How to Avoid Tenancy Void Periods in Challenging Times
Having your rental properties empty is tough for landlords and the current economic climate could mean that, not only might it happen more often, the negative effects are heightened. When you think how much having a vacant property for a month, two months, three months or more in a year will affect your profit margins, you understand why avoiding tenancy void periods is essential.
What Are Void Periods for Rental Properties?
Void periods for rental properties are simply an amount of time when there is no tenant and, therefore, no one paying rent. The ideal situation is to have new tenants move in straight after the previous occupiers move out, but this is not always possible.
There might not be enough prospective tenants looking for properties in that area, it could be a difficult time of year, there could be an economic downturn, as there is now, when people look to rent smaller and more affordable houses. There could be any number of reasons behind you experiencing a tenancy void period.
How Much Does a Void Period Cost?
The cost of a void period can include a number of different considerations. The major one being that the landlord is likely still paying the mortgage on the property during the unoccupied period.
The landlord might also have to heat the property if the weather is cold so that pipes don’t freeze and mould doesn’t form, for example.
There are also standing charges for energy, Council Tax bills to pay, any decoration that needs to take place and the fees to market the property too.
How to Avoid Tenancy Voids
Be honest in your description
When you market a property, be realistic and honest. Of course you want to sell the positives, but don’t promise more than it can deliver. If you do, you will be able to fill the property, but you might find that tenants do not renew because they didn’t receive what they were promised.
Keep up to date with maintenance
If a tenant knows that you will respond quickly to any issues with the property, they will trust you more and appreciate your efforts. If problems are left for months without resolution, they might feel instead that they should move elsewhere for a better service.
Communicate well
Good communication between landlord and tenant are essential for keeping relationships on a good footing. Being available and happy to resolve any concerns is another way to win over tenants and keep them in the property.
Think about marketing
If tenants do leave, you can cut down the amount of time between them leaving and finding the next occupiers by marketing the property as well as possible. Get great photos taken and write a compelling description. Allow prospective tenants to look around at times that are convenient for them, not just for you. And offer video viewingsso you don’t waste time showing the property to people who dislike it as soon as they see the inside. Some people will be able to tell if it’s really not for them from a virtual tour.
Balance the right rental price
Costs are going up for landlords, but they are going up for tenants too. So, when setting rent prices or increases, you have to balance your needs against your tenants’. If the rent is too much for them to bear, they will likely not stay in your property for too long, increasing the possibility of void periods.
How we help
Our property management services provide a professional approach to all aspects of renting your property, from tenancy agreements and renewals, to payments and maintenance. This improves the tenant experience and means that they are more likely to be satisfied with your property. They are therefore less likely to want to leave and cause tenancy void periods. Talk to us today about how we can help by contacting us using the box below.
