The Top 5 Pro Tips For Long-Term Essex Resident Retention

Posted on by Bay Management Group

Pro Tips for Long Term Tenant Retention In Essex

Learning how to retain your Essex tenants, and encourage them to sign lease renewals at the end of their lease terms, is something all successful property owners do at some point during their career.

In fact, learning this skill early on will save you the time and money it takes to advertise a vacant property, screen for new tenants, draft a new lease agreement, and prepare your property for new tenants.

Not to mention, retaining tenants grants you a consistent stream of income, and helps you keep your vacancy rates low.

Whether you employ an Essex property management company to help boost your property retention rates, or you self-manage your rentals and approach tenant retention yourself, there are always new tips to add to your arsenal for satisfying your tenant, and making them want to stay year after year.

Keep reading to find out some of the best tenant retention tips both you and your property manager can implement to secure long-term resident retention in your investment property.

 

The 5 Essential Ways to Boost Retention Rates in Your Rental

1. Build Strong Landlord-Tenant Relationships

Build a Strong Relationship With Your Essex Tenant

Property management companies always stress the importance of first impressions when it comes to the landlord-tenant relationship.

And there’s a reason for that: how you begin a lease term with new tenants sets the tone for the rest of the tenancy.

That said, it is easy to forget to build on those relationships as your tenants settle into your property. This is especially true if your tenants always pay their rent on time, rarely complain or cause problems, and take care of your property the way they are supposed to.

But remember, when it comes to higher retention rates, it is this relationship with your tenants that matters most.

Do not spend all of your time and resources marketing vacant properties, dealing with problem tenants, and seeking new investment properties.

Instead, take the time to solidify relationships with good tenants that you hope to keep on for another lease term.

 

2. Say “Thank You”

Expressing your gratitude towards tenants that are worth the lease renewals you send out at the end of each lease term is another way to encourage high quality tenants to stay.

Try giving your best tenants something meaningful when it comes to rewarding them for their great tenant behavior.

Of course, a discount on rent is always welcome, since 58% of tenants prefer lower rent rates when it comes to incentives.

However, here are some unique ideas you can try should your budget allow:

  • Reserved Parking Spaces. Loyal tenants are sure to appreciate a reserved parking spot. Perhaps a covered spot or one that is closer to the property is something you can offer as an incentive. This works especially well for properties in urban areas where parking space is limited.
  • Deep Clean. Many property owners offer an annual carpet cleaning for tenants that sign lease renewals. However, taking it one step further and offering a house-wide deep clean is sure to make your tenants that much more satisfied.
  • Buy a Gift. Depending on your budget, and how much you value your tenant, consider buying them a unique gift that you wouldn’t normally purchase for an adequate tenant. For example, annual passes to the local zoo or amusement park, new furniture, or even something electronic such as a TV can go a long way when it comes to tenant satisfaction.

 

As you can see, there are plenty of ways to reward your tenant for being a good tenant and signing lease renewals with you. Sometimes, all it takes is a small incentive to push them in the right direction and convince them to stay.

 

3. Make Tenant Satisfaction a Year-Round Priority

Just as it is important to work on your tenant-landlord relationship throughout the lease term, it is important you check on the level of your tenant’s satisfaction throughout the lease term as well.

If you wait to find out your tenant does not want to renew with you come lease renewal time because they were not happy with some of the things you or your Essex property management company did or did not do, it’s too late.

Check on your tenants year-round to make sure any minor issues they are having are addressed immediately.

This proactive approach may be just enough to show your tenants that it’s worth their while to stay in your property for another year.

 

4. Get Feedback from Tenants and Make Improvements

Get Feedback From Tenants and Make Improvements

One thing all our property managers in Essex encourage their clients to do is collect feedback from current tenants to find out what improvements, if any, can be made.

Again, waiting until lease renewal time to find out your tenants are unhappy is too late.

Chances are they have already made their mind up and are on the way out, no matter what you do to try to stop them.

Here are some helpful feedback tips:

  • Attempt to meet with your tenants face-to-face for a more personalized meeting
  • For tenants that cannot meet in person, make an online or mail-in survey available so they can participate at their own convenience
  • Consider offering a small incentive to get tenants to complete the survey, such as a one month rent discount
  • Take the time to work with your property management company once results come in to make needed improvements

 

In addition to maintaining an open line of communication with your tenants throughout their lease term, implementing an annual satisfaction survey can help you lower tenant turnover rates, and make your rental property business more successful.

 

5. Offer 24/7 Rental Property Maintenance

Offer Around the Clock Rental Property Maintenance

Around the clock maintenance is something that all tenants appreciate when it comes to leasing a rental property.

When you fail to pay attention to the overall maintenance and repair procedures you have in place, and problems ensue, tenants are sure to look elsewhere to live once their lease is up.

Make sure your tenant knows from the start what to do in the case of an emergency versus a minor repair issue.

Give them all of the appropriate contact information – property manager, contractors, emergency maintenance, and the after-hours call center – so that when they need something, they know exactly what to do and who to call.

In addition, it is crucial you stay on top of the relationship your property management company and vendors have.

If that relationship is broken, this will surely carry over into any work performed on your investment property for your tenants. This can bother tenants to the point they do not want to sign a lease renewal with you.

 

In Closing

Your tenants need to feel good about where they live, especially if they are going to sign lease renewals come the end of their lease terms.

And as the property owner, whether you enlist the help of a property manager or not, it is your responsibility to make sure they are nothing short of satisfied.

If you own rental property in the Essex region, and hope to reduce your property vacancies, get in touch with Bay Management Group today. We provide superior customer service to both property owners and their tenants, and believe that how we treat our customers is the most important aspect of our business.

With effective maintenance procedures in place to guarantee tenant satisfaction, the ability to regularly check in on tenants to ensure they are not having any issues, and the desire to collect and utilize any feedback we receive from your tenants, we can help you improve your property retention rates. It is our job to place long-term tenants in your rental and make certain they are happy.

What to Do When It’s Time to Renew Your Bowie Tenant’s Lease

Posted on by Bay Management Group

What to Do to Renew Your Bowie Tenant's Lease

Though there are always exceptions, your typical lease agreement will probably last for one year.

After that, you and your tenants will have the choice to sign a new lease agreement for another lease term.

If you have high quality tenants living in your rental property, and you seek to build a successful rental property business, it is a good idea to consider inviting them to renew their lease with you.

After all, it costs more to acquire new tenants for your property than it does to retain the same ones, and renewing leases with existing tenants helps to lower your tenant turnover rates.

Plus, as a landlord, your goal is to keep your tenants leasing from you as long as possible so that you can continue to collect a consistent rent payment each month.

That said, let’s take a look at what you should do when it comes time to renew your tenant.

 

How to Approach Lease Renewals with Your Tenants in Bowie, MD

1. Ask Yourself If You Want to Offer a Lease Renewal

Keeping your current tenants in your rental property is (almost) always a good thing – that is, if they pay their rent on time, get along with the neighbors, don’t cause you any issues, and care for your property the way you want them to

However, if they cannot pay their rent on time, or always have an excuse for being late, are disruptive to others in nearby properties, constantly contact you or your Bowie property management company with complaints and are difficult to reason with, or have damaged your property in any way, you should cut your losses and look for higher quality tenants.

