If your tenant renews their lease, you'll cut down on vacancy periods, advertising costs, and the time it takes to find the "right" tenant.
There are many things you can do to help make that decision easier for your tenants. Here are some of the best practices you can use to encourage them to renew their lease.
Offer Incentives for Renewals
Offering an incentive for renewing a lease is one of the easiest ways to convince a tenant to stay in their current apartment. There are many rental incentives you can offer to your tenants, with all of them being catered towards providing value that they wouldn't get anywhere else. An incentive gives your tenant an extra reason to stay in your unit for the following year, ensuring that you won't need to fill advertise that vacancy.
Communicate With Tenants Before Their Leases are Up
Communicating with your tenants three months before their lease is up is important because it will get them thinking about whether or not they want to stay. If you are reminding them that their lease will be up soon, it will create a sense of urgency and will push them towards either renewing or looking for new accommodations. If they do choose to leave, you'll give yourself more time to fill the vacancy if you start the conversation early.
Build a Relationship or Rapport With Your Tenants
Building a positive relationship with your tenants is critical in persuading them to stay in your building, especially when they feel comfortable enough to have a casual conversation with you. Building a solid relationship with your tenants is more than just chatting with them; it is ensuring that their maintenance is done promptly, listening to any grievances they have, and providing added value that they may not receive anywhere else. A happy tenant will be much more inclined to stay in their current apartment.
Give Your Tenants a Beautiful Place to Live
You should always take pride in the property you own or manage. Whether that means hiring a groundskeeper to make sure the outside of the building is always looking great, or working with a property management company to improve the service your prospects and residents experience, providing a well-kept property and rental experience will make tenants more inclined to want to stay where they are.
When the time comes for your tenants to renew their lease, you want to do everything in your power to make sure they feel comfortable, valued and want to stay in your building.