Good tenants are hard to come by. So when you have one, it’s normal that you’d do everything in your power to keep them. But, is it possible to raise the rent on a good tenant without losing them? This is a question that many landlords ask themselves.
Sometimes it’s necessary to increase the rent when property expenses such as insurance or taxes go up. Other times it comes up when a tenant leaves.
It goes without saying that raising rent can be a risky prospect for any landlord. Opting not to raise the rent or raising it too little can mean leaving money on the table. On the other hand, raising it too much can leave your tenants scurrying for a new place to live.
That said, as a landlord, raising rent is inevitable. It’s something that you’ll have to do at some point in your career. Remember, as a landlord, one of your priorities is getting a great ROI on your properties. (more…)