I'm trying to determine how often I should raise the rents on my rental units. Do fellow landlords raise them yearly without fail or do you all raise them when operating expenses such as taxes and insurance increase? Thanks for the help.
With a good long term tenant be careful about raising rents too much. If there is a turnover always push for higher rent. You can always negotiate back to your previous numbers.
I had a great long term tenant (4 years) . I was making enough in rent for mortgage, property tax, insurance and $200.00 left over for repairs, etc. I never raised her rent because I was making positive money, and I didn't want to lose her. She is moving now to take care of an elderly parent. I will be raising the rent $300.00 per month for the next tenant. I will still be lower than some comparable rentals in the area.
I normally only do it at turnovers or in a case where we add value for the tenant.
Pros and cons to this strategy for sure.
I also only raise rent on turnovers.
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