Hey guys,
I just settled on my first IP last week. Established (80's) townhouse in Oak Park with recent internal renovated kitchen and laundry, new paint throughout, new carpets, updated bathroom etc.
The property was left with the selling agent to lease.
I had rang around two or three other agents in the area, as well as run property, the selling agent "seemed" the best.
However I now have my reservations. When I signed the authority to manage over to them, the "principal" property manager suggested I start at $320 a week. A few weeks later, when the property settled, I did some searching and this now appears a little on the high side. There are brand new places popping up going for $340.
The initial open didn't get any interest.
The property manager allocated to my place has now suggested I drop the price to $280 per week as the market is a little "slow". I'm happy to do this however they also told me a few weeks back that another unit in the same block just rented for $290 per week, unrenovated!
So i have reservations now based on the fact that they went from $320 to $280 in the space of a few weeks, surely such a sharp decline in the rental market would be all over the papers ?
Not sure what to do here. I want the place tenanted, it is pretty much ready to lease, but a $40 per week drop is $2k over 48 weeks - quite substantial.
I also have reservations about the tactics used by the PM herself. They either falsely suggested an initial starting price to "butter me up" and get my business, or they were genuine, but incompetent, given a 320 to 280 drop over the space of a few weeks surely indicates they don't know what they're talking about ?
I just settled on my first IP last week. Established (80's) townhouse in Oak Park with recent internal renovated kitchen and laundry, new paint throughout, new carpets, updated bathroom etc.
The property was left with the selling agent to lease.
I had rang around two or three other agents in the area, as well as run property, the selling agent "seemed" the best.
However I now have my reservations. When I signed the authority to manage over to them, the "principal" property manager suggested I start at $320 a week. A few weeks later, when the property settled, I did some searching and this now appears a little on the high side. There are brand new places popping up going for $340.
The initial open didn't get any interest.
The property manager allocated to my place has now suggested I drop the price to $280 per week as the market is a little "slow". I'm happy to do this however they also told me a few weeks back that another unit in the same block just rented for $290 per week, unrenovated!
So i have reservations now based on the fact that they went from $320 to $280 in the space of a few weeks, surely such a sharp decline in the rental market would be all over the papers ?
Not sure what to do here. I want the place tenanted, it is pretty much ready to lease, but a $40 per week drop is $2k over 48 weeks - quite substantial.
I also have reservations about the tactics used by the PM herself. They either falsely suggested an initial starting price to "butter me up" and get my business, or they were genuine, but incompetent, given a 320 to 280 drop over the space of a few weeks surely indicates they don't know what they're talking about ?
