All Forum Posts by: Account Closed

Weird update: My tenant gave notice today! No kidding! So I guess getting it up to market will be quicker than I'd anticipated. Tenant is moving out of the area and only gave "sort-of" notice today -- really more of a head's-up than notice. I will get 30 days written when dates are more solid. That is not a problem for me. 

I'm not looking forward to turning it over in winter, but I am looking at this as a great opportunity to quickly do upgrades and get the rent up to market.  

@Account Closed Ha ha! Yes, I do know you! I'm Daisy's mom. Small world! I really appreciate your local perspective.  Definitely a tight market out here right now, and lots of tenants feeling really squeezed. In spite of this property being a bit older with some elements of "character" that newer units don't have, I don't think getting it rented will be as much of a challenge as it might have been in other years. So nice to see you here!

@Michael D.

You're absolutely right about the property value. On the other hand, I don't think I'll be bringing the rent up to the exact market rate for a long term tenant. I will still offer something of a discount. Per a lot of the advice here and my gut feelings, I think I'll end up doing a gradual increase and then be consistent with increases in the future.  Thanks so much for taking the time to consider my issue.

@Kurt K.   Thanks for your detailed response.  I appreciate your perspective on the numbers. I don't intend to keep the $270 gap, but I want to be fair to a very good tenant. I also don't feel comfortable jacking up the rent right before the holidays -- not so much because I'm worried about the response, but because it just doesn't feel right.  My real question was more about how much is too much of an increase, or what is a reasonable discount.   I'm not sure what you mean about hassle-avoidance. I'm not concerned the tenant will move if the increase is fair and handled well, so I'm not really worried about the hassle of a turnover. Even if the tenant does leave, which is always a possibility, turnovers just come with the territory.  Not fun, but a fact of life.  Thanks again for your input.  I appreciate your longview approach.

@Brendon Woirhaye  Thanks, Brendon. That seems like a reasonable rule of thumb.  

@Account Closed   Thanks.  I like the longer lease idea. I've never tried that.

@James Wise  Thanks for the feedback. I agree the gap should be closed somewhat, but a good tenant is worth the discounted rent.

@Sam Leon  you make a good point about resale values. 

@Matt R.   Is that a 3% rule? : ) Thanks! That gives me a guideline to keep in mind.

@Chris K.  Regrettably, increases in recent years there have been fewer and the amounts lower than I'd like.  I regret setting this precedent, but because of needed upgrades that we just couldn't afford till now, I couldn't justify larger increases. We just redid the floors and plan some other upgrades, so I feel it’s time to get back on a more typical schedule of increases. Slow-and-easy sounds like a good way to go to make it work for all concerned.

@Zoran M. , thanks for the input. I appreciate your point about the trade-off of discounted rent for a stable income.

@Rusty Thompson   Thanks for working those numbers for me! I hadn’t thought of it from that angle. That's a really valuable perspective. With my current tenant I’m not too concerned about a turnover due to a moderate rent increase, but I want to be fair and offer a benefit by way of lower rent, for being a good tenant.

@Roy N.   I like the timeline idea. I was also considering a sit-down with the tenant as you suggest. I was planning to get a new rental/lease agreement signed as we haven’t updated it since move-in.  I agree, it's good to be clear about discounts based on a tenant's good history. 

@Aly W.   I definitely am not anxious to turn the unit over. A reliable tenant is such a blessing! I like your all-caps TRY! Trying is the best we can do, right? The unit has been in decent condition, but needs upgrades. I like your idea of spreading the increases out.