Want to keep tenants on your rental properties? Read this list of 7 ways to raise your tenant retention rate now!
It’s the priority of every landlord to keep high-quality tenants in their properties. Tenants that don’t cause trouble and always pay their rent on time. That said, however, you won’t be able to find perfect tenants every single time. Still, it’s also important to remember that tenant turnover is one of the most expensive parts of rental properties. As such, landlords generally need to avoid tenant turnover as much as possible. To help you with this, we’ve put together a list of 7 ways to raise your tenant retention rate.
Thoroughly screen tenants before accepting them
First up on our list of the seven ways to raise your tenant retention rate is finding good tenants in the first place. Screening your tenants before allowing them to stay on your property is the best way to ensure they won’t cause trouble and you won’t have to kick them out. So, do a background check, verify their income and look into some tenant references. When talking to the tenant references, ask them questions such as: were there issues with the tenant, did they pay rent on time and in full, how did they maintain the property, and would they rent to this tenant again? If you don’t like what you hear, it’s probably best to decline the tenant. Additionally, consider some staging tips for your rental property to attract tenants in the first place.
Keep rent increases consistent and fair
As a landlord, one of the priorities for your rentals is to bring in profit. As such, it’s understandable that, over time, you’ll increase the rent rates to stay profitable. However, prices rising suddenly and by too much can scare off a lot of tenants. Try to keep the increases smaller and introduce them over more extended time periods. Additionally, do market research and justify your reasons for increasing the rent. A good rule of thumb is to keep the rates lower than market rates and implement them slowly. Additionally, experts from Peasley Transfer & Storage advise that, if you do have to turn over a tenant, there are benefits to having a storage unit on standby. A bit of extra space never hurts.
Give incentives for lease renewals
One of the most important ways to raise your tenant retention rate is to give incentives for lease renewals. After all, your tenants renewing their lease means they will stay on your property, which should be a priority. The most effective incentive is, of course, a discount on the rent. However, this isn’t always an option, and you must get creative. For example, you can consider partnering with companies to offer your tenants deals and other similar things. Remember, you need to keep your tenants interested, so whatever offer you make, you need to make sure it’s something they’ll consider.
Keep an eye on the rental markets
Local amenities are a big part of retaining your current tenants. If your properties start to get outdated, tenants will look for better places to stay, and you will lose them. As such, it’s essential to constantly monitor the local rental markets and stay up to date with your properties. Remember, upgrades to your rental properties are investments and will pay for themselves in the long run. Of course, questions like should you install smart technology in your rental property are good to ask. But, generally speaking, the answer is usually yes, especially if other properties in the area are starting to do it.
Make maintenance a priority
Nobody wants to stay on a property that is falling apart, and that’s completely understandable. This means that you should always prioritize maintenance for your rental properties. Be proactive with your maintenance, and make it a routine that you stick to. If some unexpected problems occur, whether it’s a complete accident or the tenant’s fault, make sure to fix them as soon as possible. Of course, avoiding emergency repairs is the best way to deal with them, and if a tenant notifies you of an issue, it’s important to answer promptly and get it fixed. This also builds trust and shows that you are a professional, which are both excellent for tenant retention. Finally, if you need to change the flooring on your properties, consider how to choose the right flooring for your rental property. These things are going to keep your tenants happy and in place.
Provide quality customer service
No matter how you look at it, customer service is essential for all businesses, and rentals are the same. If your tenants feel heard and valued, they will likely stay on your properties. This starts as early as their move-in date. You must provide all the information your tenant needs to move into the property. From there on, make sure to listen to their requests and worries and reply promptly. If any sort of issue arises, answer them as quickly as possible and see that they’re solved just as quickly. And when dealing with problems or general maintenance, keep your tenants updated on the progress. Remember, everyone likes being heard and valued, and it goes a long way for your tenant retention rate.
Be professional but also personable
Every landlord has measures and punishments for damage to the property, missed payments, and other issues. It makes sense, as they need to enforce the lease rules to stay in business. However, remember also to be understanding with your tenants. For example, if your best tenant happens to miss a payment, try to check in with them. See what the problem is and try to find a solution instead of immediately resorting to punishments.
7 ways to raise your tenant retention rate – wrap up
Landlords need to ensure their tenants stay on their properties to avoid losing profit. Thankfully, there are quite a few easy ways to increase retention rates if you’re willing to put in a little effort. We hope that this list of 7 ways to raise your tenant retention rate helps you out.
