Why must good things come to an end? That’s the question you ask yourself when a model tenant decides that they don’t want to renew their lease. Now you’re back to the beginning, searching for another renter who will hopefully pay the rent on time, respect the property, and actually be pleasant to deal with when making maintenance calls. But why do good tenants leave in the first place?
Sometimes tenants have to leave for reasons beyond your control. Maybe their financial situation has changed, their job relocated them, or the space isn’t big enough for their growing family. Maybe they need a change in scenery, the neighbors are annoying, or they want to be closer to home. Personal circumstances change all the time, and there’s no guarantee that the lack of renewal relates to the property. However, there are some factors that could push them to look for a different property in the area:
- Lack of Trust
As your parents always told you growing up, trust is a must. If you can’t trust a tenant to keep the property in good shape or they can’t trust you to have repairs done in a timely manner, there simply cannot be a lasting relationship between the two. It’s important for renters to be able to trust you to take care of the property, and to feel comfortable dealing with you. Reach out to your current tenants, or start off a new tenant relationship on the right foot by providing a small welcome gift. - Lack of Communication
Communication is key. Tenants like to be in the know, and a simple text can keep them up-to-date with the status of repairs or easily answer any questions they may have. If they find it difficult to get in touch with you or feel that you don’t share enough information with them, then they won’t want to continue renting your property. Be sure to encourage two-way communication, and your renters will appreciate it. - Lack of Up-to-Date Features
While tenants might not expect every property to have those ridiculous refrigerators with a television in the door, they do want to live somewhere with modern features. If your property has outdated appliances that never seem to work, don’t expect renters to stick around. Another thing to consider in our ever technology obsessed society would be to offer options such as online rent payments, which would make your tenants life easier come the first of the month. - Increase in Rent
It’s understandable to have to raise the rent to keep up with market demands, but there is no guarantee that your tenant will be happy with it. Big surges in rent price is likely to stop renters from renewing a lease, much more so than small increases. Consider working with your tenants to come to a compromise if they are unable to adjust to the new rental amount. Be sure to reference popular rental sites beforehand in order to view the comps your renter is sure to review after receiving their rental increase in order to better justify your decision in the eyes of your tenants.
Tenant turnover can be expensive, and no one wants to lose good tenants. Try to check in on your renters, and encourage that they come to you with any concerns that they may have. A good landlord-tenant relationship is the basis for a long-term rental agreement. Working proactively to engage with your tenants could be the thing that pushes them to renew when their lease is up, and stop you from having to look for other renters.
