The Seasonality of Orange County Property Leasing

Posted: September 15th, 2010  

NO TENANT…NO INCOME. This is the most important rule of
residential real estate investing. Vacancy loss, or the amount of
income you miss out on because your property is empty, cannot be
recouped. With that in mind, it’s important to make every attempt
to LEASE DURING THE BUSY SEASON. In general you can expect that
busy season to begin in March with traffic slowing significantly
around Labor Day. Most people prefer to move over the summer;
ideally before the school year begins. Very few people enjoy moving
during the November and December holiday season. Owners who cannot
avoid leasing during the offseason must be a little more flexible
in their asking rent, lease terms, and tenant restrictions (by
allowing pets or non-perfect credit for example). To avoid being
stuck in a pattern of repeated offseason vacancy, Orange County
property managers and landlords should create lease terms that have
leases expiring earlier in the busy season. Additionally, they
should avoid allowing leases to continue month to month
indefinitely after expiration. Negotiate with your existing tenants
and offer incentives for them to sign lease renewals with
expirations during those months when you can confidently list your
home for top dollar and expect to get it. -Brian Donlyuk -Director
of Property Management

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