When it comes time to consider offering your current tenants a lease renewal, think about what kind of tenant they have been over the course of their tenancy, and make your decision accordingly.

 

2. Decide a Lease Term Length

Decide the Length of the Lease Term

Once you have decided you will offer your current tenants a lease renewal come the end of their lease term, you must decide on the new lease term’s length. You have several options:

  • One-Year Lease. Invite your tenants to stay another full lease term with you. This is typically one year (though some landlords allow for longer lease terms to ensure lower tenant turnover rates).
  • Short Term Lease. If you know you want your tenants to renew a lease with you, but are unsure whether you want them to stay for an entire term, consider offering shorter lease terms such as 6 or 8 months.
  • Month-to-Month Lease. You may find out that your tenant is interested in renewing a lease with you, but on a month-to-month basis. This can be a temporary solution to a vacant property, however, keep in mind that either you or your tenants can break month-to-month leases at any time (usually with a 30 days’ notice). This leaves very little time for you to prepare your rental and place new tenants without experiencing a vacancy.

 

Deciding how long you want to extend tenancy to your existing tenants is largely personal. It will also depend on what you plan to do with your property long-term.

However, if you can secure another full lease term with a good tenant, it’s definitely recommended.

 

3. Draft a New Lease Agreement

When you decide that you want to extend a lease renewal to your existing tenants, you need to draft an entirely new lease agreement with the help of your Bowie property management company.

This way you can designate the new lease start and end dates, as well as make any changes to existing lease provisions that you want.

For example, you may consider raising the rent in response to booming market trends.

On the other hand, you may want to offer a discounted rent rate as an added bonus for renewing with you another term.

You will also need to omit things such as security deposit clauses and first and last month’s rent collections, as these provisions do not apply to the next lease term.

Lastly, you may want to make changes to some of the more specific clauses you had initially placed in the original lease agreement.

For instance, maybe you will lift the no-pet policy and let your good-standing tenants get a dog.

Or, perhaps you will allow them to make minor interior changes that are temporary in nature so they feel even more at home in your rental.

Whatever the case may be, now is the time to make any changes you want.

Once the lease is offered to your tenants, and they agree, this new lease agreement will be the official document used in any disputes that may arise.

 

4. Invite Your Tenant to Renew

Invite Your Bowie Tenant to Renew The Lease

If you have decided to offer your existing tenant a chance to renew their lease with you, extend the offer with plenty of time for them to decide.

In fact, it is suggested you offer tenants a lease renewal option 90 days before their current lease is about to expire, complete with a requirement that they respond within 30 days of receiving the offer.

Giving your tenants plenty of time to decide whether they want to renew or not will help them plan a long-term strategy, should they decide to decline your offer.

In addition, should your tenant decline your offer, you will have approximately 60 days to get the tenant screening process underway so your property does not remain vacant for long after they move out.

You may wonder why a great tenant that is satisfied with you and your Bowie property manager might decline the offer to renew a lease with you. Just remember: it is not always personal.

For example, your tenants may not want to renew with you because:

  • They are moving out of state
  • A rental closer to their workplace is available
  • An unexpected life change has occurred such as marriage, divorce, a new baby, losing a job, etc.

In the end, there are many reasons why people move, and it may not always be because they don’t enjoy leasing from you.

5. Review and Sign

Last but not least, after you and your tenants have agreed to the new lease agreement, it is time you and your property manager go over the lease agreement line by line to make sure everyone understands what is expected of them.

Then, all that is left to do is gather a few signatures, and your tenants are on their way to leasing your rental property for another lease term.

 

Lease renewals are an integral part of the rental property business. They help reduce tenant turnover rates, keep vacancies at bay, and best of all, save you time and money.

Plus, if your current tenants are willing to sign on for another lease term, they must be satisfied with the services you are providing them.

If you are looking for a way to boost lease renewals, and give your current tenants even more of a reason to continue to lease from you, contact Bay Management Group today.

We are dedicated to providing both our property owners and tenants superior customer service. In fact, we do everything we can to ensure that your property is well cared for, rent is collected, and your tenants are happy living in your property.

5 Surefire Ways to Get Your Tenants to Pay Rent On Time

Posted on by Bay Management Group

Ways to Get Your Catonsville Tenant to Pay Rent On Time

Dealing with late rent payments is not something any rental property owner wants to be faced with.

It can be challenging to confront those that owe you money, even if you are in the right position to do so.

You may find it is easy to give in and let a late payment slide, especially when your Catonsville tenant has a seemingly legitimate excuse for being late.

However, if you want to become a successful landlord, not only do you need to learn how to deal with late paying tenants, you need to learn how to get your tenants to pay their rent on time in the first place.

After all, late and non-paying tenants are one of the biggest costs facing rental property owners.

Your Catonsville tenant may not feel like paying rent on time every month is a big deal, but for you, collecting rent in full on time, every time, is one of the most important things you can for the success of your rental property business.

That’s why today we are going to share with you some of the best ways to encourage your tenants to pay their rent on time.

 

5 Ways to Motivate Your Catonsville Tenants to Pay Rent On Time

1. Clear Communication

Clear Communication is Key to Getting Your Tenants to Pay Rent on Time

One of the best ways to get your Catonsville tenants to pay their rent on time is to communicate the importance of paying rent when they move in.

As you and your Maryland property manager go over the lease agreement with your new tenants, it is a good idea to go over every lease provision in the agreement, especially the ones concerning rent, due dates, late fees, and consequences for late rent payments.

Better yet, to ensure your tenants understand what you are communicating with them, it is a great idea to have them initial each page of the lease agreement as you and your property manager explain the rent collection process.

From there, distribute a copy of the signed lease agreement to all parties that initialed the document so they can use it for later reference.

Lastly, include the entire rent collection policy in the tenant welcome package you give your new tenants with information regarding how to pay, when to pay, and how much to pay in rent each month.

This is especially helpful if you require online rent payments.

By creating a document that details every step in the rent collection process, you guarantee that your tenants understand their obligations, and are not confused about the process.

Plus, signed documents give you solid proof you explained the process in the beginning, should you end up in a court dispute with a non-paying tenant.

 

2. Enforce a Late Fee

Although mentioned briefly above, enforcing a late fee is worth explaining further.

Late fees are strong motivators for getting your Catonsville tenants to pay their rent on time. After all, your tenants don’t want to pay more than they already have to in order to live in your rental property.

Have your Maryland rental property management company draw up a lease agreement provision that explains the late fee process. Make sure that the fee does not exceed 5% of the total rent due, as per Maryland law.

In addition, follow these property management tips for implementing a late rent payment fee:

  • Clearly define the grace period in the lease agreement, if you are allowing one
  • Avoid waiving the late fees if possible to avoid repeat late payments by the same tenant
  • Consider a progressive fee schedule so you get your rent, and any late payments accrued, as quickly as possible

 

Just knowing that a late fee will apply to any late payments can be a great motivator for getting your Maryland tenant to pay their rent on time.

 

3. Offer a Discount

Offering Tenants a Discount Will Help Them Pay Rent on Time

On the flip side of charging late fees for those that pay their rent late, another way to encourage timely rent payments is to offer a discount for those that pay their rent early.

If your Catonsville tenant has their rent ready to go a day early, giving them a discount is a nice way of appreciating that they pay their rent on time each month.