It’s always best to enlist the help of reputable real estate professionals like Clark Real Estate who are intimately familiar with the area you’re moving to, as they will be able to avoid any unforeseen pitfalls in the process.
Start by getting to know your credit score. A score of at least 620, coupled with a low debt-to-income ratio, will help you get a better interest rate on the home of your dreams. Yahoo.com explains that you also need to make sure that you have enough money for a down payment and to make trips back and forth if you wish to visit your new home before you settle in. If you’re looking to save some money, and find an “as is” property, which is a home or condominium that the seller will not make repairs to. This can be a great way to reduce your overall expenses, but you’ll need to pay close attention to land records and hire a property inspector and an attorney to help you through the process.
Know Your New Area
If you’re moving with business as your number one priority, you probably are already fully familiar with the professional environment or the market. However, there are other things to consider as you make a move. If you have yet to find a position in a new job, you’ll want to take care of a few essentials before getting your name out there. One such essential is creating a stellar and professional-looking resume by utilizing a free resume builder that can be found online. You can choose from a library of professionally designed resume templates, and then add your own copy, photos, colors, and images.
If you have kids, you’ll also want to research the school systems so you won’t run into any major snafus registering your children for classes. Also be aware of the housing market in the new area. The market in Northern Nevada and the Lake Tahoe area is quite competitive, and the Reno-Sparks Association of Realtors notes that it continues to be a strong seller’s market, so you’ll want to hit the ground running when you begin shopping for your new home.
Get the Right Help
In addition to having a realtor, you’ll also want to partner with a great moving company. Make sure you get plenty of quotes, and let your moving company know that you’re moving out of the country. You may get lucky and find someone offering discounts or special credits for people willing to move during the off-season. You’ll also want to partner with a property surveyor, which is especially important if your new home is outside of the planned residential neighborhood.
Move Your Business
When you find the perfect home in the perfect neighborhood, it’s time to ensure that your business can move seamlessly with you. The requirements for registering for an LLC varies state by state, so be sure to see what’s needed in Nevada. You can save on attorney fees by using a formation service online. You also want to make sure to update all of your contact information and, if applicable, physical location on your website and social media.
Moving for a job is exciting. After all, that’s one good indication that you’re experiencing growth and forward momentum. However, there are many moving parts throughout the process, especially when your relocation takes you across state or country lines. The above info is great insight to have, but don’t forget to partner with experts that can keep you in check throughout the process.
Let Clark Real Estate build and manage your Reno real estate portfolio. Team up with the Clark brothers today! (775) 828-3355
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Buying an investment property in Nevada is a financially wise decision. And not only because it's a valuable asset that can provide you with a significant passive income. On top of that, it can be a stress-free occupation. You can run a rental business any way that suits you. However, to ensure everything goes smoothly, it's better to choose the location carefully. Both local and long-distance landlords face different challenges and enjoy different benefits. Before you decide, it's best to consider both options. With that in mind, we've decided to examine both possibilities and help you make the right choice. So, local vs. long-distance investing: which is better for Nevada landlords?
How to make the right decision?
Firstly, before you start searching for the right property, you need to ask yourself a few questions. Knowing the answers will help you make up your mind and make a sound decision. So, ask yourself the following questions:
So, what are your financial goals? Do you want to get out of debt, gain independence, or accumulate wealth? To answer this question, you need to first assess your current finances. Then visualize where you want to be in the next five, ten, or twenty years. Knowing this will help you focus your investing in the right direction.
Choose the right market
Next, you need to decide on the right market. For example, you might want to have a high rent-to-value ratio. In that case, you should choose a cash-flow market that will provide you with valuable income. Or, if generating the cash flow isn't your priority, you might want to choose a market with a potential for long-term appreciation. Lastly, hybrid markets offer a mix of both options. Of course, what you decide on depends on your long-term goals.
Self-management or using property management?
To determine your real estate strategy, you need to answer this question. Maintaining the property and dealing with tenants can be pretty overwhelming at times. From the potential renovation of the property to tenants losing their keys for the n-th time, self-managing demands a lot of effort and work.
However, some landowners prefer to be in charge and gladly take on these responsibilities. If that is the case with you, there is no dilemma. In local vs. long-distance, local investment property is a clear winner.
On the other hand, if you'd rather hire a third party to manage your property, both options may work for you. In that case, the key is to find an experienced property management company you can rely on. Whether you choose a local or long-distance property, you'll be able to save both time and effort while they manage your rental business for you.
