Rents Down- Corporate Landlord losing $44/day- Pricing strategy for private landlords

In this video, we analyze the price discovery strategy utilized by corporate landlords. We track a rental property over time as the corporate landlord starts with an exceptionally high asking price despite real-time market data. As expected, this results in an extended vacancy period. However, the corporate landlord is extremely slow to reduce prices, only incrementally lowering it over many months. This highlights their ability to withstand long vacancies that would not be feasible for small-scale landlords. Corporate landlords play a longer pricing game enabled by their vast portfolios. Small landlords must rely on accurate market data to price competitively and fill vacancies quickly. The takeaway - corporate entities base pricing on broader portfolio strategy rather than individual asset optimization. Their approach prioritizes maximizing overall returns over quick occupancy. Small landlords should leverage real-time data to price rentals competitively within local markets for optimal individual asset performance.