Tenant turnovers can cost between $1,000 to $5,000 per unit, which explains why landlords are desperate to retain residents.
Keeping tenants happy comes with various benefits, from slashing vacancy rates to minimizing stress. But if you're a new landlord or struggling to retain tenants, knowing what you should and shouldn't do feels overwhelming.
Sounds like you? No worries, we've got you covered. Here are our lease management tips to slash vacancy rates in your property.
Screen Tenants Carefully
Before figuring out how to retain tenants, you want to initially attract quality ones. Work with a property management company to screen candidates because they'll know what to look out for. At the very least, property managers will deep-dive into each candidate's finances, background checks, and rental history to check that they're credible.
Be Open to Communication
Tenants are more likely to file for a lease renewal if they regularly communicate with you. Prioritize tenant communication by informing residents about any updates or changes that will affect them in a timely fashion.
On the flip side, listen to tenants' feedback and make the necessary amends. For instance, if a resident notifies you about rental property repairs, get it fixed ASAP as it shows you respect them.
Offer Incentives
Offering tenant incentives is a great way to keep residents happy. Not only does it show that you're attentive, but it shows tenants that you appreciate their business.
The beauty of rewards is that you can offer any, depending on your preference. This could manifest as discounts, gift cards, or a free upgrade, such as a new kitchen appliance. Gifting tenants small gestures throughout the year will do wonders and encourage residents to renew their leases.
Maintain the Property Regularly
Conducting regular rental property maintenance is a must. Your property manager should routinely perform inspections to ensure that appliances run smoothly and the property is good enough to live in. When you go the extra mile, tenants are more likely to renew their lease, so it's worth the effort.
Be Proactive With Lease Renewals
Keep a calendar so that you're notified when the tenant's lease is up. Ideally, contact residents three months prior, so you both have time to decide. Don't be afraid to voice your opinion, especially if the tenants have been great, because it shows that you're interested in keeping them around.
You could also recommend a longer lease term. For instance, if the tenant has already stayed for 12 months, suggest turning it into a 24-month period. Negotiating a longer contract will give you both peace of mind and a stress-free experience.
Improve Your Lease Management Skills Today
Now that you know the latest lease management tips, it's time to hire a property management company that will help you retain tenants.
At Avalon Realty & Oaktree Management, we have been serving property owners and investors since 1993, to ensure that their investment is in safe heads.
If you're ready to hire a property manager, we'd love to hear from you. Contact us today to chat with our team.
Bonnie is the visionary that has driven the company and culture of Avalon since 1993. Her passion is improving procedures and practices; incorporating technology and value added services for both our clients and tenants.