best thing to do is see what other landlords are doing for similiar units in the vicinity...if they're all charging 1 month's rent as a deposit, your unit will stay vacant a long time if you charge more...as a side note, tenants always grumble when i mention a deposit..i think they've been psychologically conditioned to believe they won't get it back, so when they hear a large deposit, they basically assume the landlord will 'steal' it...i always try to emphasize that it's just a damage/security/cleaning deposit, and i love giving them back to tenants if they give me notice when they vacate, and leave the unit in the same condition as when they moved in...this eases those feelings for them..

They will feel far less threatened when you give them time to consider their alternatives.You should know what rents are reasonable for your rentals and you will also then know how much the raise should be. because your final figure will usually be the result of numerous compromises you may want to select and increment which is psychologically more acceptable to your tenants.

What a financial and psychological drain.

will, i like the economies of scale argument, except for the vacancy thing...if i own 50 units ina building and have 3 vacancies, that's the same as owning 50 houses and having 3 vacancies...so to me, that's more of a mental or psychological factor than a mathematical argument..absolutely hit the nail on the head with forced appreciation..i also love it, bc i can pick up crazy good deals in charlotte right now!

i agree with ryan....if you owe no money on that condo, then any sales proceeds are capital to start your business despite what loss you may or may not have to take...i'd get over the psychological 'loss' on the condo, and use that cash to get it right this time...

I believe it was some emotional or psychological barrier - because our asking price was more than fair (actually, it was less than what a fair price for that house would have been :D ).

You also have a customer with fewer options who has been psychologically roughed up by the financial sector...they will be easier to please.

Now the pendulum in consumer psychology appears to be swinging toward reduction of household debt -- whether on credit cards or mortgages.This is a good trend, imo ... here's the full article link:http://www.latimes.com/classified/realestate/news/la-fi-harney7-2010feb07,0,4396828.story

Psychologically, buyers do not think they are getting a good deal going 15K above list price in this market even though that may be FMV.

Another good book that looks at psychology and can really be applied to any aspect of life is "The Secret".