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Advertising is often the only way to attract qualified prospective tenants to a property. The methods property managers traditionally use vary from a simple sign in the window, to slick brochures, ads and mailers. What works best often depends on the type of property, competitiveness of the market, and even on the time of year. Many new landlords are surprised to learn that, on average, 54% of tenants respond to signs on the property and only 20% to expensive classified newspaper advertising. Today, however, more and more mobile people use the Internet to search for new jobs and housing in the next town before they ever leave their current ones.
Whatever advertising media are used, property owners must always be aware that housing discrimination laws apply to all forms of advertising relating to housing offered for sale or rent. Fair Housing Laws make it illegal to print or publish any real estate advertisement that indicates a preference, limitation, or discrimination based on race, color religion, national origin, sex, handicap, or familial status.
HUD has even selected 67 words that they believe should be prohibited in advertising for housing. They are listed on our Fair Housing Advertising page.
Vacancy Listing on the Web
The newest and perhaps the best way to advertise rental housing vacancies is to post them on a searchable vacancy listing site like RHOL's VacancyList.net (free posting and searching). The Internet allow, landlords, tenants, buyers and sellers to post their information directly into a searchable database that can be accessed by others from anywhere in the world. They can search for your listing by using keywords like: country, state, city, metro area, price, housing type, description, and a large number of other variables.
If you are a Landlord or Property Manager who also owns and/or manages commercial property, you should visit our HavesWants.com Web site.
Print Advertising
Newspaper classified advertising is the traditional medium used for rental housing. It should briefly describe and sell the primary benefits of the property, but must not contain any discriminatory language. Classified advertising should contain the following:
- Description of the rental property. (2 BR home- duplex-apartment )
- Features and benefits of the property (garage, basement, fenced yard, special discounts.)
- Price of the unit. (Stating the price will eliminate those who cannot afford the unit.)
- Address of building. (Including the address will limit your calls to those who want to live there.)
- Phone number to call for more information.
There is a real estate axiom that if they call on a for sale or rent sign, they probably can't afford the house; if they call on the price in the ad, they won't like the house when they learn the address and drive by it. Save yourself a lot of wasted time by always listing both the price and the address in your advertising.
To avoid charges of discrimination, property owners should adhere to the following advertising guidelines:
- Do not use words such as "desired" or "preferred." Using that kind of language can indicate a discriminatory preference. For example, "working females preferred" indicates discrimination against ... say, male dead-beats. "Singles desired" obviously indicates a discriminatory preference against families.
- Always avoid words that imply discrimination against families or children. "Security deposit for children," "adult building," or "retirement community" is generally discriminatory, unless the property qualifies as housing for the elderly by conforming to one of the few legal exceptions. See our Fair Housing Exemptions page.
- Do not use ethnic and religious connotation. An ad that reads, for example: "Village Manor Apartments are located near the Catholic Church," indicates a preference for Catholics, and implies that non-Catholics would be happier elsewhere. "Convenient to Chinatown" may indicate a preference for Asian tenants.
- Don't use photographs of people. Using people in advertisements can indicate a preference for the kind of person depicted. If a particular protected group is not represented in the advertisement, discrimination may be inferred.
- "Absolutely no pets" could indicate to a prospective tenant who is blind that you will not even allow seeing eye dogs. Using the phrase "no pet policy," is acceptable because it does not imply a strict prohibition against all animals. Besides, responsible but lonely older adults, who make great tenants, often fill their lives with caring for a pet. No Pet policies can therefore be expensive and short sighted. Check out the Special Marketing section below.
- Avoid discrimination in the selection of places to advertise. It is usually a good idea to place your advertisements in general circulation print media, read by the public at large. Newspapers targeted to Hispanic, Haitian, Korean, Polish, or any other group could lead to possible expensive allegations of discrimination. However, if you own property near a hospital, factory or college, there is nothing wrong with advertising in their newsletters. In fact, it is often the best place to advertise.
- Use the Fair Housing Logo. It indicates that you know and obey the law.
- See our Fair Housing Advertising page.
Other Kinds of Advertising Works Too
- For Rent signs are usually effective and are the reason most tenants apply for a particular rental unit. Friends and family of your property's neighbors are always your best prospects. For Rent Signs should be clearly visible, simple, attractive, and well-maintained, but they must not contain anything discriminatory. The number of bedrooms, the words: "For Rent" and a phone number to call is generally adequate.
- Apartment guides or magazines are effective in some areas, particularly for larger high end apartment complexes, but they are not designed to fill just one current vacancy. Guides are usually published monthly, printed on attractive glossy paper, in color, so advertising rates tend to be relatively high.
- Apartment locator and vacancy listing services can be effective in areas where such companies are well established, or in a high-vacancy rental market. These services typically charge the owner a fee for each successful referral. Fees can equal one-half to a full month's rent.
- Direct mail of flyers and brochures to tenants in other nearby properties can be an effective marketing tool. Although that may be upsetting to your competition. You can also post the material in supermarkets, stores, laundromats and other places frequented by area residents.
- Word of mouth advertising from existing tenants is often the best advertisement. If state laws permit, many landlords pay a finder's fee for each successful referral. Some states classify finder's fees as commissions, however, which may be paid only to persons holding a real estate license. Landlords who want to establish a referral payment program may be able to contact their local real estate board to learn whether finder fees are legal.
- Employers in the local rental market. Try to contact human resource managers to get permission to place notices on company bulletin boards or in workplace newsletters.
In a tight rental market many successful property managers advertise an open house at the vacant property and make a party out of it, rather than arrange for separate private showings. When several prospects show up together, they will occasionally bid against each other for the chance to rent an attractive unit and even pay more than the advertised price to get it. It is a good system if you are careful to always offer the property to the "first qualified tenant" who will pay the price, not the "most qualified." See our pages on Tenant Screening and Tenant Selection.
If you are an enlightened landlord who has discovered the value of allowing pets, cash in on it by marketing your pet policy.
Target your ads to pet owners by describing what pets you are willing to accept. If you allow cats and dogs, particularly large dogs, say so. Your pet policy itself will draw a large group of mostly responsible older tenants that are not welcome elsewhere. Use a picture in your advertising. Perhaps with a caption that you accept people too.
There is a great deal of new information on the value to landlords of accepting pets that is covered on our Pet pages. It will likely pay you very well to learn how the professionals are dealing with the issue.
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