Rental Contract Expires in May 2023

[Rolando DeLeon]

I have a tenant (husband & wife)  that have been with me for 8 yrs. when they first signed the lease they asked for a 5yr lease with a (3 - 5 % ) increase per year when the 5yr lease exp. they resigned a 3 yr lease same with a (3 - 5%) increase per year. That being said, I only increased the rent once during the 8yrs. from $1675 to $1758.75 at 5%. With the recent increase in cost for everything I recently did a market analysis and it showed I should be charging $2000 - $2500 for a single-family home with 3 bed • 2.5 bath • 1756 Sq Ft with a finished basement. The current contract exp. on May 2023.  I am looking for advice/suggestions/recommendations I am thinking of increasing the new rent/lease to $2219.64 which would be a 26% increase.  What are your thoughts/recommendations? Are there any best practices on the max % one should increase rent on a new lease? Thank you in advance.