Retention: How to Keep Great Tenants in Your Property
Being a property manager does not only entail collecting rent from tenants, but it also has a few responsibilities that are key if one is keen on retaining his/her tenants. If a tenant moves out it may result in lost profits from rents, promote costly renovations, and marketing expenses to get the property rented by a new tenant. It is often cheaper to retain an existing customer than finding a new customer. A tenant looks for a place to call home if he/she rents from you, so give him/her a reason to stay and care for the home. Some of the advantages that come with tenant retention for long periods include:
- Reduction in unit turnover expenses
- Consistent cash flow of rental income
- Eliminating the uncertainty of new tenants
- Steady relationship with qualified tenants means long term success
These are some of the factors that need to be considered to retain a great tenant for an extended period:
Top notch maintenance
A tenant will always be happy when the property owner makes routine inspections of the property and becomes proactive with property maintenance. It is better for a property owner to stay on top of what might be considered as little things. These little things are often the things that actually matter to a tenant. Staying on top of the little stuff eliminates the chance of them turning into a more significant and costly issue. Some of the problems include: replacing an aging roof before it leaks, repainting when the paint starts to peel, cleaning the gutters, trimming the trees and shrubs as they become overgrown, etc. The property manager has a responsibility to maintain the home. Poor maintenance habits such as overgrown lawns and leaking pipes will send a negative idea of what’s acceptable, which negatively increases ware on a unit over time.
Follow up on repairs
Getting maintenance requests from a tenant is quite reasonable. What you do after getting the request is what determines if you will lose your tenant or not. After a repair is done, the property owner should follow up on feedback from the tenant to find out if he/she was satisfied. This will create the impression that their landlord is responsible.
Communication is vital in every business. If a tenant calls or emails you, it would be a nice gesture to respond swiftly in the way they reached out to you. Being a landlord comes with many responsibilities, among them being available to your tenants when they need you the most. If you happen to ignore a tenant’s call, texts or e-mail, the tenant starts to lose trust in you. When this happens, he/she starts to look for a landlord that is more trustworthy, especially when rental promotions increase a competitors appeal. Be open and honest with your tenant, and they will be open and honest with you. Being a Landlord is about having a positive business relationship with your tenant/customers.
People are always comfortable in an area they are sure is secure. Everyone hates criminal activities, when tenants see you take the initiative to increase their safety they will appreciate the effort. This, in turn, will lead to them believing you have good intentions for them at heart thus earning their trust, which will help the property owner in retaining the tenants for a more extended period.
Share their sorrows
Sharing in other people’s sorrows is an excellent sign of showing support to them. If a property owner hears about a tragedy that occurred in one of the tenant’s families, he/she should make an initiative to show support for the family. At InterWest, we care about our tenants, and when we learn of hardship and sorrow, often show support with personally signed cards and seek to connect with the people on a personal level.
Be mindful of rent adjustments
A tenant may research other properties if they feel that their residential needs don’t meet their expectations. Thus the need to show them that they are getting a competitive price with you. Every tenant deserves a fair and decent rent prices, but “fair” and “decent” are incredibly subjective terms. When you go above and beyond to provide value to your tenants, it’s much easier to secure high rents and maintain happy tenants.
These tips will help any property owner to retain his/her tenants for an extended period. The major goal of a property management company is to monitor the value of your property while retaining great tenants. Preventive maintenance evaluations and account practices are two primary areas where InterWest Properties, with decades of experience and expertise, will fulfill this and many of your other goals as a property investor.