We hope you’re taking tenant retention seriously.
Holding onto your high-quality tenants and renewing lease agreements is an excellent way to increase your earnings and create stability for your investment.
As a rental property owner, your path to success depends not only on finding high-quality tenants, but on retaining them.
Who are the tenants you want to retain? Those who pay rent on time, take good care of your property, and follow the terms of the lease agreement. Turnover costs such as advertising, cleaning, maintenance, and possible periods of vacancy can be significant. They are best avoided.
Let’s talk about some of the ways in which we, professional property managers in Longs, are able to retain exceptional tenants.
We Are Responsive and Communicate Effectively
One of the best ways to retain tenants is by maintaining open and effective communication. This seems so basic, and yet it’s a challenge for a number of landlords who come to us frustrated that they cannot hang onto good tenants.
Responding promptly to tenant inquiries, concerns, or maintenance requests shows that you care about their comfort and well-being. Ideally, you will be available via email, text, or phone, depending on the tenant’s preference.
If communication is an issue, creating a relationship will be difficult. And without a positive relationship in place, tenants may not feel inspired to stay in place and renew the lease agreement. Remain responsive. Remain available. Make it easy to communicate with you.
We Build Positive Relationships with Tenants
High-quality tenants are more likely to stay long-term if they feel appreciated and supported. Building a positive relationship with your tenants can make all the difference in retention. Landlord and tenant relationships do not have to be adversarial. Consider sending a simple “thank you” note or message when rent is paid on time. Offer a holiday greeting or send birthday cards to make tenants feel valued.
You want to be available and approachable, but you also want to respect the privacy of your residents. Give them the space to feel at home and unbothered.
An Idea: Lease Renewal Incentives
When it’s time for tenants to renew their lease, offer incentives that encourage them to stay. Rent increases are a natural part of property management, but they should be reasonable and aligned with the market. If possible, avoid steep rent hikes, as they may drive tenants away. Instead, make market-based rental increases and explain the reasoning behind them.
You can also offer perks. Maybe they’ve requested a new appliance or a professional carpet cleaning. Provide that. If a tenant refers a friend or brings in a new tenant, offer them a referral bonus. Maybe you can provide a discount to a local business, such as a fitness center or an internet provider. Make it easy for tenants to renew their lease agreements. Incentives like these show tenants that you recognize their value and are willing to reward their loyalty.
Prioritizing Safety and Convenience
Security is always a top concern for tenants. A safe and secure living environment not only ensures your tenants’ peace of mind but also encourages them to stay longer. Here are some ways to enhance safety at your property:
- Install proper lighting in common areas, such as hallways, stairwells, and parking lots. This makes tenants feel safer walking around the property at night.
- Provide secure entry points to the building, such as keyless entry, well-functioning locks, and surveillance cameras in high-traffic areas.
- Address any security issues immediately. If a tenant reports something like a broken lock or an area with poor lighting, fix it quickly.
By creating a secure environment, you show tenants that you care about their safety, which increases their satisfaction and likelihood of staying.
Today’s tenants are also increasingly interested in convenience. They’ll expect online rental payments, so make sure you can accept them. They’ll also want the freedom to move in with pets, so consider putting together a pet policy that allows furry family members. You might provide concierge services such as valet trash and package delivery services. Bike storage is a big deal in rental properties these days, and the need for electric vehicle charging stations is growing. These things give good tenants a good reason to stay.
It Helps to Offer Flexibility
Life changes, and tenants may sometimes find themselves in situations where they need a little flexibility. Whether it’s allowing a tenant to break their lease early without penalty under extenuating circumstances or working with them on a payment plan for temporary financial hardship, demonstrating understanding and flexibility can go a long way in building long-term relationships.
Consistency is important, and you’ll always want to follow the terms of your lease agreement and enforce that lease wisely. However, be easy to work with when it comes to a late rent payment one month or a lost key. Tenants will appreciate your flexibility and remember it when they’re deciding whether to stay for another year or look for a new home.
Always Maintain Competitive Rent Pricing
High-quality tenants will want to feel that they’re getting a fair deal. If your rent is significantly higher than comparable properties in your area, you may find tenants looking elsewhere when their lease is up. On the other hand, if you constantly undercut market prices, it could attract renters who are more focused on price than quality, which may lead to more turnover.
Research the local rental market regularly to ensure your rent is competitive. While it’s important to maximize your revenue, being reasonable about rent prices will help you attract and retain tenants in the long term.
Talk to a property manager in Longs if you’re not sure where your rents should fall. We are always gathering data and insights that ensure our properties are priced accurately, competitively, and profitably.
Retaining high-quality tenants is essential to the success of your rental business. By maintaining a well-kept property, investing in strong communication, offering incentives for lease renewals, and treating your tenants with respect, you can significantly increase the likelihood that your tenants will stay for the long term. This is good news for your profitability.
Let’s put together a strategy for tenant retention in your Longs rental property.
Contact our team at J & P Unlimited. We manage investment properties in Myrtle Beach, Conway, Surfside Beach, Murrells Inlet, Socastee and the surrounding areas.
