6 ways to keep good tenants for longer
It's worth finding ways to increase your tenant’s appeal of your property. In many cases, the incentives you offer will cost much less than the expense of a vacant tenancy. Even better, not all motivating factors will cost you money…
Here are six tips on how to keep your best tenants longer:
1. Address maintenance concerns quickly
Keeping your tenant happy is crucial, especially if you're going to ask the tenant to extend their tenancy. By being proactive with property maintenance and routinely performing property inspections, your tenant may be more likely to happy with where they live.
Incentives like carpet cleaning or deep cleaning by a professional cleaning service can also be very attractive to long-term tenants and may make them feel appreciated, without breaking the bank.
Additionally, keeping up with maintenance and addressing issues quickly will help you spend less time on repairs when you do have to turn over the property. Regularly inspecting its condition will help you stay on top of maintenance items that need to be addressed (that the tenant may not have noticed) and can help keep smaller maintenance tasks from turning into larger issues.
2. Be a good landlord
Never underestimate the importance of the human factor when it comes to tenants. Your renters may be more likely to want to stay if you're a friendly and cooperative person. Obviously, that goes for all of life, but even more so when you want people to happily pay you every month.
Be timely with your responses and make it easy for the tenant to contact you or your agent. If you employ a lettings management company, ensure they have a great reputation, keeping open communication with their tenants. This helps reduce misunderstandings and create a better overall relationship. Being courteous and respectful goes a long way to make a tenant feel comfortable.
3. Know what amenities tenants want
High-speed internet. Open floor plans. A beautiful outdoor space. It's important to know what factors today's tenants are looking for in a rental property, so you can try to better meet market demand.
For many tenants, especially younger generations like Gen-Z, lifestyle quality is a major factor in whether they decide to stay or go. You may own the property, but the tenant should be able to consider it their home. There are ways in which you can help promote a more tailored atmosphere, and in doing so, it may encourage your tenants to stay longer.
4. Be proactive with lease renewals
It's important to let your tenant know well in advance that you're interested in renewing their tenancy with them. Reach out to your tenant a few months before the lease expires to ask if they would be interested in renewing.
This early notice may help encourage them to start thinking about their plans early so they can give you more notice. If the tenant decides to move, then at least you can get a jump on advertising your rental before they've officially moved out. If you get someone lined up, then you might not lose a month of rent.
There are other ways to encourage your current tenant to stay longer. You may consider forgoing a rent increase (or keep it lower-than-usual) for the upcoming year if they renew. If they seem hesitant, ask them what it would take to get them to stay. This is another reason to have a good landlord-tenant relationship. The better you communicate with a tenant, the more likely they are to open up and tell you what incentives are most meaningful to them.
They may request some home maintenance upgrades or a break on rent. See if you can negotiate a deal that makes sense for both of you. You may find that fulfilling a tenant's request may turn out to be less of an expense for you than turning over the property and taking a risk on a new tenant.
5. Encourage a longer lease
Consider asking the tenant to sign a longer-term tenancy at a reduced rate. If they renew every six months, then extend the lease to a year. If they renew yearly, then consider extending the lease to two years at a reduced rate. While this method could mean you lose out on the profit from rent increases, it could be worth it to keep a reliable, rent-paying tenant. Make sure you calculate the differences in your rental revenue, so you know what option is financially best for you.
6. Enforce rules without going overboard
Whether they relate to safety, pet security deposits, waterbeds, or clogged toilets, before the tenancy is signed, you need to put your property rules in writing. It pays to go a step further and indicate the consequences of failing to follow these rules. This helps your renter understand their responsibilities and your expectations.
If your long-term tenant starts to break rules or policies that you have set in place, then talk to them before acting. You may be getting complaints from neighbours, but you will want to hear from your renters to get their side of the story before jumping to conclusions.
Contact our team of experts for more information about how property management could be the key to stress-free investment.
Call 01843 222701 or email client.services@oakwoodhomes.biz.