Local investment property
Now, let's have a closer look at what you can expect from buying a local investment property.
Familiarity with the market
The first and most obvious advantage is that you're more likely to be familiar with the market when you're investing locally. Every local market is unique, and knowing little flows and trends can help you invest in the right property. You'll know all the local attractions and amenities that are likely to attract tenants. However, doing proper research is still a must.
You'll have more control
This is crucial for many landlords in the local vs. long-distance dilemma. While it's not impossible to manage your property long-distance by yourself, it's certainly more demanding. On the other hand, you can choose a more hands-on approach as a local landlord. For example, you can meet with your tenants when necessary, show your property in person, and perform an inspection of the property.
You can hire local contractors when necessary
When you delve into investing in real estate, you're bound to need contractors at some point. Whether you want to remodel that fixer-upper or need some repairs, finding the right contractors locally is much more manageable. Firstly, you can choose them yourself and ensure they're suitable for the task. Secondly, they're less likely to try and take advantage of your absence.
Long-distance investment property
However, long-distance investments also come with their own set of advantages and drawbacks. Let's have a proper look.
A wider range of investment opportunities
Depending on where you live, your local market might not be able to offer you what you want. What if you need cash flow but live in an appreciation market? On the other hand, if you don't limit yourself, you can opt for a more profitable market with a higher return on investment.
If you find the right property in other parts of Nevada, you might even want to relocate there! If the business proves very lucrative, this might be an excellent idea. However, if you want to live nearby, ensure you plan your long-distance relocation with care. From packing your belongings to hiring trustworthy movers - many tasks will require your attention!
Use a property management company
Of course, you can do this on a local level, too. However, limiting yourself may lead to losing some excellent opportunities. And if you plan to hire property managers in either case, a long-distance investment can be a better choice. There are many reasons to hire property managers! Although it may seem a more expensive option at first, it can save you money in the long run. Especially if you don't have a lot of experience - they'll ensure your tenants are satisfied and your property in good condition.
You can use your property for a variety of purposes
While your goal is mainly to rent your property to tenants, you can also use it as a vacation home in between. Or, your kids can use it when they start college - no accommodation worries! And lastly, you might choose to relocate or retire there someday.
The bottom line
As you may see, there are many things landlords should consider when it comes to local vs. long-distance investing. Both options come with their unique advantages and issues. However, once you know your long-term goals and preferences, you'll be able to make the right choice.
Meta description: Buying the right investment property is not an easy task. Find out which is better for landlords - local vs. long-distance investing!
Hiring a professional to manage your investment property can take a considerable burden off your shoulders. You can still collect a profit from the rent without having to deal with the tenants or their issues. However, for things to run smoothly, it’s still important that you get along with the person managing your property. In this article, we will explain how to build a positive relationship with your property manager.
Talk About Everything in Advance
It’s very important to talk about and accurately define your expectations upfront so that there are no misunderstandings. In every human interaction, it’s very common for people to have unspoken expectations or take something for granted. However, when entering a professional relationship, it can be a huge mistake to leave any important topics unaddressed.
Try to get everything in writing. The basis of any professional relationship is a signed contract. A legal document can help you outline the duties and responsibilities of the involved parties. The contract with your property manager will detail the fees you are obliged to pay the manager, as well as the exact services they will be providing for your Reno investment property. After the paperwork is out of the way, you can continue to build a positive relationship with your property manager, as neither of you will have to worry about the legal aspect of your professional interaction.
Communication Is Key
Some landlords don’t want to deal with their property at all, and that’s probably the main reason they hired a property manager in the first place. On the other hand, there are landlords who want to have a hands-on approach and constantly be kept in the loop about what’s going on with their property. While discussing how communication will function, you can also agree on how it will happen – are you going to talk over the phone or just through emails.
Have a Plan to Deal With Emergencies
It’s easy to build a positive relationship with your property manager when things are going fine. When there is no stress on the horizon, people generally tend to be relaxed, happy, and accommodating. However, in order to keep the relationship with your property manager functioning, you also need to have a protocol for dealing with stressful situations. Have a plan for dealing with:
Find a Property Manager You Are Comfortable With
Even before you start looking for a property manager, you should go through a brainstorming process. First of all, try to think of what your deal-breakers are and what you will instantly say no to. Meet the property manager in person and see if you like their attitude and overall demeanor. You can ask them for their references and about their previous experience. Get a property manager who has a good reputation and comes with a recommendation.
