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Many people turn to Craigslist to see what rates to expect. If this is what you’re thinking, then you can see this article as an intervention. Stop.While Craigslist is great for finding tenants, it is not so good for determining rental rates. When your average amateur landlord is having a hard time finding a renter on Craigslist, they don’t usually work on their advertising or marketing or even try to provide more value to renters; they simply lower the price.Related: 5 Harsh Realities About Real Estate Investing Every Newbie Should KnowPeople go to Craigslist for the same reason they go to Walmart; lower price is more important than quality. You may not want these renters.If property managers are able to get more profit than landlords (they usually are), copy what the property managers are doing, i.e. using professional photos, offering amenities, including well-written house descriptions and employing websites for advertising. Whatever you do, don’t try to compete by lowering your prices. Add more value instead. People are paying you for the value your property provides for them. What do the most expensive places offer? Can you copy that and get the rates they do? Do rental agencies focus on a certain area? Maybe you should, too.
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