Chattanooga has become the jewel in Tennessee’s crown in recent years.
The city is growing and has seen an influx of residents moving there to seek work and live at a slower pace than they would in larger cities.
As RENEW Real Estate Services, a property management company in Nashville says, this location seems to offer the best of both worlds: the convenience of city living combined with the quintessential tranquility of country living.
Downtown redevelopment and having large corporations set up have made it the place to be.
If you have been considering investing in rental real estate, here is some advice:
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Understanding the property market
There is a massive rental home sector in Chattanooga, as renters occupy nearly half the city’s homes.
That works out to over 35,000 homes that have tenants living in them.
The average home in Chattanooga sells for about $235,000, and landlords charge a median rental fee of just over $1,000.
As there are so many rental homes there, finding a reliable property management company in Chattanooga should not pose a problem.
Organizations with established reputations and proven records for outstanding customer services can be relied on for the best possible investment experience.
Among those available are agencies like Evernest, Key Renter, Auben management agencies.
Many landlords balk at the idea of paying a property management company a percentage fee each month, citing it as an unnecessary expense.
However, some have learned the hard way that hiring a property management company is akin to buying insurance as you will not miss it until you need it.
Keyrenter Property Management Chattanooga offers its clients rigorous screening processes and handles the day-to-day minutiae of owning a rental property.
Getting professional help
While searching for rental homes to buy, investors should work with a reputable real estate agent. Having someone on the ground in an area is advantageous.
These agents have an extensive network of connections and tend to hear about properties being up for sale before they get listed.
As there are currently more buyers than homes for sale, such early intel allows investors to make the first offer and snap up desirable properties.
Being a landlord comes with many obligations and responsibilities. Those new to the industry find that getting some help makes adjusting to the idea of being a landlord easier.
Experienced rental real estate investors rely on Newman Knight Frank to perform tasks such as rent collection, repairs, and enforcing a rental agreement’s terms and conditions.
Choosing a suitable property
Any property investor worth their salt knows that decisions about buying rental houses should not be entered lightly.
Several factors require the buyer’s attention and consideration before making a final commitment to purchase.
Buying rental homes is different from purchasing a residence. The latter has some emotional strings attached to it, whereas the former should not.
As a landlord, decide what kind of neighborhood you want to become a rental property owner in. Those in the know would advise middle-class suburbs.
Lower-cost areas might cause problems due to crime or tenants who cannot afford to pay rent.
Upscale neighborhoods seldom attract tenants as people who can afford such high rental costs tend to buy properties.
Chattanooga’s most exclusive neighborhoods are Southside Gardens, Martin Luther King, and Fort Wood Lincoln Park.
Those investors looking for mid-range prices should consider areas like Red Bank, Audubon, Avondale, Brainerd Hills, and East Brainerd.
More affordable neighborhoods where property prices are below average include 21st Century, Hilltop, and Ridgeside.
Marketing
Advertising a rental property is an essential part of the process. Without it, no one would know that you own a home you wish to rent out to tenants.
Many property owners make the mistake of not taking listing a rental home seriously. To attract the right kind of tenants, you need to advertise the property correctly.
Most people search for property online, so you should utilize online platforms for marketing your home.
Professional photographs are recommended when preparing a listing as poorly-lit, blurry pictures will not do the home justice.
A written description is added to each listing and should offer the reader information while making them want to find out more.
Finding perfect tenants
Most rental property owners agree that the best tenants are those that pay on time and stay long-term.
They are less inclined to cause unnecessary property damage or make unrealistic demands of their landlords.
While such tenants may sound like unicorns, they do exist. The easiest way to find ideal tenants is to look for families with young children.
Parents wanting to provide their kids with a stable environment and education will not want to move frequently.
They also want to teach their children to do the right thing, which excludes willfully damaging someone else’s property.
Rental management companies have a pool of applicant tenants that they start contacting as soon as you agree to work with them.
Agents understand your needs and work hard to match you with perfect tenants.