As a single-family rental homeowner in Loganville, your desired tenant is one who plans to stay for many years. Frequent vacancies can disrupt your cash flows and even result in losing money on a property. Apart from choosing the right tenant, there are also a lot of things that you can – and should – do to encourage your tenant to stay longer. By utilizing these procedures, you may find it easier than ever to maintain your rental income in a steady flow month after month, year after year.
One of the main approaches to improve tenant retention is to guarantee that you have good communication with them. This includes communicating about their intentions to renew or not. It’s advisable to start addressing the issue of lease renewal well before it expires. In many states, landlords are required to give at least 30 days’ notice. However, it would be a better idea to start the renewal process even earlier than that. Few tenants enjoy feeling pressured, tricked, or being forced to decide on a lease renewal with less than a month to sort things out. If you choose to wait until their lease renewal is right up against the deadline, you may miss a tenant who would otherwise have stayed at your rental home.
Along with good communication, some of the most effective lease renewal strategies offer tenants an incentive for staying. This incentive could be one of several factors. For instance, perhaps your tenant is undecided to renew for a full year. Consider offering them more flexible terms, such as a 6-month lease, or give them a discount for signing a longer-term lease, often 24 months or more. Another idea is to offer your tenant a renewal at their current rate. This will get their attention, especially if rental rates have gone up a lot in your local market. Though this may not always be feasible for you, it’s something to keep in your lease renewal toolbox. A tenant who feels like they have options are more likely to choose to remain where they are.
Another way to incentivize your lease renewal is to offer to make improvements on the property. This works effectively well if your maintenance plan includes scheduled upgrades you intended to do anyway. Be sure your tenant understands which aspects of the property will be updated to give them added incentive to stay. For a more proactive approach, start making small improvements to the property a few months before the lease is due to expire. By actively maintaining the property while the tenant is staying there, you send a strong message that you are concerned not only about your rental home but also about their satisfaction with the home.
Lastly, if you are still chasing down your lease renewals in person, consider switching to a more efficient digital approach. Most tenants want to do almost everything online, and lease renewals do not differ. Give your tenant access to the renewal documents well ahead of the renewal deadline. After that, ask them to know if they have any inquiries or worries.
Simply providing your tenants with the opportunity to complete lease renewal documents online may greatly increase your chances of renewal. In addition, taking your business online will allow you to keep better track of your renewal rates and other important data. With a better understanding of some details, you can more efficiently choose the lease renewal strategy that will work best for your situation and tenants.
Consistency in your lease renewals may take some time and effort, but it’s worth it. By knowing a few effective lease renewal strategies and approaching your tenants will flexibility and planning, you can greatly improve your chances of keeping that great tenant in your rental home.
Do you love the income of a rental property but struggle with keeping up on all the tasks involved, like renewal? Contact Real Property Management Citywide to speak with a Loganville property manager and see what we can do for you! You can call us at 770-733-1848 or contact us online.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.