The cost of filling a vacancy?

[Justin Monday]

Hello BP,

I want to know what you think about the true costs of filling a vacant unit. I am not looking for a number here as all regions are different in this respect. What I would like to know is what are the cost elements in finding a tenant. 

Thanks in advance BP!

[Thomas S.]

Costs are advertising and administrative (office and travel) time on the part of the owner. Gas plus ware and tear on their vehicle to travel to the unit. In addition any costs the landlord has regarding screening that are not covered by a tenant application fee. Some landlords also pay PMs or real estate agents to find tenants. Others use lawyers to deal with the lease.

Loss of rental income is not directly related to filling a vacancy. It is either due to a tenant not giving proper notice (the landlord would pursue that tenant for compensation), a landlord deciding to do renovations between tenants or simply shoddy business practices on the part of a landlord (can not blame that on a vacancy).

This would result in loss of rental income as well as the costs of utilities during a vacancy.