We all know that turnover is expensive, even in the best of circumstances. The obvious thing we all talk about to increase income and reduce expenses is tenant retention. How can we accomplish this in a world where loyalty is quickly becoming a thing of the past?
The answer I believe, is in promoting loyalty and making sure that the tenant knows we care and are doing so.
All of us are raising rents. In the rent increase letters going out, we can say, “We appreciate your loyalty; as a thank you we are only going to increase your rent by ___.” Perception is everything.
Gifting your tenants a flashlight or other useful item along with a thank you not for being a loyal tenant. Even a five dollar gift card for Amazon or Starbucks will bring a smile to a tenants face and trust me, they will feel great and appreciated when they receive it.
Try developing our own “reward” program for loyal tenants. We will find it keeps some good tenants in place that we may have otherwise lost to another property. Foster communication and good will and we will be richly rewarded.
There is an old saying that states think and you will become. I like to say, “Be, Do, Have.” If we become a loyal landlord, we will do what a loyal landlord does, and will have a reap the benefits of what a landlord that has loyal tenants has.