Thinking About Raising Rents – How Do You Handle It?

[Stanley Yeldell]

Hey BP fam,

I’ve got a couple SFHs that are under market right now. Great tenants, long-term, pay on time, no headaches. The issue is my expenses have gone up and I’m basically leaving around $2,200 a month on the table by not raising rents.

Here’s where I’m stuck:

• I don’t want to lose good tenants.

• WA requires 60 days’ notice and we’re heading into fall/winter — worried about vacancy if they decide to move.

• On the other hand, I’ll eventually be retiring and need the extra income to cover expenses.

So my question is — how do you all approach raising rents without pushing good tenants out? Do you raise gradually every year, do a bigger bump every few years, or just rip off the bandaid and set it to market?

Would love to hear how others handle it.

Thanks!