While the rental market is cooling, the success rate for haggling cheaper rental rates has increased from 17 to 25% (Avail, a platform for landlords). Unfortunately, only 28% of renters surveyed said they tried negotiating a lower price on their recent lease renewal. If you're not giving renters the chance to negotiate, you could lose tenants.
Your vacancy rate could rise, causing your earning potential to drop. Before that happens, apply these tips to increase lease renewals in Houston, TX.
Better Houston lease management can lead to happy renters who want to stay. Not sure where to start? Read on!
Develop a Tenant Screening Process
Failing to screen potential renters could lead you to select problematic tenants. These renters may pay rent late, upset neighbors, or cause property damage. In fact, LendingTree found that over eight million US adults aren't caught up on rent payments.
Before that happens, consult a property management company. Their professional tenant screening services will help you find reliable renters. Their reports will include:
- Credit reports
- Criminal background checks
- Rental histories
- Eviction histories
- References
- Employment records
They'll ensure you follow local, state, and federal regulations while screening applicants. Otherwise, you could face fines or lawsuits.
Establishing a tenant screening process will help you find renters worth retaining. Outsourcing this process will save you time and money. You can avoid the stress and expense of evicting problematic renters in the future.
Increase Tenant Satisfaction
Being a great landlord can increase tenant satisfaction rates. Keeping renters happy can encourage more lease renewals.
Start by making it easier for tenants to reach you when they need help. Build strong landlord-tenant relations by:
- Being proactive
- Empathizing with their living experiences
- Responding to questions quickly
- Protecting your tenants
- Understanding landlord-tenant laws
- Communicating professionally
- Being friendly and helpful
- Completing maintenance without delay
To remain responsive, use an online tenant portal. You can partner with a property management company to gain access to this software. A property manager can even respond to tenants on your behalf, making your life easier.
Be willing to compromise with tenants when their leases are up for renewal. They may request flexible leasing terms or property upgrades. Appealing to their needs can lead to more renewals.
Offer Lease Renewal Incentives
While applying these tenant retention strategies, consider offering lease renewal incentives. These include:
- Cleaning services
- Energy efficient upgrades
- Gift cards to stores/restaurants
- Better security
- Smart home technology
- Better parking options
- Kitchen upgrades
Talk to your tenants. Understand and appeal to their needs to encourage them to stay.
Outsource for Tenant Retention Strategies
Outsourcing this task to a property management company will save you time and money. Leverage their professional lease renewal tips to improve your occupancy rate. Relying on their comprehensive services can lead to happier tenants who want to stay.
Boost Lease Renewals in Houston, TX
Generating more lease renewals will improve your occupancy rate and profitability. Apply these lease renewal tips to get started. Otherwise, ask for help.
Our team at First Class Realty and Management excels at communication and consistency. We provide total transparency and professional guarantees while managing your investments.
Rely on a prestigious Certified Residential Management Company (CRMC) to increase your profits. Contact us now for a consultation.