In some parts of the country, renting out a home isn’t necessarily a seasonal activity. However, in Minneapolis, the rental market definitely has a busy season and a slow season. The timing is critical; when you rent your home out at the right time, you’ll earn more in rent and attract a larger pool of tenants.
No One Wants to Move During Winter
Minneapolis winters are not the most ideal time to load up a van and move from one house to another. There’s snow and slush, not to mention wind and ice. If you’re going to rent out a property in Minneapolis, don’t expect to have new tenants moving in during the months of December through February. Not only is it cold, it’s also holiday time and primetime for colds, flus, and other viruses.
This doesn’t mean you shouldn’t list your property during the winter months. Plenty of potential renters could be cruising the online rental sites on cold winter evenings, dreaming about a new home during the spring thaw. So, we recommend you continue to market any of your upcoming vacancies all year long. Just don’t expect to move anyone in during the middle of winter.
Peak Season: Late Spring and Summer Months
Landlords can ask higher rents and expect more tenants during the late spring months and the summer. These are the most active months for moves and relocations. People don’t like to move when they have children in school; it’s easier to move over the summer and if necessary, start at a new school the next year. With the increase in demand, you can ask for rents that are on the higher end of your range, unlike in the less popular months when you may have to lower your prices a little just to get someone in place.
Making the Most of the Rental Market’s Seasons
The seasonality of Minneapolis’s rental market is something to consider when you’re buying an investment property or executing your lease. You want to make sure that the lease renewal doesn’t happen during the winter, when you’ll have a harder time finding a tenant. So, if you’re signing a lease with a tenant in November, you might want to consider asking that tenant to sign an 18-month lease instead of a traditional 12-month lease. This way, if your tenant moves out after just one lease term, you won’t have to worry about finding a new tenant in November or December. Instead, you’ll be turning the property over in April or May, which will lead to a better tenant pool and a higher rental amount. Here at RP Management, we don’t end our leases November through March for this very reason.
With an excellent marketing plan, good tenant retention, and high-quality maintenance, you will have a successful rental experience at any time of year. Tenants are always looking for high-quality, well-maintained properties, so don’t worry too much about when you’ll be renting out a home. Instead, be prepared.
We can help you. If you have any questions about the Minneapolis real estate market or you need help with Minneapolis property management, please contact us at RP Management. We’d love to be your resource.