About 25% of renters are successfully negotiating lower prices when their leases are up for renewal. Renters want to stay but don't realize it's an option. Getting tenants to renew their leases can boost your occupancy rate and earning potential.
Not sure how to generate more lease renewals in Phoenix, AZ? Read on for five effective tips to help you improve your lease renewal strategy. With these tips, you can maximize your occupancy rate in no time!
1. Upgrade the Rental Property
Tenants may not want to stay in your Phoenix rental property if it's less appealing than another property at a similar rental rate. Encourage more tenants to renew by offering rental property upgrades.
Talk with your current tenants. Ask what they're looking for in a rental property. Some may mention they want modernized systems that match their tech-savvy preferences.
Allow renters to pay rent online using a tenant portal. Streamlining communications can boost your tenant satisfaction rates. Happy tenants are more likely to renew their leases.
When choosing rental property upgrades, choose options that will boost the property's value. These include:
- Keyless entry locks
- Learning thermostats
- New kitchen appliances
- Energy-efficient upgrades
- Smart home devices
These upgrades will improve the tenant's living experience. They'll want to stay knowing you care about their needs.
2. Use Leasing Technology
Simplify the process of getting tenants to renew their leases. Virtualize and automate the process using leasing technology. Offering tenants the ease and convenience of an online portal can boost their satisfaction rates.
This software can:
- Track move-in/move-out dates
- Reduce human error
- Save you time and money
The software can automatically send tenants a letter when their lease is 90 days away from ending. Sending an early notice will give them time to review their options. If they decide to leave, you'll have early notice, giving you time to market the property.
3. Prioritize Maintenance
As you learn how to retain tenants, it helps to anticipate their needs and exceed their expectations. Your renters may get frustrated if you neglect to fulfill their maintenance requests. Some may move out or decide to take legal action.
Use your tenant portal to accept and track maintenance requests. Complete projects quickly to show renters you care about their needs.
Screen tenants before gaining new renters. Avoid tenants with a history of causing property damage.
4. Offer Incentives
Offer renters incentives to encourage more lease renewals. For example, you can cover a month of their rent if they renew. Consider offering gift cards to local shops as well.
5. Request Property Management Services
If you need help developing a strategy for more lease renewals, hire a property management company. Full-service property management services include:
- Inspections and maintenance
- Marketing
- Tenant screening
- Legal services
Your property managers can interact with tenants on your behalf. They can boost tenant satisfaction to help you retain renters.
Increase Lease Renewals in Phoenix, AZ
Generating more lease renewals will help boost your ROI. Use these tips as you learn how to retain tenants. Otherwise, ask for help!
PMI San Tan has over 20 years of experience in the real estate industry. We customize our services to meet each client's needs.
Rely on our state-of-the-art technology and award-winning services. Contact us for help with your lease renewal strategy.
