Do you still sign one year + leases for apartments? I don't.
Even before the pandemic (2019) my strategie had changed, I stopped offering year leases and instead only offer at-will leases to residential tenants.
Fast forward to the pandemic and the entirety of our portfolio of multi-family residential units were leased on a month to month basis. We are far less exposed as a result, a stroke of luck as evictions are next to impossible to perform.
Beyond the pandemic, I believe that if the tenant to PM relationship is good it will proper and if not, both parties should move on. My tenants still tend to move on average every 3-4 years, though they take better care of their units, are held to higher standards and in general enjoy the up front flexibility we're offering.
What do you think about this type of strategie?
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We do the same thing. We've done it that way for about 8 years now. Way easier to get rid of a bad tenant and hasn't hurt us in regards to turnover in the least. It's the smart way to go as laws (we're in tenant friendly Maryland) continue to tilt toward the tenant.