Plus, this may even help boost your lease renewal rate come the end of your tenant’s lease term – tenants that receive discounts may be more apt to want to continue to lease from you.

If you are worried about discounted rent rates affecting your bottom line, there is an easy solution: Set your rental property’s rent rate approximately $15-$25 higher than you would normally set it.

Then, when a tenant pays on time, the discount equals a normal rent rate, and you don’t lose any income in the process.

Keep in mind, however, that if you want to offer rent discounts to your early paying tenants, be sure to talk this strategy over with your Maryland property manager to ensure you are making a sound financial decision.

Setting rent rates is central to your success as a property owner, and the last thing you want to do is set a rent rate that is too low, and offer discounts on top of that.

 

4. Report All Late Payments

Did you know that you are now able to report all late rent payments to the credit bureaus in charge of calculating people’s credit scores?

Well, you can.

People do not like to mess with their credit scores if they can help it.

Credit scores are pulled for many things, such as leasing a home, buying a car, and applying for loans or credit cards. And, keeping a clean credit score is more important than ever these days.

If you inform your tenants prior to moving in that you will report them to the credit bureaus for any late rent payments, they may be less likely to miss a rent due date.

 

5. Be Consistent

Be Consistent With Rules to Get Tenants to Pay Rent on Time

The last thing to remember if you want to entice your Maryland tenants to pay their rent on time is to be consistent.

You must always remain professional, as leasing rental properties is a business, not a hobby.

In addition, you should enforce all of the rules you have outlined in your lease agreement consistently with all of your tenants, no matter the excuse a single tenant provides for paying their rent late.

Not only does staying consistent prevent repeat problems with late rent payments, it helps to preserve your reputation as a rental property owner and as always, will help you defend your actions should you end up in a legal battle with a tenant over late payments, late fees, or even non-payment of rent.

 

Motivating your tenants to pay their rent on time is not always an easy task, even if you follow the above-mentioned tips and tricks.

That’s why having a highly qualified Maryland property management company such as Bay Management Group on your side is so helpful.

We are knowledgeable about all of Maryland’s rental property rules and regulations regarding rent payments, late fees, and even the eviction process, should a late payment situation go so far as to require eviction proceedings.

In addition, we know how to structure lease agreements so that your Catonsville tenants fully understand what is required of them when it comes to paying rent, and what they face should they decide to pay late.

If you own rental property in the Catonsville area and need help with the rent collection process, contact Bay Management Group today. We have the resources and the knowledge to help make rent collection as easy as possible.

4 Ways To Avoid Losing Good Tenants In Your Rental Property

Posted on by Bay Management Group

Ways to Avoid Losing Good Tenants in Your Parkville Rental

With top notch tenants in your rental property and Parkville’s best property management company to do most of the work for you, you can enjoy sitting back, relaxing, and watching the rental income roll in.

However, that doesn’t mean you can get rid of the thought of vacant rental properties in the back of your mind.

Why is keeping your mind on that important?

Because high turnover rates and long rental property vacancies can cost you a lot of money.

Each tenant turnover that you experience comes with expenses related to advertising your now vacant property, cleaning and repairing the property for new tenants, tenant screening and lease drafting, and of course, any utilities you pay to have on between tenants.

That’s why today we are going to share with you some simple ways to avoid losing your good tenants, so that you truly can sit back, relax, and enjoy being a property owner.

 

Great Ways to Prevent Losing Your High Quality Parkville Tenant

In the past, we have given you some excellent tips for lowering turnover rates and improving profitability on your rental property.

But today, we are going to continue exploring how to hang onto good tenants that you want to keep in your rental property as long as possible.

 

1. Maintain a Friendly Relationship

Maintain A Friendly Relationship With Your Parkville Tenants

Whether you self-manage your rental, or enlist the help of a Parkville property management company, customer service should be a priority.

One of the best ways to forge a solid relationship with your tenant is to partake in person-to-person contact with your tenants throughout their lease term.

Your tenant does not want to feel you or your Parkville property manager are the type to lease a rental, and forget about them until lease renewal time.

Here are some great ways you can pop in and say “hello,” without crossing the professional boundary that should stay intact throughout your tenant’s lease term:

  • Be the one to personally deliver the tenant welcome package at the start of the lease term, even if your property management company handles the move-in process
  • Periodically ask your tenant for feedback via phone (or in person if they have time) to find out what would make them happier, and what (if anything) needs improvement
  • Show up to a scheduled maintenance or repair call, and observe how your maintenance crew handles their responsibilities while chatting with your tenant
  • Tag along with your property manager to all seasonal inspections to make sure your property is being well cared for, and that your tenants are satisfied

 

Stopping by every now and then will let your tenants know you really care, especially if you have entrusted your investment property to a property management company.

Putting a face to a name is a great way to build a solid relationship with your tenant, which come lease renewal time, will go a long way.

 

2. Don’t Violate Your Tenant’s Privacy

Though we just mentioned the importance of regularly interacting with your tenant in an effort to build a good relationship with them, it is equally important you do not violate your tenant’s right to privacy.

Just because you own the rental property your tenant resides in, does not mean you can come and go as you please.

In fact, if you show up unannounced, save for an emergency, you may find yourself guilty of trespassing.

Not to mention, your tenants will not be happy and will not want to stay living in your rental property if they feel like you are watching their every move.

If you are going to pop in for a legitimate reason to your rental property, make sure you provide proper notice to your tenant so they know you, or your property manager, are coming by.

Trust us, your tenants will appreciate this and feel more comfortable continuing to lease from you if you don’t bother them for every little thing.

 

3. Be Proactive When it Comes to Lease Renewals

Be Proactive In Your Lease Agreement Renewals

If you and your Parkville property management company did things correctly at the beginning of your tenant’s lease term, they should know the process for renewing a lease with you.

However, as time goes by, your tenant may forget when to expect a lease renewal notice, and may begin to feel antsy about whether they will be invited to renew with you or not.

Unfortunately, if your tenants are unsure as to whether they will be invited to sign a lease renewal with you, they may begin to look elsewhere for a place to live, as a backup plan.

And you never know, they might find a place they love just as much as your rental, and decide not to renew with you once the lease renewal comes their way.

The solution to this problem, and one of the best ways to keep ahold of your high quality tenant, is to stay proactive about the lease renewal process. This means giving them ample notice that you wish for them to stay another lease term.

Not only does this give them the assurance you want them to continue leasing your rental property, if they decline you may have enough time to convince them stay.

If your current tenant is a good one, and you want them to stay, despite their declining to sign a lease renewal, ask them what you can to do to get them to change their mind about leaving.

While there may be nothing you can do, this at least opens up the dialogue and can boost your chances of catering to a small need you never knew your tenant had.

Holding onto a good tenant may be worth a small rent decrease, an upgraded appliance, or a bend in a lease provision such as the no pets policy.

 

4. Offer a Longer Lease Term

Another great way to avoid losing a good tenant is to offer a longer lease term come lease renewal time.

Sometimes your tenant may know they want to continue leasing from you for a long period of time, but fear the dreaded rent increase that is a possibility every time the lease renews.

By offering a longer lease term at a fixed rent rate, you ensure a consistent monthly cash flow, and your tenant benefits from not having to pay more rent every single year.

