What if you could keep the amazing tenants you already know and trust? You wouldn't have to pay for marketing and tenant screening. Long-term vacancies wouldn't drain your accounts, either.
It's likely most of your renters don't want to leave. In a single year, about 63% of renters in the US renewed their leases. Learning how to encourage lease renewals can help boost your occupancy rate and ROI.
Not sure where to start? Read on for the landlord tips you need to generate renewals!
1. Nurture Residents
Happy, satisfied renters are more likely to want to renew their leases. Nurture strong tenant-landlord relationships the moment renters move in. Let them know they can reach out with any questions or concerns.
Contact tenants regularly to make sure they're not experiencing any problems. If they are, jump in and offer a solution.
Your renters will recognize that you care about their needs. They'll see you as a helpful, reliable landlord.
Give renters a 90-day notice when their lease is about to lapse. This gives renters time to review their rental leases and housing options.
2. Offer Upgrades
Offer tenants property upgrades to encourage them to renew their lease agreement. Choose upgrades that will make the property more attractive to future renters. For example:
- Smarthome technology
- Energy efficient windows
- New kitchen appliances
- Fresh paint
Enhancing the property can make it a more desirable place to live.
3. Prioritize Maintenance
Complete maintenance and repairs as soon as possible. Tenants will get frustrated if you're failing to complete repairs. They may decide to move out or take legal action.
Schedule routine property inspections. If there's an issue, you can schedule repairs before the property gets worse.
4. Minimize Increases
You could scare away tenants if you send their new lease agreement with a major rent increase. About one in four renters are successfully negotiating lower prices when it's time to renew. Remaining open to lower increases can help you retain renters.
Retaining renters at a lower rate could benefit your rental income in the long run. Otherwise, the unit could remain vacant for months. You'll lose thousands of dollars within that time.
If your renters want to negotiate, remain open, patient, and professional. Hear them out.
Let them know you care about their needs. You may be able to find a compromise.
For example, you can offer upgrades to enhance the property. These upgrades can increase the property's value and monthly rental rate. Renters may be more open to paying a higher rate after you've provided these upgrades.
5. Hire a Property Management Company
Hire a property management company if you're struggling to renew rental leases. They'll use proven strategies to encourage lease renewals.
A full-service property management company can improve tenant satisfaction rates. Your tenants will have access to the help they need, when they need it. They may be more inclined to renew their leases.
Increase Lease Renewals in Pittsburgh
Encouraging lease renewals will improve your occupancy rate and ROI. Use these strategies to retain your existing tenants. Otherwise, ask for help!
Our team at The Burgh Property Management has 20 years of industry experience. We can help maximize your owner profitability. Contact us today to generate more renewals with our award-winning strategies.
