The vacancy rate for rental properties in Oklahoma City has recently been a matter of concern. According to The Journal Record, Oklahoma City reported a rental vacancy rate of 9.4%, notably higher than the national average of 6.4%. With factors like local economic conditions, housing supply challenges, and shifting demographics or changing tenant
Every day, your vacant rental home is not only a loss of income for you but can also drain you financially. You still have to cover costs like mortgages, maintenance, and taxes. Over time, your empty property may lose appeal, making it even harder to attract tenants. Additionally, empty properties can become targets for damage or vandalism, adding to repair expenses.
But don’t worry—there are strategies you can implement to ensure your property stays rented year-round. With over 20 years of experience in property management, I have helped thousands of property owners successfully manage and market their properties.
In this article, I’ll share some simple but effective tips to keep your rental properties appealing and occupied. I will also discuss some marketing strategies you can implement to get maximum exposure to your property and bring queries, potentially tenants, too.
So, let’s dive in!
Causes of Vacancy in Rental Properties
First, let’s see some reasons why vacancy happens in rental properties.
- Bad Property Condition: If your property is not in proper condition, i.e., plumbing issues, broken fixtures, lack of security system, poor curb appeal, etc., then it can encourage tenants to vacate the place.
- High Rental Prices: Rental prices directly influence the vacancy rates in rental homes. Comparatively, high prices can immediately turn away a potential tenant or force an existing tenant to look for somewhere more affordable.
- Unsatisfied Tenants: Tenant dissatisfaction is a major cause of vacancies in rental properties. Obviously, tenants will not stay if their concerns are not properly addressed.
- Less Ideal Location: If your property is in a less ideal location, such as an area with high crime rates, poor access to amenities, or low demand, it may struggle to attract tenants.
- Ineffective Advertising: You may often fail to reach potential tenants due to a lack of proper marketing knowledge or poorly targeted ads, leaving the place vacant.
- Economic Factors: A booming economy can increase the demand for rental homes, whereas an economic downturn reduces people’s ability to afford rent, leading to lower demand for rental properties.
- Changing Market Trends: Changing market trends and tenant preferences, such as a desire for more modern amenities and eco-friendly features and buying whole houses or apartments for families, can leave vacant properties that lack these options.
Tips To Keep Your Property Rented Year Round
1. Set Competitive Rental Prices
When considering a rental property in Oklahoma City, monthly rent price is a major factor for tenants. This city is known for its affordable housing and economical living. Although rental prices have experienced a notable rise over the past year, they are still lower than the national average.
As of December 2024, the median rent in Oklahoma City stood at $1,074, which is 23.9% lower than that of the national average, i.e., $1,411. This shows that people in Oklahoma City often look at more budget-friendly houses. Higher prices can be an immediate turnoff for them, even if they like the property, and encourage them to choose another more affordable option.
To set a reasonable pricing:
- Research what other landlords are setting prices for similar properties in your area. Afterward, you will know what is reasonable and what is not.
- Try to be reasonable with the pricing and amenities you are providing. Better and upgraded amenities may increase the rental price.
- The 2% rule may be a guideline for property owners. Under this rule, you should set the rental price to 1% or 2% of your total property’s value. However, this is not a standard and can vary if similar properties nearby charge different amounts.
- But avoid underpricing, too, as the price may not cover the cost of maintenance, property taxes, mortgage payments, and other expenses.
As the economy and people’s preferences change, pricing also changes. So, it is crucial to research the market on time and adjust your pricing to stay competitive and profitable. By keeping fair pricing, you will attract new tenants quickly and keep your property occupied year-round.
2. Offer Incentives to Tenants
As a landlord, you have to be creative sometimes to keep your property occupied all year and prevent rental income loss. One such thing you can do is offer incentives. It is a simple idea but an effective one.
People love free things; it’s no secret. That’s why incentives can work wonders to attract new tenants or convince your existing ones to renew their lease and stay longer. Additionally, incentives can be a great way to stand out in this competitive market. It ensures your property gets more eyes and, potentially, visits.
Your incentives can include:
- Discount for first weeks/months for new tenants
- Discount for the existing tenants if they pay upfront rent for 2 to 3 years
- Parking benefits
- Coverage of utility expenses for a specified duration
- Welcoming Gifts, cash, or gift cards
- An upgrade like a new appliance
- A free professional cleaning
- No/minimal rent increases.
3. Keep the Property Well-Maintained and Secure
Poorly maintained property and unsafe living environment is another cause of vacancy in rental property. Nobody wants to live in a neglected property where safety and comfort are compromised.
On the other hand, it is often seen that properties that respond to maintenance requests quickly tend to retain tenants for longer periods of time, significantly reducing tenant turnover rates. So, be sure to respond to the tenant’s request quickly and make necessary repairs timely. You should even consider investing in upgrading the amenities or renovation if needed, to ensure your place stays occupied.
