As a property owner, you want to find long-term tenants to occupy your units. That’s because these kinds of renters save you time and money. As a result, you can put all your focus on serving your tenants to the best of your ability.
Benefits of Having Long-Term Tenants
1. Consistent Income
As a property owner, you need to allot a budget for property maintenance expenses. Whether your unit is occupied or not, this is a recurring cost. So, it makes sense that having regular tenants will help you out in the maintenance budget department.
Furthermore, when you have long-term tenants, you can plan and invest more on property assets compared to when you have short-term tenants.
2. Save on Marketing Costs
When you continuously have quick turnovers in your properties, you’re going to spend a lot of money on marketing. When conducting marketing promotions, you’ll be printing ads, offering incentives and hiring professional photographers to take good photos of your rental unit. Some property owners even hire a marketer when the rental property has been vacant for too long.
All of this becomes very costly. Aside from financial costs, it will also take a lot of your time and effort.
So, having long-term renters means you pocket more of your earnings instead of laying out cash for marketing purposes.
3. Avoid Conducting Tenant-Screening
When trying to attract new tenants, another time-consuming process is the tenant-screening you must perform. This is a vital procedure, but it takes hours to get done effectively.
Having long-term tenants saves you from assessing submitted documents and calling up their references. It also saves you from expending more energy reviewing and verifying the data presented by the applicants.
When you have long-term tenants, you can rest easy and have peace of mind knowing that your tenants are reliable and responsible.
4. Continuous Relationship Building
When you keep changing renters, you have to deal with the constant influx of new personalities. You have to keep readjusting your communication patterns. This might take awhile to get used to. That said, when you have long-term tenants, you’re more at ease and know their communication preferences.
Relationship building is continuous as the years go by. It helps in your policy implementation. Since they’ve stayed in your rental unit for some time, following the policies you’ve set is now second nature to them. Conflict is also minimal.
Overall, long-term tenants will offer you consistent income, more peace of mind and increase your ROI.
Now that you know the benefits of finding long-term tenants, here is how you can make it happen!
How to Attract Long-Term Tenants
1. Be a Pet-Friendly Rental
Aside from pet ownership becoming trendier at the moment, pets are also a big source of emotional comfort. This explains the rise of people owning several pets. As a landlord, opening your rental unit to tenants who own pets will be more lucrative and also encourage long-term residence. Plus, renting to pets allows you to charge an additional pet fee.
This is because:
- Not all rental properties are welcoming to pet owners.
- It takes a lot of effort to move and search for a rental space that would be conductive to pets.
With that said, once a tenant finds a unit where they and their furry friend feel comfortable, they tend to stay long-term.
4. Offer Incentives
Reward systems work in property rentals. If a tenant’s lease is expiring, you can:
- Offer a discounted rate for the first month
- Waive a rent increase for a few months
- Conduct property upgrades
You want to encourage your renters to renew their tenancy. It requires huge effort to put up ads, perform tenant screening and build a new relationship with a new renter. It’s best to channel the money you’ll be spending on marketing towards offering incentives instead.
In offering incentives, tenants will also feel that you appreciate them. This will encourage them to stay longer.
5. Keep your Property Well-Maintained
Even if your rental property has a strategic location and is close to wonderful amenities, there can still be a huge turnover if you don’t take care of it properly. In order to retain your current tenants, you want to ensure that their living space is appealing and habitable.
If you religiously maintain and upkeep your rental space, it sends a message to the renters that the property is valuable. Thus, they’ll be more encouraged to renew their tenancy.
6. Provide Outstanding Customer Service
As humans, we gravitate towards businesses that are able to provide superb customer service. This extends to you, as a landlord, as well. Even if the business is mainly property rentals, a great customer service is one of the major ways to attract loyal renters who will renew their tenancy. Even if there are convenient technologies that exist to facilitate efficiency, customer service is still significant.
As a landlord, there’s still a lot of communication involved when dealing with tenants. Problems that will crop up would need to be addressed quickly and in a professional manner. A landlord who’s able to master the art of good customer service will surely gain long-term tenants.
Attracting long-term tenants requires basic strategies such as maintaining the rental home and practicing topnotch customer service. Other techniques include being more pet-friendly and handing incentives are surefire ways to keep your renters loyal.
If you’re able to combine all of these methods, then your tenants will be inspired to renew their leases year after year.
For more information, contact Florida Property Management & Sales.