Inquire about their management style and how they handle various issues that can occur. Think up possible problematic scenarios and ask the property manager what they would do in that situation. The best way to build a positive relationship with your property manager is to find someone you think you’d like to work with.
What if You Are Not Living Near Your Property
It’s common to hire someone to manage your Reno property if you aren’t living there yourself. If you are the owner of a remote property, it will probably be difficult for you to visit and inspect it often. Therefore, it’s essential to build a positive relationship with your property manager that is based on trust. On the other hand, you could choose to relocate to be closer to your investment property. For example, if you currently live in Vegas, you could leave Las Vegas for good and move to Reno. This way, you could live nearby and easily handle any emergencies with your property.
Connect on a Personal Level
Although you are paying the property manager for their services, and your relationship is on a professional basis – it’s still okay to ask your property manager a few personal questions and learn their story. For starters, it’s the polite thing to do. Consequently, if business is all you ever talk about, building a positive relationship with your property manager will be tough. You can also congratulate them when they manage to quickly resolve a problematic situation. After all, giving credit where credit is due is normal for any professional relationship, so why would you treat your property manager any different?
As you can see, there aren’t really any secrets or tricks that will help you to build a positive relationship with your property manager. Base your relationship on mutual trust and respect, and get everything important defined as soon as you start working together. Preparation and forethought can save you a lot of stress in the long run. If you set things up correctly from the start, you could have an excellent professional relationship with your property manager that can last for a long time.
In the world of real estate, having a rental property is an excellent investment. You will benefit not only from long-term investment returns but also from interim income. This is why many investors are looking for rental opportunities. However, being a landlord is not an easy job. It can be pretty demanding at times because it requires many skills and knowledge about real estate. So, if you're having a hard time being a landlord, you should definitely consider hiring professional help. Read this article to find out about 5 signs that show it's time to hire a property manager!
You don't have time to manage
One of the main reasons landlords choose to hire a property manager is they simply don't have enough time to manage their investment. More often than not, being a landlord is not a full-time job, but it sure is time-consuming. It comes with regular responsibilities and requires total commitment. This being said, if you have a full-time job, managing your rental property as a side job can become an issue.
Another problem can appear if you have multiple rental properties. The more properties you're leasing, the bigger management needs you'll have. It's hard to keep up with one; imagine with two or more! Therefore, it's highly beneficial to hire a professional in situations like this.
You have a problem with tenants
Being a landlord means choosing reliable and responsible tenants who will be respectful of your property. Unfortunately, this is harder than you think. As a landlord, you might face a lot of unpleasant situations. Here are the most common examples:
You don't live nearby
Not living in the area of your rental property can turn into a problem when it comes to being a landlord. The distance can intervene with your management obligations. For example, even if the property is in excellent condition, there will be times when you need to drop by and pick something up or inspect the building. You will be unable to respond to these emergencies if you don't live nearby. As a result, anyone who lives far away from their commercial property should think about contacting a professional manager to keep an eye on it. Hiring a property manager eliminates the need for you to commute back and forth every time your tenants need something. You'll be able to rely on the manager and their expertise when it comes to managing your property without your supervision.
You're struggling with leasing
As an investor, you want to make the highest possible profit from your investments. If you're renting a commercial property, this means you'll have to have tenants at all times. To make this happen, you have to meet the tenants' needs and keep up with the current real estate trends. Learn about what's hot on the market at the moment, how you can interest potential tenants for your apartment, what you can do to improve it, etc.
Every good property manager has this kind of knowledge, so it would be a good idea to hire one for some expert advice on the matter. Tenants may relocate for a variety of reasons, but the property managers can assist in lowering turnover. They know how to make tenants happy and keep them from looking for a new place to rent. Additionally, they will definitely have good marketing strategies and a network of interested tenants to occupy your property. All things considered, hiring a property manager is a win-win situation.
You don't know anything about rental laws
Every successful landlord should know the local landlord-tenant laws. Every municipality has its own regulations when it comes to the relationship between the landlord and their tenants. In a nutshell, these regulations are the guidelines on what your obligations and responsibilities are as a landlord, and they apply to tenants as well. So, before renting a property, you should get to know these regulations very well. If you don't have time for this, or you're having problems with understanding and applying all the rules, you should definitely consider hiring a professional property manager. They will know these rules by heart, and they'll take care of everything you are having trouble with.
