Quick: Think of one way to increase revenue for a rental property.
If you thought of increasing rent, you’re not alone. I was the same way until I started digging deep into the subject. Increasing rent is the easiest thing to consider, but it’s definitely not the easiest thing to do! For instance, your rental, no matter how great it is, only has a set value, and even though real estate prices are going up, rental values are not following that trend! Which makes the entire process of purchasing rental properties a lot harder.
So what do I do?
You have to change the way you think! Before I got into thinking this way, I was among the majority. When I thought revenue, I thought it was a synonym for rent. It’s not! Revenue is simply the amount of money that your rental property brings in.
But isn’t that the rent?
If you’re allowing your rental property to go untapped, than I suppose for you it is.
…I’ll just pause here and let that sink in…
Ok! So, what’s happening is this: You’re focusing on the stigma of being a landlord, and letting a ton of money go untapped because you’re not thinking like a Passive-preneur. Yes, you are technically a landlord, but does that mean you also cannot be a power company?
Solar power is quickly becoming a fascinating–and cheaper–alternative to grid-based power. It’s so good, in fact, that if you install it into your rental property, and then change you rentals so that you’re charging for utilities, you can become a private power company! And the best part is most power companies will actually pay you to stay on the grid!
Why would they do that?
Because power companies have a lot of things in abundance: Influence. Access. Money.
You notice the one thing I didn’t include in that list? POWER!
Power companies are in constant need of new, and increasingly cleaner, sources of power! So they’re willing to pay you to stick your property onto the grid after having panels attached, and any excess power you generate that you don’t use, will earn you a paycheck from most power companies. (Obviously you’ll want to contact them before making the investment, but it never hurts to ask, right?)
Benefits of this
Go back to thinking for me. Now, let me set the scene for you. You’re in middle of summer. Your tenants lease is coming up, and they’ve made it clear they don’t intend to renew. You advertise, but no one seems interested. Suddenly your property is vacant.
Now, someone not versed in the industry might think here, “So what, it’s vacant. Not like it’s costing you money!” and then give themselves a hearty pat on the back, and presumably walk into a bar for a celebratory drink for being so intelligent.
Those of us that know, understand that vacant properties have all kinds of expenses, including but not limited to just the taxes alone!
If you’re attached to the grid, and generating solar power, that doesn’t end when your tenant leaves, it simply sends more to the grid!
And if you passed elementary math class, you’ll pick up on that. Yes, you won’t be making as much from the grid sale as you would charging for rent, but it just might be enough to make that vacant property be a break-even property, instead of a debit property!
Any more ideas?
I have a ton of ideas, but you’ll have to wait for the eBook for the rest of them! It’s not quite finished yet, but I’ll be making a few posts here and there about it. If you don’t want that, but you’re still interested, you can shoot over to AmericanVillageManager.com and join the mailing list to be notified when the website launches, and also receive periodic email hints on this very topic!
I give very exclusive information to my mailing list, and only email when I have something useful for you, so get on that list, and get your rental properties paying you, even when the tenants don’t!