The Pitfalls of Rental Open Homes

It’s becoming more and more common for real estate agencies to conduct rental property open homes, particularly when vacancy rates are low. Some property manager's suggest that open homes are a good way to handle the demand and manage the enquiry. But what do prospective tenants think about rental open homes and how do they affect you as a property investor?

The Advantages

Time saver
It’s a good way to save time for the property manager and agency

Competition
Tenants may act more quickly with the applications if they know there is plenty of interest

The Pitfalls

Your time or mine
On average tenants have between 7-14 days to find their next home if they are asked to vacate their current property at the end of the lease term. They may not wait up to a week for an open home? and they will more than likely move on to the next agency/property?

Every week counts
If open homes are set weekly, how much rent is lost between inspections? For example, if the open home is on a Friday and a tenant enquires on a Monday, the rent is $300 per week, you have just lost up to $300 in rent. Worse still you set the open home, wait a week and only have one tenant on the list to inspect!

Now or never
Visitors to Launceston will often be here for a weekend or a few days in search of a rental property. Is your property manager turning them away because the open home is set for another day? If so your potential tenant will without doubt go to the next real estate office in search of better service.

All squashed in
If you have several people going through a small to medium home, it will often feel smaller than it is, if space is a concern to prospective tenants, they may choose another property over yours.

Can I inspect today
If a prospective tenant walks into an agency and wants to inspect a property, the property manager should do whatever it takes to arrange an inspection that suits the potential tenant, many people work long hours and need appointments after 5pm or on weekends.

Tenant Loyalty
Tenants have become accustomed to higher standards of housing and they expect a higher level of service. If they don't receive it from one agency they will simply move on to the next. When they find the service they are after they remain loyal. A very good way to find out how your property manager services potential tenants is to secret shop them, enquire as tenant seeking a property....see how you are treated on the other side!

The team at @home property management solutions we will always meet the demand of your prospective tenants by working with them and for you!