Rental Market Theory

[May Navamon Aunaetitrakul]

Hello,

So, I’m an experienced real estate agent with leasing agent background. I’ve had couple of listings now where people just apply before even seeing in the unit. I’m used so summer market being hot but wow…this year is really something. Anyone with interesting insights in this? Would love to hear your thoughts. I’m in Chicago area, by the way

[Nathan Gesner]

Quote from @May Navamon Aunaetitrakul:

Hello,

So, I’m an experienced real estate agent with leasing agent background. I’ve had couple of listings now where people just apply before even seeing in the unit. I’m used so summer market being hot but wow…this year is really something. Anyone with interesting insights in this? Would love to hear your thoughts. I’m in Chicago area, by the way

I've been seeing it for years. People are moving from other areas and they know rentals are hard to come by. They apply based on pictures/description without setting foot inside the unit.

It's usually not a problem but you need to protect yourself so they don't show up and cancel because they realize the bedrooms are too small, they don't like the paint colors, it's too dated, they don't like the neighborhood, etc. When someone applies for something without seeing it, the first thing I do is call them and give them a heavy warning that their deposit is non-refundable if they show up and change their mind. When they pay the deposit, I make them sign the following clause:

MOVE-IN CONDITION. Tenant acknowledges the rental was represented through marketing materials designed to attract applicants for in-person inspections. Tenant was given the opportunity to inspect the rental prior to signing this Agreement. Tenant elects to accept the property in its current condition and/or they are waiving their opportunity to inspect, at their own choosing and for their own convenience. Landlord shall not be obligated to clean, decorate, alter, repair, or otherwise improve the rental, either before or after the execution of this lease, unless agreed to in writing as part of this Agreement.

I have dozens of people renting every year without looking in person. My current procedure has virtually eliminated all problems.