Assessing Rental Rates Tip

[Trevor Martin]

Hi all,

I currently own three SFRs and I'm always looking to add more, but one of the most challenging aspects is determining how much rent a property will pull in. I wanted to share a site I've found very useful for quickly assessing rental rates; it's not mine, I am not affiliated in any way, I just use it a lot!

http://www.rentometer.com

Obviously you need to do more diligent research when looking at a rental, but this is a great tool to get a quick guesstimate when looking into a property.

Do any of you guys have special techniques in assessing potential rents?

[Kyle J.]

I'll check rentometer as one small part of my rental rate analysis. However, there are many flaws with it that you should at least be aware of. Mainly, the only criteria that it weighs when deciding if your rent is low, reasonable, or too high, is how many bedrooms there are. It gives no weight to the number of bathrooms, size of the house, condition of the house, or even if it's a house vs apartment. Those variables simply cannot be ignored when trying to determine an accurate rent amount.