Chicago property management company, we know that a big part of the longevity of a property management company is the tenants a property management company has. For years property management companies have been striving to find creative ways to maintain tenants. Whether it was incentive programs, resident events or rental perks, it has been done, but has it worked? Have incentive programs, resident events and rental perks really kept tenants occupying their space? Not necessarily. Sure it has probably worked for some, but not for all. What makes or breaks whether a tenant renews the lease? And what causes tenants not to renew the lease? Here are a couple reasons why tenants renew or not renew the lease:
1- Safety of the building: Who doesn't want to feel safe in the place that they live or work? One of the key factors facing whether a tenant renews the lease or not has to do with the safety of the rental space. Studies show that if tenants feel their building or space is safe they are more likely to renew the lease. Safety can come in the form of a doorman in the building or a well-lit building or area. Outside of typical security features, tenants also want to see that the space they are renting is as safe as possible. The windows should be relatively new and have a solid locking system. The door should have a good locking system, which may mean the door requires not just a key, but perhaps utilizes a chain as well. On the flip side, if a tenant feels that the rental they have been occupying is not safe they will probably look elsewhere to take up residence.
2- Quality maintenance: Quality maintenance services are probably the most pivotal reason why a tenant will renew the lease or not renew the lease. Quality maintenance services typically revolve around service requests. Service requests should be fulfilled in the correct order that they come in to the office. Whether the service request comes in the form or an email, call or the resident stopping by the main office, the resident has a need they are looking to have filled by the landlord or property management company. This is when the office team needs to step in and provide quality maintenance services. How the office team handles the requests and fills the need of the tenant will make or break the tenant's satisfaction with the building, landlord and property management company. To prepare, the staff should be familiar with most common issues associated with the rental property and know what questions to ask tenants regarding the problem or issue they are experiencing. Most office staff should be able to verbally walk the tenant through solving the issue and if need be get the tenant the proper help to fix the issue. Tenants simply want to know that their issue will be resolved in a timely, efficient matter and that the landlord, staff and property management company supports them and will get the issue solved. Odds are if tenants feel they are receiving quality maintenance services and care from the property management company, landlord and staff they will want to continue renting their space instead of looking elsewhere.
3- Good customer service: Customer service is key to keeping tenants satisfied and renting. Similar to receiving quality maintenance services, tenants want to feel that they can approach their landlord, property management company and building staff with any comment or questions, so the lines of communication need to continually stay open. Tenants want to feel like they're appreciated and that the landlord, building staff and property management company care. Giving quality customer service to tenants is another way to ensure that a resident will renew the lease, rather than not renew the lease due to poor customer service.
A major part of whether a tenant renews their lease or does not renew their leases hinges around how safe they feel their rental space and building are, quality maintenance and good customer service. This means a property management company, landlord and staff need to stay on top of the ball and make sure all tenants are being cared for properly. If you have comments or questions on anything property management related, feel free to comment below or contact us.