Have you ever wondered how to keep your tenants renewing their leases year after year?
The secret is simple. Retaining long-term tenants is about treating them with honesty, respect, and appreciation.
There are many benefits to renting to long-term tenants. Long-term tenancies limit tenant turnover, which helps you save on cleaning and renovation costs. You also won’t have to spend your time, money, and effort screening new tenants every year and navigating the move-in process repeatedly.
Long-term tenants also provide your rental business with long-term stability and security. They help your investments thrive in uncertain markets and economic downturns.
So how do you attract and maintain long-term tenancies? Here are five tips.
Table of Contents
#1 Build Relationships
The best way to secure tenants for the long-term is to build relationships with them.
What does a strong landlord-tenant relationship look like?
Landlords who communicate clearly, address tenant needs, and get ahead of problems are likely to develop healthy relationships with their tenants. Foster the kind of relationship where tenants are not afraid to reach out to you with questions or concerns. In return, you’ll feel comfortable addressing issues or correcting breaches in an amicable manner when necessary.
Additionally, always give your tenants the benefit of the doubt until they show you that you shouldn’t. This will prevent renters from forming a combative attitude towards you from the start.
#2 Treat Your Renters Fairly
Fairness and equality should be a given in any positive landlord-tenant relationship.
Inequality breeds a negative environment that can be difficult to overcome once established.
For example, if word gets out that you overlooked a tenants’ late rent payment, other tenants will expect the same. No tenant should receive an exception on rent unless you offer the same grace to all your tenants, and such a policy is listed in your rental agreement.
Outright demonstrations of discrimination are even more damaging. Not only is changing your policies for specific people a sure way to turn your tenants against you, but it’s also illegal. According to the Fair Housing Act (FHA), housing discrimination based on race, color, sex, national origin, religion, familial status, and disability is strictly prohibited.
Know the laws that apply in your state and take them seriously to demonstrate to your tenants that you want to sustain a positive relationship.
#3 Be Prompt about Maintenance
Maintenance issues can severely disrupt your tenants’ everyday lives.
A leaky faucet can lead to toxic mold growth, while a broken HVAC unit can cause your renters to suffer in extreme heat or freezing temperatures.
Show that you care about your renters’ living conditions by responding promptly to maintenance requests. Only hire contractors you trust not only to do the job right, but also to treat your tenants and their property respectfully.
The law requires that landlords provide minimum standards of habitability. Go above and beyond these standards to convince renters your units are worth sticking around for the long term.
#4 Allow Pets
For some renters, a ‘no pets’ policy is not a big deal.
But as the years go on, many of these renters might decide they want to adopt an animal companion. For many, this is reason enough to move.
Since most renters own pets, it makes sense to allow pets in your properties if you want to attract as many long-term tenants as possible.
Plus, tenants are more likely to stay put once they have a pet, as animals can be difficult or inconvenient to move. By allowing pets, you give your tenants the flexibility to adopt a companion while increasing your applicant pool. Pet owners are also typically responsible renters as well as responsible caretakers.
#5 Improve Security and Privacy
Lastly, if you’re seeking long-term tenants, security and privacy are nonnegotiable.
A college-aged renter might settle for questionable security in a temporary apartment, but long-term tenants most likely won’t. A safe and comfortable living space is essential for creating a unit that will be appealing to long-term tenants.
Here are a few ideas for improving security and privacy:
- Install an upgraded security system, including security cameras
- Secure doors and windows
- Replace weak locks and doors
- Change locks during tenant turnover
Conclusion
Long-term tenants are the key to steady rental income and steady profits. However, securing long-term tenants requires commitment to their wants and needs. By following these five tips, you can attract long-term tenancies and retain your current ones.
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