Proven tenant retention strategies
If you are new in the rental business, you might need some help when it comes to getting and keeping quality tenants. After all, becoming a good landlord can be a long and stressful process that takes time, patience, and investments in both your rental property and the relationship you will build with your tenants. Therefore, we did some research to find out which are the proven tenant retention strategies that will help you become a successful landlord. Read our article to find out how you can make your tenants want to renew their lease year after year.
Why do you need retention strategies?
Having a vacant property for an extended period will often become very expensive. The costs of advertising, cleaning, and maintaining the home for potential tenants can get pretty high. At the same time, they are small compared to the rent you are losing each month by having the property vacant. Therefore, the ideal situation is to find good renters and retain them for as long as possible. There will still be investments to be made, but it’s always cheaper to keep the tenants you have than to constantly have to find new ones.
Conduct background checks on your tenants
Experienced landlords will often screen their potential renters to make sure they are reliable. So, make sure to do a thorough background check before accepting any renters. First, you can check their financial history as well as their credit score. You must ensure that your tenants have a steady source of income and can pay their rent on time. Then, you should check if they rented a property before. Ask for recommendations and get in touch with the former landlords. Find out whether they were in good relations with your potential renters and if there were any issues. Lastly, you can even do a criminal history check. It’s advised to find out if your renters were ever problematic. Besides the possibility of them damaging your property, they might even cause you legal problems.
Communication and transparency are the keys to creating a healthy and stable landlord-tenant relationship. As a result, try to communicate openly with your renters about everything and be available and reachable at all times. Find a method of communication that works for both of you, such as email, text messaging, or phone calls. Just make sure you can respond quickly to any questions they may have. In addition, try to show interest in your renters’ life. Ask them important questions during conversations and find out what would make them happier in their home. Pay attention to their needs and implement at least one improvement that they talked to you about. They will surely appreciate the effort. Also, you can call them on their birthday or during holidays to wish them well. Such small gestures can take your relationship a long way.
Don’t ignore maintenance
If you trust your tenants not to damage the property on purpose and have a good relationship with them, don’t ignore their needs. If they call you because something broke and needs fixing or replacing, respond promptly. Have a time limit for solving the issue, no longer than 48 hours if possible, and try to find the best solution for the problem. Having contracts with various repair services, for example, can be a great idea. Besides being helpful when something needs fixing, having a team of professionals on your side can help you prevent future problems. For instance, you can schedule regular house inspections to ensure that the property is constantly in good condition. It will keep your tenants happy and willing to stay for a longer time.
Allow tenants to make modifications
Encouraging tenants to make the property feel cozier is one of the proven tenant retention strategies. Allowing them to make some changes will keep them happy and willing to renew their lease. Of course, you do not have to agree with all of their suggestions, but some of them might be reasonable. The repainting of the walls, adding a few shelves, or replacing the light fixtures, for example, are minor changes that you could accept. Also, allowing tenants to bring part of their furnishings can be beneficial, according to helixmove.com consultants. They have observed how tenants that were allowed to relocate personal belongings to their rental were willing to stay for a longer time. So, make sure to be open to some changes that will make your tenants feel more at home.
Make improvements to the property
Your tenants will appreciate you more if they see you actively interested in making them feel comfortable in your house. Therefore, besides taking care of maintenance, consider making some property improvements from time to time. For instance, you can upgrade kitchen appliances to more modern and practical ones. Not to mention that your renters will appreciate it if you invest in energy-efficient equipment that will lower their expenses. At the same time, making some changes in the bathroom is also a good idea. Keeping it clear of limestone deposits and as hygienic as possible will keep your tenants happy. So replace that old toilet and bathtub and change the tiles on the walls. It might require you to dig deep in your wallet, but it will be worth it in the long run. A renovated bathroom attracts tenants and makes them stay longer.
Hire a property manager
The easiest way to improve tenant retention on your property is to find a property manager. Having a professional by your side will not only help you keep renters longer, but it will also make your life as a landlord easier:
Property managers know how to find tenants and how to screen them.
They have a network of services available to them for keeping high-quality maintenance.
They will take care of collecting the rent on time or of problematic tenants. In a word, a property management expert can guarantee your success as a landlord.
Your tenants will have a good experience while you can relax or attend to other important matters.
Being a landlord does not have to be unpleasant or stressful. On the contrary, if you can find the best renters and convince them to stay for as long as possible, it can even be satisfying. So make sure to read our article about proven tenant retention strategies and make the most of your landlord experience.
For more updates and information from VHS Property Management follow our blog and find us on Facebook @vhsmanagement.