It’s a win-win situation for both you and your tenant.

 

There are plenty of ways to cater to your good tenants, and encourage them to continue leasing from you time and again.

It is just a matter of doing your job well, utilizing the help of an experienced property management company such as Bay Management Group, and making sure your tenant is happy throughout their lease term.

If you own rental property in the Parkville area, and want help managing your investment in an effort to decrease the workload of self-managing your property, as well as increase the chances your current tenants will renew their lease from you, get in touch with Bay Management Group today.

We can help place high quality tenants in your rental property from the start by implementing our strict tenant screening process and only accepting the very best tenants from the list of those interested in your property.

Top Addendums to Include in a Lease Agreement in Columbia, MD

Posted on by Bay Management Group

Top Addendums to Include in Your Maryland Rental Property Lease

Drawing up an airtight lease from the very beginning is one of the most important things you and your Columbia, Maryland property management company can do.

Doing this prevents any confusion amongst the parties regarding what is to be expected throughout the lease term, and helps to protect both property owner and tenant.

If you are currently self-managing your rental property, you might want to consider beefing up your lease drafting skills.

In fact, unless you have a finely tuned lease template, now might be a good time to enlist the help of a professional property manager in Columbia to put one together.

Knowing what to include in your lease agreement can be challenging, especially at first. And, the truth is, basic lease agreement templates found on the internet do not always address your most pressing needs.

This can lead to a lot of confusion and heated discussions between you and your tenants throughout their lease term.

That’s why today we are going to examine what a lease addendum is, and some of the top ones all property owners should include in their lease agreements.

 

What is a Lease Addendum?

Typically speaking, a lease addendum is a lease provision that changes, clarifies, or nullifies a part of an original lease document. Once added, it becomes a legal part of the signed contract, and is enforceable.

That said, there seems to be some confusion between the terms lease addendum and lease amendment. We are here to clarify.

 

Lease Addendum

This is an additional lease clause or provision attached to the lease agreement template that adds or excludes certain terms.

At the time of signing, the lease addendums are included and agreed to by all parties.

A great example of a lease addendum is a provision outlining the right of entry by the property owner. Entry by a landlord throughout the lease term is not unusual, and needs addressing in the lease agreement.

Sometimes, a separate clause is drafted and added to the back of the general lease agreement so both the property owner and tenant understand what constitutes a legal entry of the premises.

 

Lease Amendment

On the other hand, if you and your tenants have already agreed to sign a lease agreement, and then want to add a provision or clause altering the original document, this would be considered a lease amendment.

A perfect example of this is a pet policy.

Keep in mind, this can be included during the initial drafting of the lease agreement as an addendum.

However, if the original lease made no mention of a pet policy, because your tenants did not have any pets, and halfway through the lease they decided to adopt a dog, an amendment to the lease agreement will be needed.

This will outline any rules you have regarding pets in your rental, and will be signed and attached to the already-finalized lease agreement.

 

Top Addendums to Include in Your Columbia Lease Agreement

1. Smoking

No Smoking Addendum is Popular With Maryland Rental Property

Whether you decide to make your Columbia rental property smoke free or not is a personal decision. However, if you wish to prevent smoking in your property, make sure to include a no-smoking addendum to the lease.

Clarify whether this policy applies to guests, and what the consequences are (including loss of security deposit) for breaching the agreement.

 

2. Pest Control

Pest control is a huge point of contention between landlords and tenants. There is plenty of debate over who is responsible for pest control, who is in charge of resolving a pest infestation, and who decides what constitutes an inhabitable living condition.

That’s why including a detailed pest control addendum is crucial to avoiding a landlord-tenant dispute. Just make sure to investigate your local laws regarding pest control, and clearly outline each party’s responsibilities.

 

3. Renters Insurance

Another critical lease addendum all Columbia property owners should include in their lease agreements is the requirement of renters insurance. It’s inexpensive, easy to get, and covers your tenants in a variety of situations, so you don’t have to.

Renters insurance typically covers the loss of your tenant’s personal property in the case of an emergency. It also takes some, if not all, of the liability off you if someone is injured while on your property.

Paired with your homeowners insurance, this provision is great for protecting your investment.

 

4. Roommates

Roommate Addendum Popular in Maryland Rental Properties

Your tenants need to understand your stance on roommates.

It is important you outline details regarding short- and long-term guests as well. After all, you don’t want to end up with adult tenants in your property that have not been screened, or are not paying rent.

In addition, you may want to include a separate lease addendum addressing the issue of subletting your rental. This way, you don’t end up with brand new tenants you have never met in your property mid-term.

 

5. Maintenance

Maintenance is a hot issue for tenants that lease your rental from you.

They want to know that at any time, no matter how minor the issue is, you are going to be available for maintenance and repairs.

Outline exactly what you will be responsible for, who to contact in the case of minor and emergency matters, and what type of maintenance and repair service they can expect.

In addition, do not fail to mention financial responsibilities of both parties, as well as maintenance issues that will be the responsibility of the tenants to handle (such as landscaping, filter changes, etc.).

 

6. Utilities

Include a Utility Addendum for Your Maryland Rental Property

Some property owners may offer covering the costs of some utilities as an incentive bonus for their tenants.

Or, you may choose to make your tenants responsible for all of the utilities.

Regardless, ensure your tenants know exactly what utilities they are to have placed in their own name.

In addition, any utilities that must remain under your name as the homeowner, but that you would like the tenant to pay, should be explained in this addendum.

This way, there is never any confusion as to who will pay for what, and when.

 

7. Move-Out Instructions

As much as you would love to have your existing tenants renew their lease with you forever, this is not a reasonable expectation.

That said, having clearly defined move-out instructions is the key to a smooth end of lease transition. Here are some things to include:

  • Forwarding address requirement
  • Key turn-in process
  • Cleaning procedures
  • Charge estimates for incomplete tasks
  • Charge estimates for broken or missing items
  • Supply costs and labor charges
  • Utility statuses
  • Move-out inspection process

 

Make sure your tenant understands the entire move-out process so that you don’t end up with a tenant that has disappeared with all of your keys, and has left a filthy rental behind that you have to take care of.

 

8. Early Termination

Early Termination Addendum Maryland Rental Property

Speaking of the end of a lease term, another lease addendum that is strongly suggested you include in your Columbia lease agreement is the early termination clause.

There might be an instance where your Columbia tenant needs to break the lease agreement early.

And, while this is not ideal, it is in your best interest to outline the terms regarding an early lease termination to preserve your losses as much as possible.

 

Other Important Lease Addendums

As you continue building your rental property business, and you gain experience, you will quickly build a solid list of lease addendums to add to every lease agreement that gets put into place.

Here are some other important ones to consider:

  • Appliances (including maintenance)
  • Lock changes
  • Fees and violation consequences
  • Use of rental for home business
  • Alterations
  • HOA terms
  • Right of entry
  • Extended absence procedures
  • Pet fees
  • Rent collection procedures

 

Many of these lease addendums may very well be a part of your basic lease agreement.

However, for those times when you need to add something specific onto an existing lease agreement before you and your tenants sign and begin the move-in process, it’s good to know what types of things can easily be turned into lease addendums.

 

If you own rental property and are in need of an experienced property management company in Columbia who knows exactly what should be included in a lease agreement, contact Bay Management Group now.

