On a weekly basis I receive at least one telephone call or email from a prospective renter asking…
“How low will the owner go on the rent for xyz unit?”
What renters need to know is that the agent does not make the decision for the owner. In many cases, the agent has signed an agreement with the owner stating that they will only present written offers. Verbal offers are usually not considered to be serious.
There are many factors that go into the process of monthly rental prices. Typically, it depends on the comps of similar rented units in the same building and in the same area, the actual “offer”, the credit and background of the renter, the owner’s motivation and more.
Insider’s Tips To Renting in Miami and Miami Beach:
- Similar rented units. In the MLS, we have records of what properties are renting for per month building by building. This data is broken down by many factors but most important we can typically get an “average” of how long it is going to take to rent and an average price based on that specific time frame. Owners are not basing their decision on guesses, most often they have data to back up their reasoning for price per month.
- The actual offer. What is the offer? Are you looking to start the lease in two weeks or one month? Chances are the sooner the better deal you are going to get. However this process has to be timed just right because you also need to allow for at least 1-2 weeks for the application process. Yearly rentals are of course more favorable than shorter term. If you are looking for a short term rental in Miami Beach, (not always but often)
expect to pay a little more per month. Also in Miami Beach, the season may affect your offer. In the high season owners will have more inquiries and better offers versus in the slow season.
- Credit and History of Tenant. The less risk you are to the owner the better deal you are going to get. If you have a history of bankruptcy, foreclosure, late pays and bad references from previous landlords, expect to jump through more hoops. They may even request more money up front or deny your application in total.
- The Owner’s Motivation. Some think that all of the owner’s in Miami and Miami Beach are desperate. This is just not true. Many of the owners that I work with are business women/men and have prepared. They know what the rents should go for and base decisions on data, not emotions.
Many are shocked to find out that it’s not a wild “Let’s make a deal game.”
Over the last 90 days in the general areas of the Biscayne Corridor 143 properties rented, Brickell over 300 units rented and in South Beach over 480. It’s very important for people to understand that generally speaking, it’s not cheap to live in South Beach, Brickell or Biscayne Corridor. If priced properly based on the current market comps, the property will rent. It may not rent for what the owner originally anticipated in previous year’s markets; it may not rent for what a renter feels is a good deal in today’s market….
However the property will rent if the price, location and condition are met on today’s market standards.
The compilation of listing and market data information is provided by the REALTORS Association of Greater Miami and the Beaches. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties are subject to prior sale or rental.
I do my best to double check for accuracy, however I am human and errors can occur. Please contact me if you find something that doesn’t look correct and I will be happy to look into it and correct if necessary.
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Do you have questions about this article or something else? You can reach me easily by email at jprezzi@atlanticbb.net or by phone at: 305-793-8965. Subscribe to MIAMI CITY DIGGS by Email
