May have price my unit to low

[Matthew Lindsey]

Hi,

I’m looking for opinions on my situation. I just recently bought two duplexes. One unit was vacant and we renovated the unit. We just listed the unit yesterday and have had a crazy amount of interest. I have been watching rental prices in the area for several months now. I thought the price I put on the unit was a decent price point compared to what I had seen. However I was contacted yesterday day by another investor that has a duplex just a few houses down and he stated he was getting more than that for his units that have not been renovated. That I may be at least 10-15% low. The problem now is that I already have showings for Friday now. Would y’all pull the listing and update the price or would you take this as a lesson learned and rent it at the list price then increase soon? We are going to just do a MTM lease on the unit. If you say pull the listing what do I tell the ones that are set up for a showing on Friday? Thanks for your input. 

[Scott M.]

No worries, this happens from time to time for both new investors and experienced.  Simply raise the rent.  You don't need to pull and wait a week, just raise it.  Email everyone that has contacted you and those for the showing and tell them in advance there was an error and rent is X.  Ask them to confirm if they are still interested or not.

Don't make a big deal out of this and they won't either.  You will lose some showings/interest but that is okay, the ones that stay are the ones you want.