Dallas has a higher number of renters than buyers, with 59% of households being renter-occupied. Because of this high statistic, the market is competitive and it is important to employ lease renewal strategies to keep your tenants living inside of your properties.
Whether you are a first-time landlord or a seasoned veteran, it is important to know how to retain tenants. Here are a few tips that will help you to decrease your vacancy rate and get your tenants to renew a lease.
Build a Positive Landlord-Tenant Relationship
It is already hard enough to attract tenants in a tough market, so once you have tenants, you will want to work hard to build strong relationships with them. Cultivate positive and respectful relationships with your tenants by providing regular communication and responsiveness to their concerns.
Provide Expert Customer Service
Make sure you are responding promptly to maintenance requests and address concerns efficiently and quickly. You will also want to make sure you are handling any conflicts in a friendly manner. This will enhance the tenant's experience and make them more inclined to stay.
Fair Rent Increases
The average rent for a one-bedroom apartment in Dallas is currently $1,520. If you plan to increase your rent prices higher than this, then do so moderately and consistently. Sudden and significant rent raises may prompt tenants to explore other housing options.
If you provide reasonable and predictable rent increases, then this will foster transparency and help your tenants budget accordingly.
Consider offering incentives to tenants who choose to renew their leases. Popular incentives include rent discounts, free cleaning services, or appliance upgrades. The promise of these incentives can make the decision of renewing more appealing to your tenants.
Be Flexible With Lease Terms
You will want to offer flexible lease terms that cater to a wide variety of tenants. Some tenants prefer shorter leases, while others love the stability of longer-term commitments. Providing a wide range of options will make your property more attractive to a larger scope of renters.
Provide Quick Maintenance
A well-maintained property will help to create a positive living environment. Make sure you are regularly inspecting your properties and addressing maintenance issues quickly. When your tenants see that you care about the property, they will be more likely to want to stay.
Send Renewal Reminders
A few months before your tenant's lease expires, consider sending a lease renewal reminder. Oftentimes, tenants forget about the approaching expiration date, and a gentle reminder allows them to plan for the renewal or to communicate any concerns they may have. If they bring up concerns, then be flexible and open to negotiating certain terms of the lease.
Employ These Lease Renewal Strategies Today
Now that you know all of the best lease renewal strategies, it's time to get started. Flexibility, reliability, and friendliness are just a few factors that will help you retain your tenants.
If you need help managing your rentals, then get in touch with PMI DFW Properties. We provide both residential and commercial property owners with the highest quality property management services. Contact us today to get started.