5 Tips for Landlords to Increase Rents

It can be a challenging task to raise the rent as a landlord. But you have no choice to do it, considering how costs increase, in terms of mortgage rate increments, insurance premiums as well as property tax bills.

So, for this, here are 5 tips that can help landlords increase rents:

#1: Do Your Research First

It’s always a good idea to do some research about local properties and how much other landlords are increasing the rent to. In doing this, if your tenant does not like the figures, you can always show them the data that suggests that you’ve been reasonable.

#2: Plan Ahead

A number of states require you to provide an advance notice of 30 to 90 days. Check how long it is for your state. Even if they don’t agree and decide to leave, it’s a good idea to have the conversation sooner, you can find someone else instead.

#3: Notify the renter in a Face-to-Face conversation

While emails or a telephone call might work, it’s best to speak about the increase in a face-to-face conversation.

#4: Consider the time to raise the rent

The best time to raise rents is the Spring season into the summer. The reason for this is because more Americans move during the spring and summer making it easy to fill up vacant homes for rent. You can still increase the rent during these months even if your current tenant decides to leave.

#5: Keep a longer rental agreement as an option

Now if a renter express unhappiness with an increase in rent, offer them an option of a longer rental agreement instead. For example, you can extend their agreement from 12 to 18 or 24 months.