PlanOlabs is regularly exploring whether professional photography for vacant homes has a positive impact on leasing. Recently, we have been studying this question in the “Mid-Market” Property Management profile specifically (approx. 100-1,000 homes in portfolio.)
Method
The PlanOlabs research team tracked 500 single-family rental homes located in Marion County, IN (Indianapolis) that were listed for rent in September or October 2022. The team analyzed the photography for each property and graded the quality of the photography as either “Good Quality” or “Low Quality”. The team also noted who listed the property and categorized the managing company as either “Institutional”, “Mid-Market” or “Mom & Pop”. By February 2023, 80% of the properties were leased, and the team noted the “Leased Date” on Zillow Rentals and Realtor.com.
For the findings, the PlanOlabs research team focused on the rental homes managed by “Mid-Market” Property Management Companies and included homes with 2 or 3 bedrooms.
Findings
The data showed a positive impact for homes managed by Mid-Market Property Management companies when Good Quality photography was used:
- Vacant Days on the Market decreased by 10.9% (about 10 days, from 81 days to 71 days) when Good Quality photography was used to market the home, compared with homes that used Low-Quality photography.
- Rental Price / Sqft increased by 10% ($0.10 per Sqft, from $0.98 to $1.08) when Good Quality photography was used to market the home, compared with homes that used Low-Quality photography.