Afraid to raise the rent.

[Tim Gillette]

Since I started my investor training last year in April, I've talked to many people that have had rentals for years, and I always ask them, "when was the last time you raised the rent?", answer, "we haven't", I ask, "why not?" answer, "they're great renters, they really take care of the place!" I ask, "when was the last time you raised it?" the answers vary, but, between 5-8 years, and most of them here in Denver! I tell them, "renters know that prices go up, and expect rents to go up also, you are loosing money!" They look like they're afraid to notify the renters of an increase.

My question is; Are people afraid they'll loose their renters if they raise rent, is this a hobby or a business!

My comment; Please don't get caught up in this thinking, especially if you are an investor intent on making some profits.

[Paul Bowers]

Originally posted by @Jason Chen:

There's no point in charging overpriced prices in my opinion because not only might the tenant risk leaving, but they may not be able to pay the rent well either. I don't try to make people struggle hard to pay their rent.

If they can't afford $900 per month they can't afford $850.  If your tenants are that tight on rent you may want to tighten up your screening criteria.