We have the expertise to draft airtight lease agreements, complete with every lease addendum you could possibly need. We guarantee that both you and your tenants will know exactly what is expected of each other, and that you and your investment property will be protected to the fullest extent of the law.

What You Need to Know About Security Cameras For Your Rental

Posted on by Bay Management Group

What You Need to Know About Installing Security Cameras in Your Rental Property

Being the owner of a rental property comes with many challenges. You’re not always sure if your tenants are going to pay their rent every time, if they are going to treat your investment property right, and if they are going to conduct illegal activities in your residence.

And, while thorough tenant screening does a lot to reduce these risks, nothing is guaranteed.

One concrete way of better protecting your Baltimore County rental property from things like theft and vandalism is to install security cameras on the property.

Many retail stores use security cameras on their properties as a way of protecting their business.

And, we always suggest you look to your rental property as a business.

However, there is some growing concern from tenants over the presence of security cameras, both outside and inside of your property.

That’s why today we are going to look at some of the most important things to consider before installing a security system, complete with cameras, on your Baltimore County rental property.

 

Can You Install Security Cameras on Your Baltimore Rental?

You Can Install Security Cameras on Your Baltimore Rental

In short, yes you can install security cameras on your Baltimore rental property.

However, this does not come without its limitations.

In Baltimore County, you are not allowed to install a visual surveillance camera in any areas considered private places without a person’s consent. This may include places such as dressing rooms, bathrooms, and bedrooms. The same rules also apply to still shots being captured via a camera.

In addition, you are prohibited from using a camera to spy on people inside of a private property. The only exception to this is if the area is being used to conduct business.

That said, you are allowed to legally install visible security cameras that monitor places such as your rental’s driveway, front and back doors, backyard areas, and garages. Any place that is considered a public place, where a reasonable expectation of privacy is not expected, you can monitor via video surveillance.

However, if you are secretly recording your tenants in any area, you may find yourself in some legal hot water.

Not only does Baltimore law forbid recording anyone without their consent within a private residence, most tenants have a reasonable expectation of privacy while in the home they are leasing from you.

As a result, most states have strict privacy laws in place to protect tenants from video surveillance within a property.

That’s why it is important to discuss surveillance laws with an experienced attorney before installing surveillance cameras on the inside of your rental.

In addition, it is important you discuss these things with your potential tenants before they sign a lease agreement with you.

Although you may have sufficient justifications for wanting to install security cameras on the inside of your rental home, outside security cameras should be enough when it comes to protecting your Baltimore County rental property.

 

What About Audio Recording?

Audio Recording is Illegal Inside Your Baltimore Rental Property

Many security cameras come with audio recording as well.

However, most states have strict wiretapping laws in place preventing the secret audio recording of private conversations, such as the ones you would expect to take place within a rental property residence.

In addition, Baltimore County takes it one step further, and states that it is illegal to record conversations, regardless of where they are taking place, unless you have the consent of all involved parties.

Even if you decide to install security cameras on the outside of your rental property, which is legal to do, it is best you do so without capturing any audio.

 

Why Use Security Cameras?

Reasons to Use Security Cameras In Your Baltimore Rental Property

There are plenty of benefits to using security cameras on your rental property, whether it is occupied or not.

Take a look at some of the best reasons why, despite the complex legalities you must familiarize yourself with, using a surveillance system is helpful:

  • Monitor Nuisances. Loud parties, over-staying guests, and other disturbances on your property are easily caught on security camera footage. Since these activities can wreak havoc on your rental property business, or can be considered a breach of the signed lease agreement, having the proof it is happening can help protect you and your property.
  • Unauthorized Maintenance Workers. There are plenty of stories floating around about suspicious maintenance workers spying on rentals so they can later burglarize them. If you use a Baltimore County property management company that has their own maintenance crew, there should be no other contractors entering your property without your consent. This is something video surveillance can capture as it happens.
  • Vacancy Protection. When your property is vacant, it is vulnerable to theft and vandalism. Taking surveillance of your rental property can help deter or prosecute these activities. In addition, it helps reduce the costs associated with vacant property issues, such as property damage, theft, or illegal use of the residence.

 

Altogether, using security cameras in your Baltimore rental property can be a good idea.

If you are looking to add security cameras to your rental property, and need some help in dealing with the legal issues surrounding both visual and audio surveillance, enlist the help of Bay Management Group.

 

Experienced and knowledgeable about all rental property housing laws, including those related to video surveillance, we can help ensure you are not breaking any Baltimore County laws with your security camera system.

 

In addition, we help protect your property in other ways by conducting thorough tenant screening, routine inspections, and drafting airtight lease agreements strictly outlining what is, and is not, allowed during your tenant’s stay.

 

Let us help you keep the peace of mind that your investment property is safe from things such as theft, vandalism, and structural damage so that you can enjoy the better parts of being a Baltimore County property owner.

5 Simple Steps to Improve Tenant Retention in Baltimore County

Posted on by Bay Management Group

Easy Ways to Boost Tenant Retention in Baltimore County

Failing to retain your Baltimore County tenants means you have a vacancy on your hands.

With a vacancy, you are no longer collecting a consistent rent payment each month, you probably need to make repairs such as paint the walls or replace the carpet, and of course, you’ll need to perform a deep clean.

That’s on top of the fact that you now need to advertise your vacant property, thoroughly screen all interested tenants, as well as deal with drafting a new lease agreement, collecting application fees and security deposits, and conduct move-in inspections.

That’s a lot of work, and very little money coming in.

In fact, it has been suggested that acquiring a new customer (or in your case, a new tenant) can cost five times more than keeping an existing one. 

Rather than deal with the constant turnover of a rental property in Baltimore County, and the subsequent loss of income and time, you should instead aim to improve your tenant retention rates.

In the past, we have discussed 5 solid ways to boost tenant retention. However today, we are going build off those 5 things and provide you even more steps to higher tenant retention.

 

Steps for a Higher Baltimore County Tenant Retention Rate

1. Make Communication a Priority

Communication between you and your tenants, as well as your Baltimore County property manager, is important when it comes to tenant satisfaction.

Having an open line of communication where tenants feel comfortable reaching out for anything they need will allow you to stand out amongst other landlords, as well as increase your chances of getting a lease renewal.

One great way that you can establish that communication is a priority for you is to give your tenants a tenant welcome packet prior to move-in.

This packet can include things such as important contact information tenants will need over the term of their lease, dining, shopping, and entertainment hotspots that are nearby, and general maintenance tips they should stay on top of during their lease.

 

2. Collect Rent…Online

Boost Tenant Retention by Setting Up Online Payment

In addition to having a solid line of communication established between yourself and your tenants, another great way to boost lease renewals is to make paying rent as easy as possible.

And today, most people are accustomed to paying everything online.

It’s convenient, available 24/7, easy to track, and makes your life a whole lot easier too.

Collecting rent online is a great idea – it helps your tenants, and it helps you and your Baltimore County property manager.

And, let’s not forget that it is the most secure and reliable way to collect money.

 

3. Spruce up Your Property

Many times, property owners only make major improvements to their properties in between tenants.

And, it makes sense to do so.

When the property is empty, it is easy to see what needs repair, and in order to avoid a long vacancy, that is the best time to make upgrades.

