QUOTE (magoomba @ Nov 21 2010, 12:02 AM) I have a nicely renovated 3BR main floor near Fish Creek Park that`s
not generating much interest at all.
Previously rented for $1350 (tenant paid the utils).
And that was before the renovations.
Now I have it listed for $1350 and utils are included.
Is it because nobody likes to move in the wintertime or do I need to price
it sharper?
I have ads on Kijiji and rentfaster.ca
Should I be posting elsewhere?
I would say the Calgary market is definitely softer than at any other point this year. My rentals are experiencing price drops of around 10%. The time of the year is definitely a factor.
Two examples for you...
In August I rented out a 4 BR house in Martindale for $1,475. Right now there are about 25 listings in the area with rents from $1,100-$1,600. I honestly think if I had to find a renter for it right now I would be lucky to get $1,300. House is in good shape, but it has no garage. I`m just glad I got the owner a one year lease, because with her mortgage she`s just about breaking even.
Second example is a townhouse in Mckenzie Towne. I rented it out also in August for $1,450 (with a well trained dog). My phone was literally ringing off the hook, and I had multiple applicants. Two and half months later I put a virtually identical unit on the market. I knew prices were down a bit so I priced it at $1,395. Great pictures, unit showed very well, and I was getting very few calls. I monitor the market regularly and saw that a couple comparables had been on the market going on their second month (vacant). I knew I had to price it lower than theirs as they would be getting desperate. I`m happy to say that we got it rented at $1,300 while the other rentals continued to sit on the market at $1,400.
It just goes to show that you don`t want to chase the market down, get it priced effectively and get it rented out. Be honest with the market and don`t think about what your mortgage is, worry about the market rent.