Increase Rent?

[Josiah Cooper]

Hello BP! I wanted to get your thoughts on raising rent. I own multi-unit properties and a few of their 1year leases are coming up. If the tenants renew their lease, should I raise their rent for the next year or leave it the same? If I raise the rent, how much? Most of the tenants have been solid and that is why I am asking. Thanks again so much for your input!

[Eddie Werner]

It depends on what similar units are renting for in your area.  Search Craigslist to see who your competition is.  If you have a nicer place and are charging less you need to raise it.    At a minimum always raise at LEAST $10-$20 to renew if you are at market rent.  You will have basic costs increase you need to cover.  If you do raise it I would also suggest making some improvements, they don't have to be big ones, just to show the tenants are getting something for the increase.