Raising Rent vs Losing Tenants - Advice on avoiding fear pls

[Vance Sander]

Hi -

I have an upper end condo in Los Angeles that rents towards the top of the market.  I'm always concerned about raising the rent as the transaction costs in time & money are severe to lose the tenants - since it's a higher end place it takes longer to rent, then there's agent costs & new paint/rehab...

Any advice on how to avoid the fear/lack of leverage I often feel when raising the price - or what to be thinking about?

Thanks in advance for any input!

[Theresa Harris]

Get used to doing annual increases.  Even if some of them are only $20 a month, it a) gets you and the tenants accustomed to increases, b) it adds up over time and I'm betting your expenses have increased, c) few people are going to move over small rent increases and d) from b and c the small changes over several years ensures that you are keeping up with market value.