Vacancy Rate / What Percent Of Tenants Renew Lease

[Jarod McGovern]

Hi Everyone,

I was just curious what everyones single family home rental vacancy rates are? Also what percentage of tenants would you say renew their lease? Do most stay?

What tools/data to you use when evaluating a property?

Thanks in advance!

- Jarod

[Kenneth Garrett]

@Jarod McGovern

I would say most tenants renew there lease at least once.  I use one and two year leases.  Being competitive in the rental market is key.  Some tenants are life long renters those will stay if you keep the property up and respond to them when needed.  Treat them as people and not like you are so lucky to be renting from me.  Even if you had to lower your rent a bit to renew, it’s definitely worth it.  A reduction in rent of $50 to renew is $600 a year.  The cost to repaint, making repairs, marketing your unit and having a vacancy if only for 30 days could cost you almost $3000.  Say rent is 1300.  

Lost Rent 1300

Paint 1800

Minor Repairs 500

Your time ???