Raising Rent While Keeping Good Tenants
If your tenant wants to stay, look at the fair market value of your rent and if what you’re charging is in line with that. If it is, you should keep the rent where it is or do a very nominal increase. It’s good to increase the rent year after year if you can, but you always want to make sure you keep your tenant. A great tenant is always worth keeping, and not having the turnover will save you money and eliminate the unpredictability of a new tenant.
Setting a New Rental Price
If your tenant is leaving, you need to evaluate the rent and set a new price. There are a few ways to do that. You can do it yourself, but you may want to get help from a Realtor or a northern Virginia property manager. You’ll get an indication of how many properties like yours have rented recently and what those rental prices are. You’ll know how they’re similar and what kind of updates they have. Based on that information and the market conditions, you can establish a price. If the market is slow, you 
might want to be competitive and price below the other properties. That will get your home rented quickly. The last thing you want is a long vacancy. If the market is great, make sure you price it at the market average or slightly higher, especially if you have other amenities and features that other homes don’t.
might want to be competitive and price below the other properties. That will get your home rented quickly. The last thing you want is a long vacancy. If the market is great, make sure you price it at the market average or slightly higher, especially if you have other amenities and features that other homes don’t. Use the right resources to price your home correctly. Avoid underpricing and overpricing so you can attract and retain a good tenant. Get some help, and if you have any questions about pricing your northern Virginia rental property, please contact us at Richey Property Management. We’d love to provide you with more information.
