How To Get Your Tenants to Renew Their Lease
Have a good tenant that you’d like to keep in your property? Here are a few things Rental Guys Property Management does to keep a reliable tenant happy so they want to renew.
Any business owner knows, it’s cheaper to retain than rehire. Why should it be any different in your rental property business? Filling a vacancy can be a hassle. It takes time and can cost you money in lost rent. Some factors of why a tenant moves are out of your control, such as relocating for jobs or family, but assuming those factors don’t apply, you should try to keep a reliable tenant happy and eager to renew their lease with your property.
According to Zillow’s study of renters, 40% of people who’ve been in their rental for more than a year have no plans to move within the next three years. Almost half are happy with their living situation, including rental price and neighborhood, and a third don’t want to deal with the stress of moving.
While this is great news, what about the other half of long term renters who are less than satisfied and willing to move? The same study reported that those long term renters who are planning to move within the next three years, 55% will move to another rental!
What can you do as a landlord to boost renter satisfaction and encourage renters to stay long term?
Be available when tenants need you and communicate well.
Using a detailed and clear lease agreement from the start will help outline everyone expectations and roles. We’ll answer any questions to ensure everyone is on the same page from the get-go. Give tenants the best ways (plural) to contact you, and note the best times so you’ll be able to respond to tenant requests as quick as they come up. Setting expectations and good communication is always the best foundation and we pride ourselves on being reachable via phone, text, or email to cater to the tenants schedule and preferences.
Help them get acclimated to the neighborhood.
Being in a new area (even just a new side of town) can be overwhelming. Providing a small welcome home package with useful information like take-out menus, nearby grocery stores, gas stations, parks, community centers, post offices, and highways/interstates can make their new move easier. Going the extra mile to help connect them with the community shows you care and can provide an incentive to stay long term.
Handle issues quickly
Problems will arise throughout the lease, they always do. Handing your responsibilities as the landlord promptly shows you care about the property, which also will make the tenant want to show they care too. When things break, get them fixed quickly. It probably doesn’t seem like a big inconvenience when it’s just another thing on your list to get done, but to your tenant it is. Show the tenant you will handle issues when they arise, do it quickly, and follow up to make sure it was done properly. This action and communication, will encourage the tenant to want to stay, knowing things get handled.
Communicate well, and often
Have respect for one another, and treat them how you’d like to be treated if you were in their shoes. Always keep the tenants in the loop about delays in fixing an issue, routine maintenance you were having done, or any changes that will affect the tenants. Most times, people are OK with the issues if they know what’s going on to prepare. So, just communicate so everyone is on the same page and there will be less friction.
With some of these basic business practices, you can show the tenant you care about them and their time, and wanting to keep the property in great condition and will make you being their landlord an enjoyable experience where they’ll want to stay for years to come.