Renting your house without an agent is empowering and can do wonders for landlords who want to save money in the entire process. Finding tenants for your rental property is what every landlord should do on their own rather than hiring a real estate agent. If you are starting out with the rental search process, you probably have a lot of questions on your mind including whether or not you should hire a real estate agent to rent your property.
Renting a property is not just about finding the tenants and collecting the rent. There is much more to the entire process such as carrying out property inspections, making timely repairs, claiming damages in case of a bad tenant, etc.
Here are a few advantages of renting your house without an agent:
It’s all about the money
Most agents charge between 7% to 10% for their services depending on the region. In addition to this, they also charge a setup fee when they first rent your property. If you rent your property without a real estate agent, you can save a hefty amount as you do not have to pay their commission. Instead of paying the agent, you can keep that amount and use it on the necessary repairs to upgrade your house.
Agents lose focus
Realtors make a commission that is based on the value of your house when they rent your property. This commission can range from 7% to 10% or even more depending on a few variables. More money you rent your property for, the more money they make. But this can lead them to lose focus from your deal as they’ll always focus on selling the most expensive property. With your realtors focusing on getting the expensive property sold, your house might not get filled for months leaving a hole in your pocket.
The internet is a great tool for people looking to rent their house without hiring agents. While looking for tenants through newspaper ads, ‘for rent’ signs, and flyers is still a viable option, most people looking for a rental property are searching it on the internet. You can reach thousands of potential tenants across the country by posting just one ad. Moreover, most real estate agents use only MLS (Multiple listing services) to find tenants for your property and only agents can list properties on MLS hence they miss out on multiple opportunities.
An agent may have the skill to find you prospective tenants when you rent your property but they may not have the necessary expertise to find you’re the best tenant for your property. An agent’s goal is to fill the vacancy in your house as soon as possible and they may end up finding a ‘good enough’ tenant which can lead to problems down the road. When you are the one screening the tenants and meeting with them, you can ask all the necessary questions that a real estate agent may not.
Knowledge of the property
No one knows your home better than you. A real estate agent will not be able to give potential tenants the explicit details of your home because they have not lived there. As a homeowner, you have an emotional connection with your home so you know exactly what to say to the potential tenants to make them interested in renting your property. You will be able to explain all the great features and amenities of your house. You have lived in the house so you’ll exactly how much the property tax is and how much it costs to use all the utilities. You can also show around public transport and nearby parks to potential tenants to give them an idea about the locality.
The truth of the matter is that you don’t need a real estate agent to rent your property. If your property is located in a hot renter’s market, hiring a real estate agent will be a bad idea. Moreover, there are multiple real estate listing sites such as minustheagent.com.au which can help you find potential tenants or your house just by listing your property.