As a rental property owner, you already appreciate that renter retention is one of the keys to long-term success. Not only do high turnover rates increase costs, but they can also impede the stability of your investment property in other ways. For that reason, resident retention should be a foremost priority for landlords and rental property owners alike. The good thing is that a couple of easy, important strategies can help keep residents happy and willing to renew their leases every year. Here are our top recommendations for boosting resident retention and guaranteeing your properties stay profitable and successful.
Build Trust Between Renters and Landlords
In the rental industry, so much of what owners and landlords do is about relationships with people. Open communication and a sense of trust between a renter and their landlord are important factors of long-term retention.
As a property owner, you can build a good relationship with your renters by communicating with them routinely (and positively), maintaining open lines of communication, reacting immediately to their demands, and checking in with them regularly. While you don’t want to overstate it, staying responsive to your renter can show them that you are thinking about their comfort and motivate them to stay in their rental home longer.
Ensure the Property is Properly Maintained
Along with cultivating a positive relationship with your renters, keeping on top of your property maintenance and repairs is equally vital. These two practices get along with one another, particularly when attempting to improve retention rates.
Bad property upkeep is among the top reasons why renters leave, particularly if they have made maintenance requests that have been disregarded. Besides that, proactive maintenance can reduce costs by avoiding costly emergency repairs and presenting to your renter that you want them to live in a well-kept property. This, in turn, may motivate them to take good care of the property, which can also protect the value of your property.
Invest in Thorough Tenant Screening
Of course, finding renters who will take good care of your property is more complicated than it seems. Nevertheless, you can strictly screen your applicants before signing a lease. Screening renters is recommended because it can reveal whether a prospective tenant is responsible, trustworthy, and a good fit for your property.
A complete investigation should reveal a detailed look at your renter’s finances, credit record, and rental history and notify you of any past issues. Just don’t forget to ask for and check their references, which should incorporate former landlords, criminal backgrounds in your state, and areas in which they have resided.
Provide Incentives for Lease Renewal
You can encourage lease renewals by providing incentives to your current residents. It is sad to say that many rental property owners abuse the lease renewal to raise their rental rate or add constraints that make their renter unhappy or unwilling to renew. An appropriate rental rate increase should be supported by a statement of the value the tenant will receive in return, even though it may not always be possible to avoid.
For example, you might highlight recent property upgrades, like new appliances, upgraded services, or greater safety features. It is also a great idea to give your resident a small discount for renewing early, a free carpet cleaning, or even a minor unit upgrade, such as fresh paint or new fixtures. Making your residents feel valued and maintaining a sense of trust can be achieved with even a modest gesture.
When to Call the Experts
These proven strategies can considerably improve resident retention, lower turnover costs, increase property values, and provide more secure, long-term tenancies. Managing a rental property and resident relationship can be problematic, and it can also take a lot of time and effort that you might not provide.
At Real Property Management Crossroads, we comprehend how difficult managing rental property and resident relationships can be and how much time and effort they may demand. Due to this, we are available to lend a hand. Our team is prepared to assist you in boosting resident retention in Carmel and adjacent areas. Contact us online or call 317-218-7800.
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