As a landlord, it’s crucial you understand the importance of tenant retention.
After all, it costs five times as much to attract a new customer (or in your case a new tenant) than it does to keep an existing one.
High tenant turnover means you’re not collecting a monthly rent payment, but are still paying a mortgage. That’s on top of having to pay for property advertising, maintenance and repairs, and even application fees.
If you want to preserve your bottom line and come closer to financial freedom than ever before, check out these effective strategies for increasing tenant retention in Atlanta.
5 Tips for Increasing Tenant Retention in Atlanta
1. Make Rent Collection Easy
People are becoming more accustomed to paying for everything online. Banks offer online bill pay services, checks are becoming obsolete and the convenience of hopping onto a computer day or night to pay for anything is appealing.
If you want to keep your tenants happy and increase tenant retention, make paying rent as easy as possible.
Online rent payments are secure, available 24/7, and are great for those with busy schedules. Plus, they’re easier to track than collecting paper checks or money orders.
Lastly, accepting rent payments online, whether you self-manage your property or use a property management company, make organizing your finances and getting funds deposited into your bank account a whole lot faster.
2. Focus on Maintenance and Repairs
There’s nothing more frustrating for a tenant than not having maintenance and repair issues handled quickly by their landlord.
If your tenant feels property maintenance is not a priority, they’ll probably look for somewhere else to live at the end of their lease term.
One of the most effective ways to boost tenant satisfaction is to handle property maintenance efficiently:
- Have an easy way for tenants to report maintenance and emergency issues
- Use timely, cost-effective, and professional contractors
- Hire a property manager that offers 24/7 maintenance and repair services
- Always check up on tenants after a maintenance issue is resolved
You can also perform routine property inspections to make sure minor repair issues are addressed before they become costly. This not only prevents you from having to invest in major repairs but also makes tenants feel you really care about the property.
The happier your tenants are and the more they feel you care, the higher the chances are they’ll renew from you.
3. Respect Your Tenant’s Privacy
You should know that providing notice to enter your rental property is legally required (unless it’s an emergency).
However, there’s more to it than providing notice and showing up at your rental property to check on things.
After all, your tenants live on your property and have private lives they want to keep private.
If you need to show up at your rental for a maintenance issue or seasonal inspection, follow these best practices:
- Check in with your tenant to see when they’re open to you coming over
- Perform non-emergency entries to your property during normal business hours Monday through Friday
- Have contractors or your property manager’s maintenance crew call ahead of time
- If it is an emergency, call ahead of time; your tenants will appreciate the update
You consider your rental property an asset that generates money. Tenants consider your rental property their home.
Showing up unannounced, save for the written notice you provide, isn’t always going to sit well with tenants who want privacy.
A simple phone call is sometimes all it takes to show you respect your tenants.
4. Evaluate Rent Increases Carefully
Every landlord wants to maximize the profit they receive from their investment properties.
But if you want to increase tenant retention in Atlanta, it’s best to think about your rent increases carefully so you don’t force a high-quality tenant somewhere else to live for cheaper.
There are several options when it comes to deciding whether to increase rent rates:
- You can increase the rent significantly but offer a month-to-month lease in case your tenants want to find elsewhere to live
- Increase the rent a small amount and offer another one year lease as a way to encourage your good tenants to stay
- Forgo increasing rent to avoid losing a tenant who pays on time, never causes problems, and cares for your property
If you do decide to raise the rent, consider offering some incentives to offset the hike.
For example, tell your tenant that you’ll only increase the rent 3% if they choose to renew 60 days before the end of their lease. Then explain that the rent will increase by 5% if they decide to renew at the last minute.
Or, you could invest in an upgrade, such as energy efficient appliances, that will not only increase the value of your property but also convince your tenants that a small rent increase is worth.
>> If you’re not sure whether to raise the rent on your income property or not, check in with Atlantic Property Management for your Free Rental Analysis. Knowing what your property is worth and how much similar properties are going for is the key to boosting your ROI without upsetting your tenants. <<
Your tenants will never be happy learning that they have to pay increased rental rates. But the truth is, that’s how renting works.
It’s your job as a landlord to appease your tenants when their rent increases so they don’t leave you with a costly vacancy.
5. Use a Good Property Manager
If you own a rental property in Atlanta and want to build your portfolio, chances are balancing the amount of work each property needs is going to become more challenging over time.
As you become stretched too thin between properties and tenants, you’re going to slip on basic customer service that all your tenants deserve. That may lead to dissatisfied tenants that want out once their lease is up.
And if you think one vacancy is devastating to your ROI, imagine 2 or more.
To avoid overwhelming yourself and pushing tenants away, hire an Atlanta property manager to help you out.
A reliable property manager will have the most contact with your tenants. They’ll be in charge of maintenance and repairs, tenant complaints, rent collection, and even property inspections.
With a top-notch property manager taking care of your investment property, you’ll be that much closer to increasing tenant retention.
Are you looking for qualified property management companies in Atlanta, GA?
If so, contact Atlantic Property Management today and see how we can help you increase tenant retention. We provide stellar customer service, easy rent collection services, and quick maintenance and repair help.
But most of all, we dedicate our time to maximizing your property’s ROI. This helps free up your time and keeps your tenants happy so they continue to renew from each year.