After all, the more amenities you have in your property, the higher rent amounts you can command.

However, failing to tend to the properties that have tenants in them is a big mistake.

To start, a property that is falling apart is not going to be one that a tenant wants to continue living in past the end of the lease term.

In addition, making small improvements to your property throughout a lease term, as a way of showing appreciation to your tenant for paying on time and being an all-around good tenant, will make your tenant more likely to want to stay another lease term.

One neat thing you could do, in order to really strike gold with your tenants, is to ask them if there is anything in the property they would like to see upgraded or fixed.

This will really go a long way come lease renewal time.

Your tenants will definitely remember come lease renewal time, when you replaced that old, partially functioning dishwasher with a brand new, water efficient one.

 

4. Call Before Coming Over

Call Your Baltimore County Tenants Before Coming Over

Issuing proper notices is the legal thing to do when you want to enter your investment property for one reason or another.

Not only is it illegal to show up to your rental property unannounced, but it also can really interrupt your tenant’s life.

What if they are having people over for dinner? What if they want to be home when you come over? What if they prefer not to be alone when you show up?

There are many things to take into consideration when you show up to your rental property for a routine inspection or general maintenance issue.

Respect that people live in your property, and treat it like their actual home.

If there is no immediate emergency, there really is no reason not to politely call ahead when you plan on stopping by, so your tenants can adjust their schedule and be prepared.

 

5. Use a Good Baltimore County Property Manager

Property managers typically have the most contact with your tenants.

This makes selecting the right property management company crucial to your success as a landlord, especially when it comes to tenant retention.

If your tenant cannot stand the property manager assigned to your property, has problems with administrative staff, or cannot get in touch with the on-call maintenance crew, you are going to have trouble convincing a tenant to sign a lease renewal at the end of their term.

No one wants to deal with a difficult property management company, no matter how great the landlord or the property is.

That’s why it is on you to do your due diligence when it comes to interviewing a property management company to handle your investment property.

In addition, if you notice any of the signs that your property management company isn’t cutting it, you need to know when to let them go.

 

If you are looking for an experienced property management company in the Baltimore County region, contact Bay Management Group today. With a dedication to providing superior customer service, you will never have to worry about a tenant wanting to leave your rental because of anything we do.

With 24/7/365 maintenance, online rent collection, and open lines of communication, your tenants will feel comfortable reaching out for anything they need.

And, you can count on us for top-notch vacancy advertisements, thorough tenant screening and placement, and plenty of advice on how to garner higher retention rates.

In the end, we have everything both you and your tenants need to be happy.

How to Be a Next-Door Landlord in Montgomery County

Posted on by Bay Management Group

How to Be A Next-Door Landlord in Montgomery County

You have been stewing over whether you should add another Montgomery County rental property to your growing portfolio.

And, like all successful landlords, you have done your due diligence and researched all the right things – market trends, going rental rates, amenities, financing options, as well as nearby shopping, dining, and entertainment venues.

There’s just one catch.

The rental property you want to invest in is right next door to your primary residence.

Though being a next-door landlord has many benefits, it has its fair share of drawbacks as well.

Read on to find out what the pros and cons are of living right next door to your Montgomery County tenants, and how to find success in being a next-door landlord.

 

The Benefits of Being a Next-Door Landlord

1. You Can Create a Stronger Landlord-Tenant Relationship

Living next door to your tenant is often a great way to build a better, and healthier, relationship.

In many cases, tenants have very little to no contact with their landlords.

This means they never get to know the property owner on a personal level.

Having a friendly relationship with your tenants, that still maintains strong boundaries (after all, this is a business you are running), can forge the distance that often exists between landlord and tenant.

As a result, you may be able to win over your tenant, and increase your lease renewal rates because your tenant enjoys being in your company from time-to-time.

 

2. Quicker Response Times

Next-Door Landlords Have Quicker Response Time In Montgomery County

Property maintenance can be a real pain if you self-manage your rental property, and live far across town.

No one wants to get an after-hours call that a pipe burst and the property is flooding.

However, if you don’t have a property management company on your side to help you out with 24/7 maintenance, an after-hours call is exactly what you will receive.

Living next-door and receiving a midnight call that your rental property is flooding because of a burst pipe is still going to be a pain.

However, it will be a lot easier to pop on over from next door and handle the issue at hand.

The same rings true for minor, non-emergency maintenance requests.

If your tenants have something they need, a quick visit from you next door will be far less strenuous than having to make an out of the way trip from across town.

 

3. Tenants Will Behave

If your Montgomery County tenant knows that you live right next door to them, chances are they will be on their best behavior at all times.

While we do not suggest you spy on them (this is not recommended for many reasons), tenants tend to behave better when they know their landlord is around.

Also, breaking the lease agreement will be more difficult for tenants to pull off knowing that you may notice this breach at any moment.

In addition, sneaking a pet into the property knowing there is a no-pet policy will be hard to do.

Damaging the property when you can likely easily see it will be nearly impossible.

And, tenants can forget about having constant parties that wake the entire neighborhood, because that neighborhood includes you.

 

4. Property Abandonment is Less Likely

Abandoned Property Is Less Likely to Happen With a Next-Door Landlord

In tune with better tenant behavior, another benefit to living right next door to your tenants is the fact that property abandonment is not likely to go unnoticed.

One of the biggest issues facing property owners is the non-payment of rent.

This is especially true if a tenant packs their bags in the middle of the night, and simply disappears without a trace.

Recouping lost rent payments, dealing with abandoned personal property, and having to start all over and place new tenants in their rental, are all things property owners hope to avoid at all costs.

If your tenants decide they want to leave your rental without proper notice, they are going to have to be sneaky to get away with it without you noticing.

In fact, if anything suspicious is going on next door, you are probably going to be the first to notice.

 

Problems Facing Next-Door Landlords

1. Tenant Screening

Just because you will be living next door to your tenant does not mean you can take any additional liberties when it comes to tenant screening.

You must remain consistent in your tenant screening procedures, and take care not to violate the Fair Housing Act.

While it is okay to want to place high-quality tenants in your property, make sure not to treat next-door tenants any differently than you would other prospective tenants for properties across town.

Do not ask unusual questions or discriminate against any protected classes because you want a particular type of tenant living next door.

In order to protect yourself against any claims of discrimination, enlist the help of an experienced Montgomery County property manager to help aid you with the tenant screening and placement process.

 

2. Boundaries Might Blur

Boundaries Can Blur As a Next-Door Landlord in Montgomery County

It can be difficult to find the balance between being a friendly neighbor, and maintaining your status as property owner.

While living next door to your tenant, make sure to set clear boundaries from the start.

This means establishing clear and appropriate lines of communication.

For instance, ensure your tenants that you will be available for all questions and concerns, including emergencies, but that knocking on your front door at random times is not allowed.

You want to make sure that you appear as a kind and understanding landlord that is dedicated to providing your tenants the best living experience possible.

However, you also want to make sure tenants understand that you are the boss, that there is a legal lease agreement in place, and that violations of the rules will not be tolerated.

