Attracting prospective renters is no doubt an important task for a property manager, but what are you doing to keep the ones you already have? Of course, resident turnover can’t be entirely avoided as it’s typically a result of factors outside of your control. But that doesn‘t mean you should discount retention altogether. Here are three reasons why resident retention is essential to your success, and the best ways you can achieve higher retention rates at your properties.
Why Resident Retention Is Valuable
The value of resident retention boils down to one main thing: improving your bottom line. Think about all you do to bring in new residents. From marketing costs to offering concessions such as a free month’s rent, it can add up and seriously affect your margins. The more residents you’re able to keep renewing their leases year after year, the more you’ll save in these areas. If that’s not convincing enough, consider the fact that long-term renters are more likely to take better care of your property than residents who are in and out. Not to mention, high resident turnover rates are disruptive to your cash flow. Renewed leases mean more predictable cash flow and fewer interruptions to your income stream.
How To Keep Your Residents Around Long-Term
Now if you’ve found yourself here, there’s a chance you’ve been feverishly googling “how to retain residents,” which turned into “ideas for resident appreciation,” and subsequently you’ve encountered hundreds of Pinterest boards on the topic. Don’t panic–we’ll break it down into two main takeaways you should focus on to increase resident retention at your properties.
1) Prioritize attentiveness and communication
Being attentive to the needs of your residents is a small but meaningful way to show them they’re valued. Inattentiveness and poor communication is a significant way you could be sabotaging your relationship with your residents. When they reach out to you with questions or concerns, make sure you or your staff respond promptly. An easy way to maintain this is through a management software. Another noticeable way you can demonstrate attentiveness is through your preventative maintenance. Not only does it resolve concerns before they turn into real issues, but it also shows your residents that you care.
2) Create a community they love living in
Due to its flexible nature, renting can often leave residents lacking that special feeling of “home.” Creating a community your residents love being a part of is a great way to give them this and keep them around for the long-term. This can look like countless different things (bring out those Pinterest boards), but the main idea is to bring residents together and make them feel appreciated. Bring in teachers to hold regular classes, whether it’s a group workout class or art lessons. Make sure you have a place for residents to engage with each other virtually, like an online discussion board. Host events around holidays to get residents excited, or even consider weekly experiences such as a happy hour or food truck Friday. However you decide to bring residents together, give them a reason to love their home with you–and convince them to stick around!