Additionally, property managers can help you with getting all the legal documentation you need for your rental property. As a landlord, you'll have to get a few licenses and follow proper regulations when it comes to your property. All this can be a bit overwhelming, so it's a good idea to have a professional take care of it. They know every code and regulation, and they can help you obtain every license you need. It's also convenient because the property manager will make sure everything's done according to law, so you won't have problems in the future.
Are you ready to hire a property manager?
Based on the above mentioned information, we can all agree that being a landlord is a demanding and time-consuming job. It requires a diverse skill set and proper knowledge of the real estate market and its constantly changing trends. Therefore, if you're struggling with any of the things we mentioned in this article, it's time to contact a property manager to help you take the management obligations and stress off your plate. This would allow you to continue expanding your business without dealing with minor problems that can quickly escalate into major headaches. So, don't hesitate and make that call!
Let's start with the scope of things. Just how much could the Tesla Gigafactory ignite Reno's economy and housing market?
Here we see why they don't call it a factory, but a gigafactory:
Let's just talk in terms of physical size. What does a structure that size do to an economy? It brings immediate jobs in the construction of the structure, it maintains jobs as a whole workforce is needed to run that place, and then it brings tourists--because Reno is now on the map and has one of the wonders of the world (so to speak!).
So what does that mean for your real estate investment portfolio?
If you have any real estate in the Reno area, hold it. Now is not the time to sell, unless you're converting up into more units. If your properties are frustrating and not bringing in a profit, consult one of our property agents. We are happy to give you some pointers on making your investment a success.
If you don't have any real estate in the Reno area, let's get started. The Tesla Gigafactory is scheduled to bring in 6500 jobs ranging from lower-level manufacturing to higher-level engineering and technology. That means a range of incomes and housing needs.
Just about ANY rental properties will be a good investment at this time. Look for properties close to major highways, and units that cover their cost today, with the ability to improve and raise the rents in the future.
Fix and Hold and Flip Properties:
Nevada mandated that at least half of the workforce at the Tesla gigafactory needs to be Nevada residents. The other half will need a place to call home! Assume that much of the other half will be higher level engineers, scientists and inventors. While Reno is striving to offer the best in Sciences and Engineering education, the Tesla factory will need the best of the best in 5-6 years. Look at properties with that timeline in mind. What improvements can be made to a property with a 5 year budget, and with a tenant in place for much of that time? Look for neighborhoods with artists and innovators; neighborhoods that are just starting to show improvement is where you'll find the bargains. Start your improvements on the exterior of the property to further advance the revitalization of the neighborhood.
Let the professionals do the day-to-day maintenance and management of your property. It is going to take 5-10 years before we experience the influx of revenue and jobs that Tesla promises. If you are living out of state, there's no reason to take on the hassle of managing your new Reno real estate. With a 5-10 year timeline, it's time to get comfortable, and we can help! With our proven track record of filling vacancies and maintaining properties, Clark Real Estate can turn your real estate investing dream into a reality.
“The present is theirs; the future, for which I really worked, is mine.”
― Nikola Tesla
Property Management in Reno Midtown
What's so great about Midtown Reno?
There are a lot of people responsible for making MidTown inviting, our smiles are real. We are happy you are here. We are sharing with you our very best effort at being original, inventive, and courageous entrepreneurs. MidTown is really about a bunch of like minded business owners who realized they have something special right under their noses- the opportunity to change the face of a neighborhood, MidTown, comprised of fabulous buildings with character and quaint old houses crying out to be re-purposed. Likened to the California gold rush, people were drawn from many miles away to open up shops. They wanted to be next to people, eventually friends, they knew would protect their very ideals: breathing a life and new energy into Reno, a group of small business owners working together cohesively to better the shopping corridor. It caught on and stores from other locations began to migrate to MidTown to make a difference. The corridor was gentrified with new store fronts, new energy and new friends keeping a promise- the promise to be original and to stick it out together. Welcome to MidTown. [MidTown District Reno]
Looking for a property, or looking for a tenant
Whether you're looking for a home or a commercial space, in Midtown or beyond, we look forward to assisting you in finding the perfect place!
Please contact us so that we can get started on your property search!
If you have a property that's been sitting vacant, we would appreciate the chance to give your property a free rental review. We'll chat with you about your goals for your property, research the property, and let you know how much we can get it rented for.
As you can see from our limited available properties, we are good at filling vacancies! Please check out our Owners Portal to see a list of services we can provide for you, and then go ahead and request a free rental review so we can get started!
Clark Real Estate
305 W. Moana Ste C
Reno, NV 89509
Reno Property Management