Many rental markets across the country have suffered during the COVID-19 pandemic, with rental values dropping, vacancies rising, and rent going unpaid. In Visalia, we have had much better luck. After a couple of uncertain months early in the pandemic, the local rental market has rebounded nicely, and we’re seeing an increase in demand for rental housing as well as higher rents than we had last year.
An additional benefit is lower turnover. People are more likely to stay in their homes than move, and that’s good news for owners who don’t want to deal with turnover and vacancy costs.
This is a great market for investors and owners, and while there’s a lot we don’t love about the pandemic (still), we can’t complain about its effect on the Visalia rental market.
Visalia Rental Prices
If you take a look at the data gathered by Zumper, you’ll see that rental prices are on average 17 percent higher in Visalia than they were a year ago.
There’s a large rental range, depending on the type of property you’re renting out. But, if your home is well-maintained and in good condition, you can expect to earn more this year than you did last year from rental income alone.
The demand for good rental housing has also increased, especially during the pandemic when people began spending more time at home. Tenants today are looking for functional spaces that allow them to work from home.
Less Turnover among Visalia Tenants
People are not moving as much as they did pre-pandemic. Usually, we see a turnover rate of about 80 or 90 units every month. Now, we’re down to turning over 20 or 30 units every month. Reducing turnover is great for owners who are trying to keep costs down. You won’t have to worry about long vacancies, and there will be less maintenance between tenants. With fewer people moving, you can plan on some consistency with your rental property and a higher number of lease renewals.
Adapting to Changing Property Management Technology
One of the best things to come out of the pandemic from a property management standpoint is the way owners, investors, and even tenants have embraced the technology that can lead to better rental experiences. Rent is almost exclusively collected online now. Maintenance requests are also made online. Showing technology has allowed prospective tenants to see homes on their own time, without an agent physically showing them the home. This is done securely with a digital lockbox or key.
Leases are signed electronically and everything is documented more carefully. We know that some Visalia property management companies were unable to stay in business during the pandemic, and we believe that’s due to their inability to adapt to a constantly changing situation with the market, the technology, and the needs of properties, owners, and tenants. We’ve always invested in technology at The Equity Group, and that’s helped us remain flexible during even the worst times.
It’s a good time to be renting out a home. People are recovering financially, stretching their incomes, and meeting their rental obligations. If you’d like to talk about how to leverage the market and our Visalia property management expertise, please contact us at The Equity Group.