Additionally, security is a major concern and can be a turnoff factor for tenants. If your property is unsecure, it opens the door to theft, vandalism and other crimes. Having a sense of safety and security encourages the tenants to renew their lease for extended duration.
To keep your property well-maintained and secure:
- Regularly inspect the property and address the issues immediately found.
- It’s best to implement a preventive maintenance plan to ensure all things function properly and avoid any future breakdowns.
- Give proper attention to the property’s visual appearance, too, and invest in quality landscaping. An eye-catching curb appeal can help you attract potential tenants quickly.
- Ensure your building has solid security measures. Invest in good locks, cameras, and outdoor lighting, and build a proper fence around the building. A property that feels safe and cared for is more likely to stay rented year-round.
Learn more: Property Maintenance: How to Keep Your Residential Units in Top Shape?
4. Screen Tenants Thoroughly Before Approval
Tenant screening is critical in selecting reliable and long-term tenants and avoiding or minimizing frequent turnover.
How?
When you screen tenants properly, you gain valuable insights into their financial stability, rental history, and overall reliability. This information helps you choose reliable tenants who will pay rent on time and stay longer in your property. It also minimizes the chances of needing to evict a tenant, which can be costly and time-consuming.
While screening tenants, be sure to check for the following:
- Credit History
- Income and Employment History
- Personal References
- Rental History
- Background Check/Criminal Background
By doing so, you select tenants who fit your property well, creating a more stable and harmonious rental experience, reducing turnover, and ensuring consistent occupancy.
Note: While screening tenants, you can reject them if they are suspicious or don’t meet your criteria. However, it’s important to do so in a legal and fair manner, and you are required to strictly follow the Fair Housing Act.
5. Prioritize Tenant Satisfaction
Tenant satisfaction should be your top priority if you want your property to be rented annually. Happy tenants are less likely to leave. I mean, why would they? No tenant wants the hassle of finding and moving to another room for no reason. It’s too much work and costly unless you give them one with your negligence.
A survey by Porch shows that property owners receive an average of 6 maintenance-related calls from their tenants in a year. If you are a landlord who neglects or responds late to these requests, then there is a very high chance your tenant is dissatisfied and thinking of leaving.
To make sure your tenant is satisfied:
- Always be responsive and address any issues or concerns of tenants as soon as you can, if not immediately.
- Monitor their overall comfort and living experience. Enhance and upgrade amenities if necessary to meet their needs.
- If there are any disputes, try to solve them without conflict. Handle the situations professionally and respect the rights of a tenant.
- Show your appreciation to long-term tenants and make them feel valued with birthday wishes, loyalty discounts, gift cards, etc.
- Make the move-in and move-out process easy and seamless for tenants and assist if needed.
- Ask for tenant feedback to show your willingness to understand and improve the building’s overall living experience.
- Communication is key. Provide clear instructions and be honest and transparent. This will ensure your good reputation among the tenants and leave a positive impression.
6. Consider Going Pet-Friendly
Pets can cause different problems. They are messy, damage the property, or create difficult living situations within the building with their disruptive behavior. These are good reasons why you might restrict pets in your building. While these concerns are reasonable, you are basically minimizing the pool of potential tenants by not allowing pets in your rental property. Or should I say you are increasing the chance of leaving your place vacant for an extended duration?
How?
According to Datapandas, approximately 65% of Oklahoma households own pets, placing the state in the 8th position nationally for pet ownership. This indicates that people in Oklahoma City are big pet lovers, even considering them part of the family. If you have a no-pet policy in your rental property, it may be why your place stays vacant. Furthermore, FIREPAW reports that renters with pets tend to stay for longer durations, with some property owners noting tenancy lengths up to twice the average. This is because most properties don’t accept pets due to their nature. It can also be a challenging task for them to find apartments/homes that allow pets.
Accepting pets in your home significantly increases your chance of finding new tenants quickly who stay longer, keeping your property rented year-round. However, implement pet policies for keeping pets, as they can damage your property and cause trouble in the building.
7. Implement a Tenant Referral Program
Are you aware that your satisfied tenants can be your best advocates to attract reliable new tenants, too? Yes, your existing tenant can bring your new tenants while you sit in your home comfortably. But why would they do this?
Rewards!
Implementing a tenant referral program is a clever way of increasing the chance of finding a new tenant immediately after a tenant leaves and significantly decreasing tenant turnover time. It involves rewarding your existing tenant for bringing a new tenant to live in the building. This new tenant can be their family, friends, or any other person who needs a room or apartment.
As rewards, you can provide the following:
- No rent for one month for both tenants
- Discounts on rent for next month
- Cash or gift cards
- Free utilities for a month
- Upgraded amenities or appliances
But remember, you only give a reward for a successful referral, which means the referred person has to become a tenant.
