Chicago, IL · Member since 2017 · 78 posts · 10 votes
I'm wondering if people offer other alternatives to the typical 12 month lease? If so, what other options do you offer? Do you offer incentive for longer lease terms with good tenants? Do you increase the rent for shorter lease terms? If so, by how much? Thanks!
Real Estate Agent · Chicago, IL · Member since 2017 · 2k+ posts · 2k+ votes
6y
If it's fall or winter it's always best to have tenants do a shorter or longer lease so it ends in spring/summer. For example 15 months or 9 months, etc. When I lease up apartments we usually do not allow any leases to end in fall as you can easily see a 10%+ decline in price and higher vacancy.
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
6y
@Byron W. I have always stuck with the 1 year lease, although I will sometimes add a month to get more into the rental season if I am doing winter lease ups. The 2 year lease doesn't really make sense to me because you give up the potential rent increase. Although that may not matter on a small scale, if you have a lot of units those 2-3% rental raises can add up.
Lender · Chicago · Member since 2018 · 118 posts · 66 votes
6y
I offer longer leases, 2-3 years, with built-in increases. I do this if it’s a situation where I want to do work on the unit now yet don’t want to force the tenant out. Idea is, if I put this off now, I’m not putting it off for 12 months, I’m putting it off for 24-36 months.
Real Estate Agent · Chicago, IL · Member since 2017 · 2k+ posts · 2k+ votes
6y
If it's fall or winter it's always best to have tenants do a shorter or longer lease so it ends in spring/summer. For example 15 months or 9 months, etc. When I lease up apartments we usually do not allow any leases to end in fall as you can easily see a 10%+ decline in price and higher vacancy.