Rent increase to keep up with inflation and higher costs to maintain the property

[Jeni Nikolova]

Hello,

What is a good and (if possible) kind way to communicate to tenants that if they were to renew the lease, the rent will be increased at the legally allowed rate, which in this case is 10%?
They are currently in their third year and last year had $0 increase but the rent price includes pool and garden service.

I posted the home on Zillow, at 13% above the current rent, and there is a healthy amount of interest so my guess is the current rent is way below market rate.

I would appreciate insight from people who have gone through this and/or others who have good advice.

[Conner Olsen]

Quote from @Jeni Nikolova:

Hello,

What is a good and (if possible) kind way to communicate to tenants that if they were to renew the lease, the rent will be increased at the legally allowed rate, which in this case is 10%?
They are currently in their third year and last year had $0 increase but the rent price includes pool and garden service.

I posted the home on Zillow, at 13% above the current rent, and there is a healthy amount of interest so my guess is the current rent is way below market rate.

I would appreciate insight from people who have gone through this and/or others who have good advice.

Look up the BP podcast with Dion. I think the title is 'Lazy Real Estate Investor'. He gives great examples on how to raise rents without making improvements.