Vacancies come with their own set of worries and expenses.
Even worse for most rental property owners, are turnovers.
During a turnover period, you’re dealing with a vacancy. No rent is coming in. Your tenant has moved out, you’re doing everything you can to get the property ready for a new tenant, and you’re counting the days until you can begin relying on consistent income again.
It’s more than the vacancy, though.
Turnovers are often expensive because they require maintenance. There are cosmetic issues that need your attention and normal wear and tear that needs to be addressed.
How can you keep these costs to a minimum?
We have some ideas, thanks to the turnover planning we do as professional Benicia property managers. If you have a solid plan in place, some great vendors in your network, and a commitment to working quickly to re-rent your property, you’ll find you can save some money during the turnover process.
Here are some of the best turnover tips we have for you.
Schedule Immediate Move-Out Inspections
In California, you’re required to offer your tenants a pre-move out inspection. This is a good opportunity for both of you, and it can help you speed up your turnover process as well as minimize the costs associated with it.
Encourage your tenants to agree to a pre-move out inspection by telling them that it will help them get their full security deposit back. During this inspection, you’ll talk to them about the things they need to do, and the damage and cleaning they need to take care of, in order to receive that full refund of the deposit.
You’ll also have a chance to look around and get an idea of what you’ll need to know. From this inspection, you’ll know whether you have to paint walls, replace carpet, and install new appliances.
Once the tenant moves out, don’t wait too long to get back inside your rental property. The sooner you can get inside, the sooner you can evaluate what the tenant took care of themselves and what you still need to do.
Examine the condition of the property and compare it to the condition of your property before the tenant moved in. You’ll make some decisions about the security deposit and you’ll get started on the turnover process.
Make Sure Your Preferred Vendor List is Up to Date
If you want to move through the turnover process without spending a lot of money and taking a lot of time, you need some vendors and contractors who are committed to you and your property.
This is one of the benefits to working with a property management company. We have relationships with outstanding professionals, and it means we get the work done faster and cheaper. These vendors appreciate the large volume of work we provide them and give us their best rates and discounts. They’re also willing to prioritize our projects, getting into our rental homes quickly.
Be prepared for the vendors you’ll need. You don’t want to begin looking for plumbers and painters when you’re ready to begin a rental property turnover. You’ll need to have relationships in place already. Look for reputable workers who are licensed, insured, and capable of providing high quality work. Your turnover process will be less expensive, faster, and more reliable.
Give Vendors Access to the Property
Time is money, and if you’re running over to the property every time a vendor needs to get inside to do some work during the turnover process, you’ll waste a lot of time.
Making keys for each worker who needs access to the home is also expensive.
Consider installing a lockbox or a keyless entry system. This will save you a lot of money during the turnover process and even into the future. When you’re ready to show the property, you can use the same simple and convenient entry system to let tenants enjoy self-showings.
Look for Opportunities to Save on Maintenance
The turnover process is an excellent time to take care of two things:
- Preventative maintenance
- Updates and upgrades
You can look for potential maintenance problems such as leaks, outlets that don’t work, and caulk that needs to be replaced. It’s a good time to change the air filters and the light bulbs. This is a good time to have the HVAC system inspected and serviced. Your roof should be looked at.
These things need to be done anyway. Doing them during the turnover period saves you money on repairs down the road. It also allows you to begin the next lease term with a property that’s in excellent condition. You won’t have to worry about repair calls and maintenance requests in the first few weeks or months of the new tenancy.
Making cosmetic upgrades will only take an extra day or two, and it will be well worth your time and money. New paint, fresh hardware on sinks and faucets, new knobs on drawers and cabinets, and new lighting in kitchens and bathrooms will all increase your rental value and the interest you generate in your property.
Be Consistent with Paint, Lighting, and Supplies
Most turnovers include a fresh coat of paint. As you probably know, paint is expensive. Use the same color of paint for every rental property you own. This will eliminate the need to buy different types and shades.
The light bulbs you’re using can also be uniform across all rooms and properties. Invest in the LED lights so they don’t have to be replaced as frequently. When you decide to upgrade from carpet to hard surface flooring, buy enough of the flooring to give all of your rental properties an upgrade at the same time.
Turnovers can often feel costly and time consuming. If you’re ready for them, however, they don’t have to completely cut into your ROI. We specialize in helping owners save money during the lease term and during the turnover period. If you’d like to hear how we can help, please contact us at Krystle Properties.