 

How to Be a Good Next-Door Landlord

Here are a few things you can do to make sure you are a good next-door landlord:

  • Remain Professional. Always remember that this is your rental property business and that business comes first. It is okay to be friendly. It is not okay to let your guard down, and let your tenants get away with violating the lease because you are on friendly terms.
  • Screen Tenants Thoroughly. Following strict tenant screening procedures, without violating the Fair Housing Act, will ensure that your investment property, and your sanity, remain intact while your tenants live next door to you for the duration of the lease term.
  • Understand the Law. As a property owner, it is your duty to understand that tenants have the renter’s “Right of Quiet Enjoyment” while residing in your property. This means your tenants have the right to be left alone and not bothered by you on a regular basis, despite you living right next door. This means you cannot harass them as they go to and from the property, spy on them, access the property illegally, or otherwise violate their rights.
  • Be a Good Neighbor. You don’t want your tenants throwing loud parties, trashing the front yard, involving themselves with illegal activity, or bothering other neighbors. The same applies to you. Being a decent neighbor, is something your tenants will expect from you as well.

 

In the end, there are many reasons why becoming a next-door landlord in Montgomery County is a good idea.

Being able to see your investment property on a consistent basis is bound to lessen some of the typical problems landlords face with problem tenants.

However, it is important to remember that your tenants may initially be uneasy at the thought of living next door to their landlord.

Go out of your way to show tenants you are professional, and want them to enjoy your property. If you can do this, they will be more likely to sign a lease renewal come the end of their lease term.

 

If you need help managing your next-door rental property, and prefer to not deal with the logistics of collecting rent, hopping over to fix leaky faucets, or enforcing the no-pet rule when your tenant clearly has a large dog in the backyard, contact Bay Management Group to help.

At Bay Management Group, we provide property owners with a whole host of property management services for a low monthly management fee.

Enjoy the benefits of having a qualified property maintenance crew on hand 24/7, and our ability to inspect properties throughout the lease term to ensure adherence to the lease agreement.

In addition, take advantage of our strict rent collection policy that will not require you to run around collecting rent checks.

At Bay Management Group, we make management of your Montgomery County rental property hands-off, allowing you to feel stress-free about your next-door tenants.

The 4 Most Common Tenant Types in Philadelphia

Posted on by Bay Management Group

Four Common Tenant Types in Philadelphia

The more experience you have as a Philadelphia landlord, the more you will realize there are all kinds of different tenants out there.

And, in order to be a successful landlord, it is important that you tune into these different types so you can learn how to recognize red flags early on, how to keep a high-quality tenant for the long-term, and everything in between.

Though you are not an expert in human behavior, and filling your vacant rental property is going to be your main priority, there are plenty of signs to look for during the tenant interviewing, screening, and placement process that can help ensure you place only the very best tenants in your investment property.

Today we are going to look at four of the most common tenant types that make up the rental property business, examine their behavior, and explain why they may or may not be best suited to lease from you.

This way, the next time you run into someone that exhibits a certain type of personality, you will be prepared, and know whether to move forward with the leasing process.

 

4 Common Tenant Types Trying to Lease Your Philadelphia Rental Property

 

1. The Hurried Tenant

If a tenant is trying to move into your rental property ASAP, as in, that very same day, take a step and evaluate the situation.

Sure, there are those times when a potential tenant might be in a serious situation, through no fault of their own, and may truly need a same day move-in.

However, there is always the chance that this prospective tenant was just evicted by their previous landlord for non-payment of rent, and hopes that by rushing the tenant screening and placement process you will miss this important fact.

The hurried tenant is going to exhibit an eagerness to turn in their application and related fees, including the sizable security deposit you are surely asking for.

They might even have explanations for not having recent pay stubs on hand, no solid references of any kind, a poor credit score, and more.

The point is, no matter their reason for wanting to move into your Philadelphia rental so quickly, do not let a hurried renter rush you into making a decision.

Follow your strict screening process, or better yet, have your experienced Philadelphia property management team handle it for you, so you don’t miss a tiny detail that could potentially turn into a major problem later on during the lease term.

 

2. The Overly Confident Tenant

The Overly Confident Tenant in Your Philadelphia Rental Property

We all like to think that we are the best at everything we do.

We are exceptional employees, parents, friends, and yes, even tenants.

However, there is a major difference between being confident, and being overly confident.

If you run into a prospective tenant that wants to do nothing but boast about how great a tenant they will be while leasing from you, we offer one piece of advice – make sure their claims are true.

Overly confident tenants are likely to remind you continuously of the following things during the tenant screening process, in hopes of convincing you they are the best fit for your property:

  • They have a perfect credit score
  • Their income is sky-high
  • Late rent payments are never an issue
  • They always follow the rules
  • Everyone loves them
  • They never complain about maintenance or repair issues
  • Loud parties will never be an issue
  • Their children are angels and never break a thing

Sound familiar?

Surely, you have come across a potential tenant that likes to boast about how great they are, any chance they get.

And, while this may be true, it is important you do your due diligence, and research their claims.

After all, credit scores, criminal backgrounds, and previous rental history will speak for themselves.

In addition, despite what a tenant may say to you about not throwing loud parties, not having a pet, or having children that never cause any problems (so renter’s insurance is never needed), make sure you add these provisions into your lease agreement anyway.

If you are unsure about how to draft a legally compliant lease agreement that addresses all of your concerns, despite having a “perfect tenant” on your hands, have your Philadelphia property manager help you.

This way, should you decide to approve the overly confident tenant, because they do seem excellent, you and your investment property are still fully protected.

 

3. The Cautious Tenant

The Cautious Tenant in Your Philadelphia Rental Property

It is wise to be cautious of anyone you do business with, no matter the circumstances.

But you know those tenants that repeatedly remind you of how they have been scammed, or taken advantage of by every single past landlord?

Of course you do.

Those tenants are difficult to deal with.

Especially with so much information swirling around, warning tenants that many landlords are just out to raise rents, violate the Fair Housing Act, overcharge on security deposits, and even infringe on your right to quiet enjoyment of the property they are leasing.

Of course, a successful and reputable property owner, and their respective property management company, will not swindle tenants during any part of the leasing process.

This includes prior to move-in, during occupancy, and after moving out.

Yet, the cautious tenant will remain uncertain, unless you prove otherwise.

However, leasing to the cautious tenant is not a bad thing.

In fact, leasing to a cautious tenant is a great opportunity for you to show them that you and your property manager are the best around Philadelphia, and that they can rely on you to take care of them while leasing your investment property.

Here are some tips for encouraging a cautious tenant to relax a little:

  • Perform secure background checks so your tenant isn’t concerned about identity theft
  • Go through the lease agreement line by line so your tenant understands both parties’ responsibilities
  • Direct your tenant to the Philadelphia rental laws, and ensure them that the fees being charged are valid
  • Provide a thorough contact list of everyone your tenant may need to get in touch with for any questions or concerns
  • Offer a tenant welcome package upon move-in so your tenant feels special

Providing superior customer service to all of your Philadelphia tenants is necessary if you want to make it in the rental property business.

Yet for the cautious tenant, the one who is suspicious about your every motive, exceptional customer service can really make a difference in building a strong, and long-lasting, landlord-tenant relationship.

 

4. The Young Tenant

The Young Millenial Tenant in Your Philadelphia Rental Property

In the past, we have discussed the impact that millennials have had on the rental property industry nationwide.

