Only 52% of renters renewed their leases last year, showing that landlords must discover new ways to retain tenants.
Understanding the different strategies is essential for protecting your investment and slashing vacancy rates. But if you're struggling in this area, it can be difficult knowing where to pour your efforts.
Sounds like you? Luckily, we've got the answers you're searching for. Here's how to streamline your lease renewals in Jacksonville, FL.
1. Build Working Relationships With Tenants
Out of all the tenant retention strategies, this is the most effective. Keep an online line of communication with residents as it shows that you appreciate their business and take their feedback on board. To increase your chances of lease renewals, contact them sooner rather than later to understand what they need.
2. Make Lease Renewals Easy
One of our top lease renewal tips is streamlining the lease renewal process. To promote the renewal process efficiently, work with a property manager as they will have the right software for this.
Tenants will be notified when their lease is ending and can renew it online. Although it sounds obvious, having this accessibility increases the chances of tenants remembering to renew their lease.
3. Provide Flexible Lease Terms
Investors searching for lease extension advice should offer flexible terms. The most popular term options are six, 12, or 24 month leases. Providing a range of options will accommodate their residents' needs and increase the chances of renewal.
Further, property owners can offer renewal incentives. For example, give them a discount on their first month of rent as it shows your appreciation.
Landlords could also offer upgrades, such as new appliances or repainting the rooms. The beauty is that these affordable upgrades will create a more inviting living space for residents.
4. Hold Off on Rent Increases
Although it's tempting to increase rent, staying at the same price temporarily can encourage tenants to stay. If you charge more, your renter may be unable to afford it and leave, meaning your investment property is empty. Instead, be fair and if you do need to increase the rent, do it incrementally and inform tenants to see what they say.
5. Maintain Your Rental Property
An effective lease management trick is to be proactive with maintenance. When you regularly inspect your investment property, you can pinpoint problems before they develop into a more expensive issue. You should also respond to maintenance requests promptly, as it shows tenants that you want to provide a great place for them to live.
Encourage Lease Renewals Today
Now that you're an expert on lease renewals, it will be easier to retain tenants for your rental and earn a decent profit. Landlords should simplify the renewal process and build working relationships with their tenants with help from a property management company.
At PMI River City, we work with landlords in Jacksonville, FL to protect their property and allow them to focus on growing their business.
If you're interested in hiring us, we'd love to chat. Contact us here to chat with a team member.
