One of the most challenging parts that come with being a property manager is setting and raising the rent. Many property managers worry that raising the rent will result in good tenants leaving for other properties and an increased number of vacancies. Setting a rent price for your units is not as simple as looking at comparable locations and pressing a button. Here are just some of our best tips for raising the rent without losing valued tenants.
You Know Who Your Valuable Tenants Are
You will inevitably lose some residents when you raise the rent, no matter what you increase it too. However, you want to ensure that you retain the right tenants through the rent increase. You probably already have an idea of who your most valuable residents are. They are the people who are relaxed about maintenance requests, who turn in rent on time every time, and who put a bit of extra effort into keeping their units looking beautiful. The more content a tenant is with their situation, the less likely they will be to leave over a minor rent increase.
Check Out Comparable Units
The fastest way to lose many tenants is to raise the rent higher than other properties immediately surrounding yours. Most residents will jump ship quickly if your $30 a month rent increase makes the difference between your property and another $100 instead of $70. Check out comparable properties near yours to see what other rents are. If yours is dramatically different from them, be prepared to justify that difference to consumers.
You Know How To Appeal To Your Tenants
Justifying the rent increase is an important thing whenever you raise it, especially if it is being raised a significant amount. Did you survey your tenants and see that the vast majority wanted a pool added to the building? The addition of new amenities or property features is always an easy way to get tenants to agree to the rent hike.
Trust the Professionals At Clagett Enterprises For Your Rental Property Needs
If you’re looking for the perfect realtor for your property or to assist during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistant selling your home and getting the best possible price, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook, Twitter, Pinterest, and Google+.