sure the tenant is responsible for any damage he creates on the property—you are only responsible for repairs/maintenance due to negligence and bad luck. 

This is a very basic outline to rent your property quickly to good tenants.  Please share any other tips you have in the comments section.  For additional info and resources, go to http://www.landlord.com/ . 

Also, if you’re looking for properties to rehab in the DFW area, go to www.DiscountRealEstateDFW.com .

Good luck!