8. Offer Flexible Lease Terms
Sometimes, not being willing to offer flexible lease terms can be a reason your place is staying vacant. Not everyone wants to commit to a long-term lease. Some are looking for short-term options due to temporary work assignments, educational needs, or personal circumstances.
According to the U.S. Bureau of Labor Statistics (BLS), 31.8% of leases were reported month-to-month in 2022.
While long-term leases are an excellent way to ensure stable income and reduce turnover, offering flexibility can attract a wider range of tenants and help fill vacancies more quickly. So, providing options for shorter leases or month-to-month agreements can ensure your home stays occupied quickly.
Flexible lease terms can include:
- Short-term lease(6 months or less)– For those who may only need a temporary place to stay
- Month-to-month lease
- Negotiable terms
9. Keep Up With Market Trends
Keeping up with the market trend is critical to keeping your property occupied and ensuring a steady flow of rental income. The real estate market can be heavily influenced by factors such as economic shifts, border disputes, tenant preferences, and local government policies.
Understanding these changes can guide you in making the right decisions for your property. You can adjust your rental prices, amenities, and policies to stay relevant and appealing in a constantly changing market by staying informed.
Tips to Market Your Rental Property for Maximum Exposure
1. Online Rental Property Listing Platforms
Online rental listing platforms are an excellent way to promote your property to a larger pool of tenants. With the growing use of mobile devices, most people search for things online, including rental properties.
According to a joint study by Apartment.com and Google, over 70% of people utilize the internet primarily while searching for an apartment. And 62% of those people begin searching using either a rental property listing site or a search engine.
Some online rental property listing platforms include Facebook Marketplace, Craigslist, Zumper, Zillow, Trulia, Apartments.com, and rentals.com.
To make sure your listing gets maximum eyes:
- Create a catchy headline and write a detailed description of your property. Keep it short and interesting.
- Upload professional and high-quality photos of the property.
- Be sure to highlight your best amenities.
- Provide contact information and also the location of the property.
- Be transparent and honest.
- Also provides a link to your property website if you have any.
2. Yard Signs and Flyers
You may think yard signs and flyers are old ways and not effective now. While they are old, they are still effective in spreading your word around your local area. Classic old “For Rent” signs in front of your property can still attract the attention of local passers-by and can bring inquiries if your property is in a busy area.
Additionally, distributing flyers around the local area, bulletin boards, or supermarkets can be another way to reach people in search of apartments.
3. Local Newspapers and Magazines
Another way of advertising your rental property is to place an ad in Oklahoma’s local newspapers and magazines. Reports show that 12% of the U.S. population still reads newspapers. This indicates that these traditional methods can still be an effective way to reach potential tenants and generate queries. Additionally, local publications are often targeted to people living in your area, making it easier to find tenants who are already familiar with the neighborhood.
4. Networking and Word-of-Mouth
Networking and spreading word of mouth within your local area can make you the topic of discussion among the locals. Encourage your friends, family, or colleagues to discuss your rental property. Additionally, building community connections and motivating current tenants to spread the word can help you find reliable tenants quickly, often without heavy advertising.
For this:
- Connect with Local Businesses
- Ask Your Current Tenants to Spread the Word
- Attend Local Events
- Join Local Online Groups
5. Social Media Marketing
With billions of active users monthly, social media platforms are a powerful and cost-effective way to market your rental property to a vast audience. You can reach potential tenants quickly and effectively through platforms like Facebook, Instagram, and Twitter.
To make the most of social media marketing:
- Create eye-catching posts
- Utilize Facebook marketplace and groups
- Respond quickly to comments and messages
- Consider running paid ads for a targeted approach
- Share reviews or testimonials from previous tenants
6. Property Management Companies
Hiring a property management company can effectively manage and market your rental property while keeping it occupied. These companies can help you handle all aspects of a rental property, from marketing and tenant screening to maintenance and lease renewals. It can be an ideal choice for property owners who own multiple rental houses, live far away, or simply don’t have the time to actively market and manage their rentals.
With 20+ years of experience in property management, OKC Realty Home Services can help you manage and market your rental homes effectively. Through our thorough tenant screening process, we will help you find reliable and qualified tenants as quickly as possible, saving you time and stress.
Conclusion
You understand that managing rental property vacancies in Oklahoma City is challenging but rewarding, too. With a rental vacancy rate significantly higher than the national average, you must proactively address the factors contributing to unoccupied properties.
By implementing the above-discussed strategies, you can reduce vacancy rates and foster long-term tenant relationships. Adapting to tenant preferences, embracing flexibility, and utilizing effective marketing tools make your property stand out in a competitive market.
Remember, your rental property is not just an investment. It’s an opportunity to create value for tenants while securing steady income for yourself. Start applying these tips today to maximize your property’s potential.
