Raise Your Rents without Losing Your Tenants
Raising the rent can sometimes leads to lose your tenants as it may annoy or frown them. You need to deal with the tenants systematically to avoid hassle free rent raise. It is usually inevitable as the costs increase, high tax, insurance costs, etc. increase. Check out some techniques to raise your rent without dissatisfying your tenant. SZZ Properties is your best choice when it comes to dealing with rental matters.SZZ is a popular Real Estate Company in Dubai offering services like Apartments/villas for Rent.
Have a rent raise policy and do not follow the market trend to raise your rent. A policy you could employ be increasing your rent by 2-4% yearly. The owners make a 5-10% increase in rent to avoid house being vacant beyond a month. Offer your tenants options to extend the rents like signing a two or three year’s lease instead of one to cut down on increment in the next year. Thereby doubling the average returns you’d get.Do not act or get greedy when it comes to raising your rent. Consider your location, property, amenities and your competition into consideration when raising the rent.
If you get greedy, the other landlord with reasonable rental price gets your tenants. While increasing the rent come to an agreement with your tenants without being an uncompromising landlord. Try to be approachable or else you would see your house without tenants. Rent raise is strenuous in a way as it clearly specified in the rental agreement. Make your tenants know about the yearly rental increase of 2%. So that you can avoid complaints regarding this and act as an evidence for rental raise. Rent increment should be clearly specified in the rental agreement and give a notice as a reminder. It is required by law to notify the tenants about the rental increment and a specific time duration such as 30 or 60 days is given before the lease expires.
Value their money and feelings. Build trust by making upgrades on your property. Ask for their suggestions as well as repair request. By applying these features you can keep your tenants still give a fair Return on Investment (ROI).