Why are we always so focused on retaining residents? That’s easy. Resident retention rates have a direct impact on the profitability of your investment properties. Vacancy and turnover are expensive, and every time you lose a resident at the end of a lease term, you’re left spending more money instead of earning it.
With better retention, you know your properties are performing well and your residents are happy with the property you’re providing.
Let’s take a look at the most effective best practices we’ve used as Killeen property managers.
Prioritize Communication and Share Your Expectations before Move-In
Developing and maintaining a good relationship with your tenants is really the only way to keep them in place. In order to move forward with a positive and productive relationship, you need to establish some good communication practices.
Good communication will always lead to better tenant retention. If your tenant is eager to leave, it could be due to a lack of responsive and easy communication.
Make this a priority as a Killeen landlord.
- Be responsive, available, and accessible.
- Your tenants need to know how to reach you if there’s a problem or if they have a question. They’ll want to trust that you’re going to get back to them quickly and with the information that they need.
- Share expectations. Tenants want to be clear on how everything works before they move into your home. They want to know what your rent collection policies are when late fees are charged, and how they’re expected to report maintenance and repair needs. Share your expectations around move-in and move-out processes.
A lot of landlords and tenants today communicate electronically. Everyone is texting, emailing, Snapchatting. You may not be together in person to discuss the particulars of the lease agreement, but by explaining your expectations and ensuring your new tenants understand what they’re responsible for, you can ensure the rental period will be better for everyone. You’ll also be letting them know that you are open to questions and willing to support them when necessary. You want your tenants to feel comfortable reaching out. This contributes to retention and reduces tenant turnover.
Good landlords who are communicative and available have an easier time retaining tenants than landlords who are non-responsive or difficult. Make sure you’re communicating with your tenants and helpful. Be a resource. Be responsive.
Provide a Positive Killeen Rental Experience
Tenant retention is surprisingly easy when tenants actually want to live in your home. This comes down to providing a positive rental experience. Don’t give your residents a reason to leave. Putting together a positive experience is an essential factor in your retention rate.
Think about what your tenants need from you. It’s important to provide resources and keep in touch without being overbearing. You want to respect your tenant’s right to the quiet enjoyment of their property, and you want to respect their privacy. You don’t need to be calling or sending messages every week. But, if there’s something happening in town that you think might interest them or you have information about what’s going on in the neighborhood, send a quick update. They’ll appreciate that you thought of them.
Simple things can go a long way. For example, these are some of the best practices that have worked for us when it comes to tenant relationships and better retention:
- Say thank you when rent is paid on time or your tenant is accommodating to vendors, pest control people, or neighbors who need help.
- Check in after bad weather to make sure everyone is okay, and the property didn’t get damaged.
- Note birthdays and send cards or messages.
- Provide a move-in gift, such as a gift card for coffee or a scented candle.
- Offer conveniences, such as online rental payments, valet trash, dedicated or assigned parking, and electronic maintenance requests.
Don’t be afraid to reward good tenants as well. If rent is paid on time six months in a row, consider sending them a small token of your appreciation. It’s the opposite of a late fee; they’re getting positive reinforcement, and they’ll remember that you appreciate them.
Make Maintenance a Priority in Killeen Rentals
Communicate your maintenance procedures clearly, and then be responsive when your tenants come to you with a problem. Maintenance plays a big role in tenant retention. If your residents feel like you don’t care about your comfort or your property, they’re not going to stick around.
Prioritize communication and speedy response times. Even if you can’t fix something right away, let your tenants know where things stand, when a vendor can be expected, and what you plan to do about the problem moving forward.
Improving and Updating Killeen Rental Homes
Sometimes, it takes more than maintenance. Another way to ensure you will retain tenants is to demonstrate a willingness to make improvements and renovations when necessary or advantageous. Good tenants want to live in a home that’s attractive and comfortable. Replace out-of-date appliances, make sure the walls have fresh paint, and install floors that are easy to maintain and clean.
This is a great way to leverage your own position at lease renewal time. Perhaps you can offer your tenants something that they want, whether it’s a new carpet, a new microwave, or better lighting on the front porch.
If you’re willing to work with them and continually update your property to make it attractive and competitive, you’re going to have an easier time retaining your tenants.
Both repairs and regular improvements will reduce tenant turnover and even increase the amount you are able to charge in rent. When your residents get a sense that you’re willing to improve the property and make it better for them, they’ll want to stay.
Pet-Friendly Rental Homes Retain Residents
This is often a surprise to property owners. Pets count.
Are you allowing pets?
If not, you should consider it because in many cases, retaining tenants is easier when you have a pet-friendly home. This is because it’s not always easy to find a rental home that allows pets. So, when tenants with pets move into a home, they’re more likely to stay there. They know that not all rental properties will accept pets. They also typically have to pay a pet fee when they move in, and they won’t want to pay a new pet fee when they move.
It’s more cost-effective for your tenants and better for their animals to stay where they are. So, allow pets, and you’ll notice that you’re doing a better job of keeping your tenants in place.
Reasonable Rental Increases
What are you planning to do about raising the rent? As you can imagine, this has a big impact on retention.
For most landlords, expenses go up year after year. You’ll have to charge a little more when you’re renewing a lease agreement with your tenants. Rental increases are normal and expected. Most tenants will not be surprised if you approach them at renewal time with a slight increase in what they’re paying every month.
That doesn’t mean you should chase away a great tenant with an unreasonable rental increase. Don’t jump from $1,250 a month to $1,850 a month, and expect to keep your tenants.
Study the Killeen rental market and homes that are similar to your rental. You’ll want to know what is being charged out there. Chances are, you’ll be able to raise your own rent while still staying at or just below the market prices. This will encourage tenants to stay because even though their rent is going up, they don’t have to worry about the expense and hassle of moving into a new place that probably will cost just as much or more.
Partner with a Property Manager in Killeen
We can list dozens of excellent reasons to work with a Killeen property manager. One of those reasons is our ability to retain residents. We can help you reduce turnover and keep your best residents in place, renewing their lease agreements year after year.
Property managers generally do a better job of retaining residents than DIY landlords because we understand what those tenants need and expect. We also have excellent relationships with vendors and contractors, which means we can facilitate repairs faster.
When you’re trying to hold onto your good tenants for at least another full lease term, it’s important to begin thinking about retention plans right away. We’re proud of our retention data, and we know our owners appreciate avoiding those costly turnover requirements and the stress around having a vacant rental home.
Leverage the expertise of a Killeen property management team to retain your best tenants. We’d love to be the team you count on. Let’s talk about the strengths and challenges of your property and what we might be able to implement right now to keep your best tenants happy. Contact Shine Residential Management.
A property management company based in Harker Heights, Shine Residential Management cares for exceptional single-family homes throughout Central Texas, including in Killeen, Temple, Belton, Copperas Cove, Salado, and Georgetown.
