Many single-family rental property owners think it favorable to provide certain amenities to their tenants. Lots of Timbergrove property owners have begun to consider if they need to introduce amenities like internet and cable television service including utilities like water, sewer, and even electricity in the cost of the rent.
And most certainly, in a number of occurrences, doing so is not simply a way to make a rental home more competitive, but in addition, to more freely captivate tenants. At the same time, most renters may not desire or require the amenities offered, which risks you losing out on potential applicants. Realizing what your target demographic likes, and which amenities are logical in your local market, is essential to selecting the most inviting options for your rental homes.
In several markets, giving amenities would be either assumed or bestow your rental home a competitive edge. It may also allow you to charge a higher rent. In a location with a high number of young professionals or retirees who rent, there may be a strong demand for “all-inclusive rentals,” or properties that offer not just a house, but additional services as well. Adding cable and internet services as well as utilities may be just what they are seeking for. Specifically, if you prepare to rent a property to more than one individual, providing such amenities can eliminate conflict and let your tenants prevent quite a lot of the more typical issues of renting a home. In such cases, you may readily raise the rental rate to cover the costs of each amenity, a higher rate that tenants like these will readily finance.
On the other hand, providing amenities like cable, internet, and utilities may unlikely be appropriate in some markets or for some demographics. Heedless of the increasing popularity of internet service and cable television, not all renters prefer or need it. For these tenants, being sought to pay more for a service they don’t want just might drive them away.
Countless renters yearn to be able to determine for themselves whether they should pay for these types of amenities, as well as the freedom to choose their own service providers. This could be the same as utilities, moreover. In many locations, exactly those with more than one option for utility service, tenants may choose to set up and manage their own services with the provider of their choice. These grant tenants more sway over how much they pay for those utilities, also, rather than paying a fixed sum included in their monthly rent.
There are both benefits and disadvantages for property owners themselves. Setting up cable, internet, and utilities in your name give you more control over the services available or installed on your property. Rather than struggling with abandoned satellite dishes or other paraphernalia, a property owner can warrant that utility or other amenities are not creating an eyesore or damaging their valuable property. Paying all the utilities could similarly render you a larger tax deduction on your income tax return, which can help reduce your tax liability.
Still, irresponsible tenants may run up a utility bill, figuring they won’t be paying for the extra charges anyway. Furthermore, signing up for internet and cable service typically involves some up-front costs, which should be arduous for a landlord to recoup through higher rent. As the account holder, you will moreover need to make sure the bill is paid each month, no matter whether your property is leased or not. Either condition can significantly impact an owner’s cash flows, at least in the short term.
After reflecting on all the pros and cons of offering cable, internet, and utility services, the ultimate choice of whether to give them or not is yours solely to decide. Each circumstance is not ever the same, which is to say there is no one definite answer. Moreover, with correct and helpful information, you can boldly choose the option that is perfect for you.
Open to leaving that choice to the professionals in the industry? Contact a professional Timbergrove property manager today. At Real Property Management Heritage, we make it our business to be of service to you and help you win in the real estate investment game without all the trouble. Contact us online or call us at 832-449-5263 today.
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