tenant complain about rent increase

[Richard Vang]

The first year, I advertise the rent $100 below market rent so that I can fill the place up quick. Indeed, the SFR was filled within a few days.

So, after the first year, the rent is about $125 below market rent, so, I raise the rent by $80. The tenants were pissed and wrote me a note to complain about the stupid rent. Anyway, they still signed the year lease. 

This year, the rent is about $150 below market rent. I only raised by $15, thinking that the tenant will thank me in tears. But, they still wrote me a note scold me for increasing it yearly. 

How do you handle the "tenant scolding" about rent increase??

[Jonathan Godes]

Why would you raise it by a measly $15 a month? That is almost like saying "I am going to raise your rent an insignificant amount... just because I can." For $180 you could have kept the rent the same and not had any wining and not now be viewed as the landlord that raises rent every year. It also would have set you up next year to raise it $100 or $150 a month and they would be much more willing since they might feel that they weren't getting a rate increase every year. 

Either raise it $150 and get to near-market conditions (that's what I would do), or keep it the same while letting them know what a smoking deal they are getting. To me the "juice is not worth the squeeze" for the 3 extra latte's you could get at Starbucks every month.