Every landlord, whether new or old, knows the consequences of having a high tenant turnover rate. On top of losing rent (and possibly your primary source for paying out the mortgage), losing a tenant means paying for advertising, cleaning, and repairs. In a similar way, It also takes effort to find a tenant who is willing to stay long-term without causing large damage or fuss.
In a survey done by the Ministry of Housing, Communities & Local Government last 2018, private landlords were asked whose choice it was to discontinue a lease renewal. Around 50% reported that they had at least one tenant who decided not to renew once the lease ended. Nearly 25% answered that their tenant had left before the contract ended. While the reasons may vary, some of the causes may be prevented. The longer your unit sits empty, the higher your expenses will raise.
Think of it like this. Every day that your real estate is unoccupied, you are losing money. Time is of the essence. It is important that you immediately find a tenant ASAP.
How to Attract Long-Term Rentals
While there is no formula for finding the best tenant, you can find ways to be a better landlord to your current ones. One thing that you should know as a landlord is that word of mouth, referrals, and recommendations are important aspects to your business.
To avoid the uncertainty of going through the process of meeting a new tenant, you can invest your time, effort and money on keeping tenants longer. Having a good track record when it comes to tenants is also great advertising.
It is important to establish a good rapport with your tenants. Tenants can even help you look for their replacement. One usual occurrence is that they recommend your property to their family relatives, friends, and co-workers.
Here are some tips on how you can attract long-term rentals in London:
Make a Good First Impression
Your engagement with your potential tenants starts the moment they see your ad online. Once the date of their first walk-through arrives, they will get to know you and your customer service skills better. In the same way that your smile remains warm and your personality approachable, remember to keep the apartment or residence inviting.
While they may sign a one-year lease with you, staying in your property for a longer time will hinge on this first meeting. Once they have decided to sign your contract, welcome them with a small gift, share a few tips on the surrounding area like recommending your favourite restaurant.
If they are moving from a different city, you can also give them details to the nearest self-storage unit in London .
Respect your Tenant
While this tip should go without saying, your tenants are aware of how you treat them and other people. Once they find out that you are unfair towards other tenants, they are likely to look for another place. Not all tenants are perfect but it is helpful to remember that they are humans as well, in need of empathy and understanding. Treat everyone with respect and human compassion.
Holding your tongue during heated moments, keeping communication open, replying in a timely manner, and respecting their space and time can help you establish a better relationship with them.
If there are repairs or inspections that need to be done, make sure to notify your tenant ahead of time. Bring in workers only when your tenants are home. This will prevent any misunderstandings and also allow them to trust you in return. You can also encourage trust by scheduling inspections. While it can be tempting to surprise "bad tenants" with one to catch them breaking the rules of the lease, this can ruin your relationship with a great tenant.
It is also good to keep a professional relationship with them. Partner your warmth with efficiency, knowing when to make small talk and when to get to the point right away. There are certain boundaries that you must never cross with your tenants.
Focus on the Little Details
While big gestures encourage appreciation from your tenants, paying attention to little requests encourages trust. Whether it is fixing the leak on their sink, pruning the shrubs on their terrace, or replacing light fixtures, every effort you put into their requests will help them feel respected. Make sure that you cater to their requests in a timely manner. Have a “done within 2-3 business days” policy. Even if the deed to the place reflects your name, you also want your tenants to consider the place their home and to recognise the value of their property.
If the property is old, you may want to consider upgrading or renovating some areas to appeal to younger tenants. People usually look at the kitchen and bathroom when inspecting their future home so keep in mind to add new cabinets, appliances, tiling, and air conditioning. Turning your house into a smart home can also help attract tenants. While these are big investments to make, they will not only increase your property's value but also encourages your tenants to stay longer.
Take proactive steps, as well, when it comes to security. Instead of waiting for suspicious activities to happen, you can make the first move by upgrading your security system. Install advanced locks, cameras, and video feeds to help your tenant feel more secure and in control of their space. This will not only ease their minds but will also protect your property from malicious persons. A property that has a track record of theft, vandalism, or house break-ins is not exactly a property that sells.
When tenants want to make small renovations on the interior decor, this is a possible sign of them wanting to stay long-term. If you are strict about your rules, it would be wise to relax them and allow your tenants to personalise their space. This allows them to feel comfortable and have "ownership" of their space.
Being a landlord is much like having a business. You need to establish good marketing and branding strategies for you to optimize your income. Make sure that you take care of your public reputation if you want to stay long in the business.
My name is Hassan Awan. I am working as a blogger on selfgrowth