How much should I set the rent on a rental home?

Question

Should I set the rent 1-2% of the appraised price or would 1 dollar per Sq. Ft. be better?

Answer 1

A good way to figure it out is,1st get an estimate of what the weekly salary of the typical renter would be in the area,they say (whoever "they" are) that your rent or mortgage payment should never be more than 1 weeks salary. If you make the rent too high it will be harder to rent and you run the risk of not having long term tenants,not a good thing.

Answer 2

This will all depend on the market condition. Check the local listings and see what the sq.footage for a similar home in your neighborhood is going for. Go to a property management company and check out the rates. Keep in mind that you have to maintain the place so keep some extra money per month for maintenance.

Answer 3

buy a newspaper and look in the classified section to see what the going rate is for your area. this will give you a starting point