Making and Implementing a Tenant Retention Program
March 3, 2019
Tenant turnover causes a number of problems for property managers as it makes it hard to maintain a steady cash flow. Having an effective tenant retention program is one of the best ways to focus on keeping your good tenants and keeping them happy. Turnovers not only make it hard on your cash flow, you also need to worry about repairing and cleaning up the property after each vacancy. Keyrenter Property Management Houston, TX, has some tips to help you make and implement an effective tenant retention program.
Tip # 1 – Know Your Target Market
It is important to know who your target market is when you are searching for new tenants. Younger renters are looking for new, fresh, modern, and sleek. No matter where the property is located, it is important to make sure it is updated and within the same rental rates as other units in the area. Research your competition to find out if your property is comparable, and how you can improve your property to give it an advantage. Do yourself a favor and walk around the neighborhood occasionally to get an idea for what your tenants experience living there, and how you can continue improving the area to make it safer, healthier, and overall better for your tenants.
Tip # 2 – Communicate Effectively With Your Tenants
Quality tenant relationships often start when landlords openly talk to the tenants about what they enjoy about the home, and what they wish it had. Finding out some of the “dream list” items your tenants want can help you make some into a reality, keeping your tenants happy. Keep your tenants in the loop about remodels and updates to the property. It is also important to provide helpful tips to tenants in the form of monthly newsletters. Staying in regular contact shows tenants you care and you are actively involved with the property.
Tip # 3 – Have an Effective Screening Process
Effective tenant retention starts with having a tenant screening process in place. When you end up dealing with tenants that fail to pay rent on time, or have caused several problems, it is important to look over the screening process. Running a credit check and learning about your tenants financial background can give you insight into the type of people you are leasing your property to. If you do not run important checks like this, it can make you vulnerable to having higher tenant turnover.
Tip # 4 – Give Notification
When you need to conduct a property walkthrough, it is important to always give notification to the tenant. Not only should you give notice as to when you will come into the unit, you should call when you are on the way so they are prepared to see you soon. Quality tenants usually want to present their best to landlords and appreciate having a few extra minutes to tidy up the property.
Tip # 5 – Be Responsive
If you are responsible to phone calls, emails, and text messages from your tenants, it will improve loyalty. If a tenant has an emergency, react quickly. When you are responsive to the tenants, it improves trust, but also causes many tenants to focus on remaining loyal and staying in the property for many years to come.
Tenant retention doesn’t have to be as challenging as you might think. Hire a property management company to assist with your property and help you grow your income.