Rent Pricing Strategy? San Jose, CA

[Rong Liu]

Hi, Everyone,

What is your rent pricing strategy in San Jose, CA? 

I talked to a senior part-time landlord, who has several rentals in bay area and run them herself for 20 years. The ways she does is to price them much lower than the market and attract more people to apply, pick up the best carefully. She said, put yourself in their shoes, are you able to pay so high rent even you are a professional? What tenants are you aiming for? 

What is your strategy? Does lowering price attract more qualified and caring people if this property is located a little far from those high paid tech jobs? Did you increase your rent to your current tenants since the market price increases so much in the recent years? If so, how much and how often? Do you use longer term lease (more than 1 year) to "secure" a good tenant? Could you share your stories please?

Thanks and Regards,

Rose

[Jennifer L.]

@Rong Liu Hi Rose.  I think it is important to take care in pricing your rental.  I agree you should check Craigslist and Zillow.  (Watch out for fake Craigslist ads and don't price based on those!)  If you price too low, you will get inundated with emails and the people will be selling themselves to you.  If you are priced too high, crickets will chirp.  Take good pics of your unit and make sure you watermark them so that scammers don't steal them and try to defraud some poor soul.  Good luck!