Raise rent or keep good tenant

[Robert Steele]

I think I already know the answer to this but I just wanted to throw it out there to see what others think.

Assume you have a rental making $1400. Rents have increased over the past year and you could now rent it out for $1500. The current tenant has been there 1 year and has always paid on time. They have maintained the property and kept it in good condition. You hear very little from them. They want to stay several more years.

Do you kick them out and put it on the market for $1500 or do you sign a 1, maybe 2 year extension?

[Robert Steele]

Yeah that was pretty much my thinking too. I'm glad we're all on the same page. The tenant has agreed to $1425 and offered to sign a 2 year lease. I'll take it and a 1 year lease for reasons that have been covered here in other threads.