Thanks to changing market conditions, about 48% of landlords do not plan to increase their rent, hoping to avoid tenant turnover. However, there is more to lease renewals and property management than rent. Tenants want to feel the home's value is worth the monthly rent.
Offering more incentives and value can entice your tenant to renew their lease.
1. Upgrades or Improvements
Entice your tenants to stay by making your property more desirable. You can do this by replacing old flooring or upgrading old appliances. You could also add new appliances, such as a washer and dryer.
Another option is to upgrade the backyard to create an outdoor living space. This creates more livable space for the tenant to enjoy.
Adding new home improvements can also convince a tenant to renew their lease. A popular upgrade would be to add energy efficiency or smart home features. You could add a smart door lock, doorbell, and thermostat.
2. Flexible Lease Terms
While Michigan has many landlord/tenant laws, you still have the freedom to create a customized lease. Consider allowing more flexible lease management policies. This lets tenants have a greater say in the lease terms.
You may convince a tenant to stay by agreeing to lease terms that better fit the tenant's needs.
3. New Amenities
Add property amenities that the tenant can enjoy when they renew their lease. You could offer free high-speed internet or laundry services.
Another option to increase tenant retention is to offer opt-in services. These could include landscaping, house cleaning, or pest control.
Establishing these amenities can also benefit your property in the long term. Adding them to your marketing efforts will help attract high-quality tenants should your tenant not renew.
4. Free Month of Rent
Give your tenants a break and entice them to stay by offering them a free month of rent. Many landlords oppose this because it means giving up a month of income. However, if your tenant moves out, you could lose more than a month of rent while you look for another suitable tenant.
If you have a great relationship with your tenant, giving up a month's worth of rent can be worth it to keep them. Your tenant will appreciate the financial relief of having a month's rent in their bank.
5. Ease Your Pet Policy
As a landlord, welcoming pets into your rental can feel risky. However, you already went through a thorough tenant screening process. You have also seen how trustworthy and reliable the tenant has been.
Easing your pet policy can convince your tenant to stay if this is important to them. You could allow them to have an additional pet or discount your pet fees or deposits.
Increase Your Lease Renewals
Increasing the lease renewals for your Auburn Hills, Michigan, rental home is possible with these incentives. Tenants want to feel like they receive value for their monthly rental payments. Adding value at lease renewal time can be the extra push your tenant needs to renew their lease.
Schedule a consultation with our team of property managers to strategize your lease renewals.
