1. What is Rental Estimate?

A rental estimate calculates the approximate monthly rent for a property by comparing it to similar properties in the area, adjusting for differences in features and amenities.

2. How Does the Calculator Work?

The calculator uses the average of comparable rents with feature adjustments:

Where:

• \( \text{Rent}_1, \text{Rent}_2, \text{Rent}_3 \) — Monthly rents of comparable properties
• \( \text{Feature Adjustment} \) — Dollar amount to adjust for superior/inferior features

Explanation: The calculator averages comparable rents then adjusts for differences in features like square footage, amenities, or condition.

3. Importance of Rental Estimates

Details: Accurate rental estimates help landlords price competitively, help tenants assess fair market value, and assist investors in evaluating property performance.

4. Using the Calculator

Tips: Enter at least 3 comparable rents from similar properties in your area. Adjust for features - positive for superior features, negative for inferior ones.

5. Frequently Asked Questions (FAQ)

Q1: What makes a good comparable property?
A: Look for properties with similar size, bedrooms/bathrooms, location, age, and amenities within the past 3 months.

Q2: How much should I adjust for features?
A: Typical adjustments: $50-$100 per bedroom, $100-$200 per bathroom, $2-$5 per sqft difference, $50-$300 for amenities.

Q3: How many comparables should I use?
A: 3-5 is ideal. More provides better accuracy but diminishing returns after 5-7 comparables.

Q4: What if my property is unique?
A: For unique properties, consider professional appraisal or use more comparables with larger feature adjustments.

Q5: How often should I re-estimate?
A: Rental markets change seasonally. Re-estimate every 6-12 months or when significant market changes occur.