Picture the perfect renters: people who pay rent on time, schedule maintenance, and never complain. Keeping these perfect renters can help you avoid landlord stress later. Improving your lease renewal rate as the national vacancy rate rises can help you gain a competitive advantage.
Not sure how to generate more lease renewals? Read on for the landlord advice you need to ensure your success (and a higher ROI!).
Screen Applicants
Your lease management strategy should start before you even meet your newest tenants. Invest in tenant screening services to avoid problematic renters. You'll struggle to develop a good landlord-tenant relationship with someone unreliable.
Problematic renters:
- Pay late
- Cause property damage
- Disrespect your rules
- Bother neighbors
- Cause legal issues
Screening applications can help you avoid renters who have a history of paying late. Already, 15% of American households (six million renters) have fallen behind. Choosing these renters will affect your financial growth.
A property management company can screen applicants to help you find quality tenants. These are renters you'll want to retain.
Reconsider Rent Increases
One of the easiest ways to scare away tenants is to boost their rental rates. Many tenants are willing to negotiate to find a compromise. You can retain these renters if you remain professional and open-minded.
Determine if your rental rate is above the local market's current average. If it is, consider a lower increase.
Be ready to explain why you're raising the rent. For example, you may mention:
- Insurance costs
- Taxes
- Maintenance costs
Are you adding new amenities or property upgrades? Consider those expenses before increasing the rent.
Invest in Resident Experiences
Happy renters will want to stay. You can improve your lease renewal rate by investing in resident experiences. Consider:
- Hosting resident events
- Handling maintenance requests quickly
- Investing in a delivery management solution
- Offering access to an online tenant portal
- Maintaining open communication
- Using smart technology
You can further improve tenant experiences by hiring a property manager. 24/7 property management services will ensure tenants always have access to the help they need.
Offer Incentives
Talk to your tenants to determine what they look for in a rental property. Consider making upgrades to encourage them to stay. Choose upgrades that will increase the property's value.
Incentives can include:
- New plumbing features
- A doggy daycare
- An on-site gym
- A discount, rent credit, or free month
- Fresh paint
- New kitchen appliances
Invest in making small gestures throughout the year. For example, you can send residents a gift card during the holidays or an email on their birthday.
Increase Lease Renewals in Colorado Springs
Still struggling to encourage lease renewals? You don't have to apply these strategies alone. Instead, ask your Colorado Springs property manager for landlord advice.
Their proven strategies can help boost your lease renewal rate. Our team at PMI Fountain Creek has 20 years of experience assisting property owners like you. We'll use state-of-the-art technology to maximize your owner profitability.
Rely on our experience and expertise to succeed in a competitive market. Contact us today to improve your lease renewal rate.