And, while the stereotypes still hold strong in many people’s minds, the truth is, leasing your Philadelphia income property to a younger tenant is no more or less risky than leasing to someone who is older and more experienced.

That said, millennials do come with their own set of special conditions when it comes to leasing a rental:

  • Tech-savvy. Millennials shop around on their mobile devices, don’t have a lot of experience using snail mail, and want rental amenities such as strong Wi-Fi to support the multiple devices they have – desktops, tablets, streaming devices, and smartphones.
  • Location is Key. The younger crowds want to know their home is within close proximity to shopping, dining, and entertainment hot spots so they can get out and enjoy their youth. If they go to school, location will also play a role in whether they decide to lease from you.
  • Spotty Pasts. Age is typically a major factor in how much money a millennial is raking in each month, what kind of credit score they are sporting, and even whether they have had any legal mishaps recently.

Leasing to a millennial is a great option, so long as they meet your tenant screening criteria.

It is, however, important to note how different they will be when compared to a middle-aged couple with a few kids and a dog in tow, or the elderly couple looking to lease a low-maintenance rental while they settle into retirement.

But different doesn’t mean bad.

 

In the end, Philadelphia is a big city with a diverse group of people.

Understanding the different types of people you may come across while seeking a tenant for your rental property is going to make the entire leasing process smoother.

If you own rental property in the Philadelphia region, and need help dealing with the four common tenant types, get in touch with Bay Management Group now.

With experienced property managers that have seen it all, we recognize a problem tenant from the start, understand the concerns many cautious tenants may have, and are in tune with what the younger crowd seeks in a rental property.

How to Attract Long-Term Tenants For Your Philadelphia Rental

Posted on by Bay Management Group

How to Attract Long-Term Tenants for Your Philadelphia Rental Property

Finding long-term tenants for your Fishtown rental property is one of the keys to having a profitable rental property.

With long-term tenants, you secure a consistent stream of rental income, and lower your tenant turnover rate.

Most importantly, you decrease the stress of having to advertise a vacant property, conduct tenant screening, draft a new lease agreement, and move a new tenant into your investment property.

Sounds good, doesn’t it?

Placing long-term tenants in your Philadelphia property is not difficult – if you approach it the right way.

Though you may know how to attract tenants, not all property owners know how to attract long-term tenants.

That’s why today, we are going to share with you some of the best ways to entice your Fishtown tenants to stay for more than one lease term, thus securing the title of a long-term tenant.

 

How to Attract Long-Term Tenants for Your Fishtown Rental Property

1. Let Them Make Themselves at Home

Oftentimes, property owners decorate their rental homes to match their personal tastes and preferences.

Then, those same property owners forbid their tenants from making any kind of decorative changes to the property while residing in it.

We don’t recommend doing this.

Why?

Because tenants want to feel at home while leasing from you.

This is not to say that they don’t like your property’s interior paint colors, or the type of flooring you installed before they moved in.

But tenants want to have the flexibility to make some changes in order to make the property feel more like their own.

If you want your tenants to stick around for longer than one lease term, allow them to make minor interior and exterior changes to your rental property.

Nothing drastic or permanent – simply small, decorative changes that will make your tenants feel like your rental is their home, such as the ability to hang art or pictures on the wall.

 

2. Allow Pets

Allow Pets in Your Philadelphia Rental Property To Attract Long-Term Tenants

Nowadays, finding a high-quality place to lease, that also accommodates pets, is becoming harder to come by.

Property owners have experienced pet fees, pet rent, and damage to their property because of their tenant’s pets.

And many of them have decided it’s more trouble than it’s worth.

This is why allowing your Philadelphia tenants to have pets in your rental property is a good way to secure a long-term tenant.

According to The Humane Society, nearly 80 million United States households have a pet.

If you fail to allow pets into your rental property, you run the risk of alienating a large portion of prospective tenants, some of which may be seeking long-term tenancies.

If your tenant has a pet (especially if it is one they treat as though truly a part of the family), allowing them to stay in your rental property is a great way to ensure a lease renewal come the end of their lease term.

 

3. Make it Easy

Curb appeal is a major part of becoming a successful landlord.

This is because curb appeal attracts high-quality tenants that are willing to pay for the amenities you provide.

For instance, a beautiful exterior paint job, new and modern looking windows, and stunning landscaping can entice a large tenant pool looking to enjoy your rental property.

However, making things too difficult to manage may cause even your most interested tenants to refuse signing a lease agreement with you.

If your tenants are going to be responsible for maintaining the exterior of your rental property, try to make things as easy on them as possible.

You don’t want a tenant to leave after one lease term because they tire of the yard work.

To provide your tenant with nice landscaping, without asking too much of them in terms of upkeep, try any one of the following:

  • Limit the amount of landscaping maintenance required throughout all seasons
  • Include maintenance tips and tricks in a tenant welcome package
  • Hire a landscaper to maintain your property’s yard
  • Reduce the monthly rent rate if your tenant takes on all the duties

The easier it is to maintain your property yet still keep its curb appeal high, the more impressed prospective tenants will be while inquiring about your rental property.

 

4. Reward Those That Stay Long

Reward Your Philadelphia Rental Property Long-Term Tenants

Long-term tenants are the best kind to have.

In an effort to attract long-term tenants to your rental property, by way of multiple lease renewals or a long-term lease agreement, make sure they know about the incentives you offer to those that stay for multiple lease terms.

If a tenant understands the benefits of leasing your property for a long time from the very beginning, they are more likely to pay their rent on time, avoid damaging your investment property, and aim to achieve those rewards as they continue to lease from you.

Here are some things you can reward long-term tenants with:

  • Paid utilities for the length of the lease term
  • Discounted rent for a lease renewal
  • Gift cards or coupons for nearby shopping, dining, or entertainment
  • Referral fees if you own multiple properties
  • Upgrades to the interior – appliances, new flooring, fresh paint

People love to receive rewards for staying loyal.

Try inspiring that loyalty in prospective tenants from the very beginning, and watch your rental property stay occupied for years.

 

5. Use a Customer-Service Oriented Property Management Company

One of the most effective ways of attracting, and keeping, long-term tenants is to use an experienced Philadelphia property management company that is dedicated to taking care of both you and your tenants.

Here are the some of the things long-term tenants are attracted to when leasing a rental property:

  • On-call maintenance and repair teams that can handle all issues, day or night
  • Easy rent collection, proper bookkeeping, full transparency
  • Knowledgeable staff, good communication, fast response times
  • Legally compliant procedures
  • Strong relationship-building procedures
  • Reliable listening skills and objective perspectives

If your Philadelphia property management company has all of these traits, it is more likely a long-term tenant will want to lease from you.

Also, your property manager is the person your tenants are most likely to deal with on a regular basis.

So, if a tenant feels the property manager they will be in contact with cares about them, their questions, and their concerns, they will want to stay put, and lease your property for as long as possible.

 

If you have an investment property in the Philadelphia area, start attracting long-term tenants by first contacting Bay Management Group.

Committed to providing you and your tenants with the best customer service around, we can help you bring in the highest quality tenant pool possible, complete with tenants seeking long-term lease agreements.

Dealing solely in property management, we understand that reducing tenant turnover rates and increasing lease renewals is the way to success as a property owner.

So get in touch today and see how we can help guide you in attracting long-term tenants for your Fishtown property.