Rent Increases/Lease Renewal

[Cramer Guzaldo]

Hey All,

The question I have for all you self managing landlords today is, does anyone have any good tips or tricks (I don't mean actually tricking your tenant) into a simple and stress free way of having them sign a new year lease with slight rent increase about 2.5% 

Ive been doing this for years now and Ive just come to the point where I'm tired of hearing the same old "Oh well we are going to probably be moving" or "This is broke, I need a new stove, bathroom, car..." Mind you we only raise our tenants roughly $20-$25 a year. Ive done it all, make cost increase sheets that gives the tenant the option to see what their rent will be if they wanted upgraded kitchen appliances, new paint, etc. Explain this is a cost of living increase, how our bills have gone up, so on and so forth. 

So basically I'm asking has anyone out there found the fool proof way to getting these leases signed with ease? 

P.S not interested in hiring a Broker, because giving them 10% for a lease renewal will actually cost me more than the amount I would receive due to the rent increase

Thanks,

Cramer

[Ryan Dossey]

@Cramer Guzaldo We send them a 30 day notice by mail that rent will be increasing. Most tenants don't realistically want to move over $25. What I'd recommend is setting proper expectations. At move in... We tell them that we will most likely be raising the rent by something small like $25 the following year. 

Their thought is why would they pay $25 a month more for no added value? This is part of where maintaining your properties really well comes in. 

We get the same thing when they're late... Well it needs XYZ.... Awesome! We have a fabulous maintenance staff and any issues will be addressed promptly. This is where we kindly remind them to notify us immediately of any issues and then remind them of their late fee per the lease.