Should we reduce rent if tenants sign extended lease?
Our Anchorage-based single family home tenants' lease is up in May 2020. They have indicated they are going to save up for a down payment on a new house and would like to rent two more years. Yay! They have asked if we would consider a rent reduction for the new 2-year lease. I'd like to get your thoughts on this. They have been excellent tenants, always paid on time and have taken great care of the home. Certainly doing minor repairs and putting the rental back on the market (during COVID-19) is not ideal and would cost us more than a small discount to rent. The rent was comparable to other homes in the area when it was rented last year. Some landlords are now offering reduced rents just to fill vacancies during COVID-19.
I would appreciate your thoughts on if we should politely respond the rent will be the same rate for the new lease. Or if we should allow them a small discount? $25 off per month? $50 off per month?