What's the best way to accurately predict rental rates?

[Matthew Espana]

Hi all, 

I am looking to get started investing in long term rental properties. However, when analyzing deals what seems to confuse me most is determining accurate rental rates. Zillow offers Zillow rents, but I don't know how accurate those predictions are? Furthermore, in the area I'm looking to invest in, most zip codes have both very nice and not so nice parts of them so looking into the zip code does not feel as secure either. Can anyone offer any tips or advice on they're most sure what a house will rent for? 

thank you!

[James Dainard]

Quote from @Matthew Espana:

Hi all, 

I am looking to get started investing in long term rental properties. However, when analyzing deals what seems to confuse me most is determining accurate rental rates. Zillow offers Zillow rents, but I don't know how accurate those predictions are? Furthermore, in the area I'm looking to invest in, most zip codes have both very nice and not so nice parts of them so looking into the zip code does not feel as secure either. Can anyone offer any tips or advice on they're most sure what a house will rent for? 

thank you!

 Hey Matthew,

You can use Rentometer.com, they've got great metrics to get you more accurate numbers. You can also try reaching out to local property managers to see if they have any units nearby to give you an estimate of what you might get for your units.

Use the above in combination with a blend of data from Zillow and/or Redfin and you should be pretty close!

Best of luck!