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Key strategies to retain long-term tenants

26 Mar 2024

As a landlord, one of the keys to long-term success is not just finding reliable tenants but also retaining them over the years.

Building strong landlord-tenant relationships not only ensures a steady income stream but also creates a positive living environment, to retain tenants long term, landlords must make sure they have effective strategies in place to do that successfully, says Antonie Goosen, founder and principal of Meridian Realty.

READ: Landlord/Tenant: Tips on how to avoid conflict over rental maintenance and repairs

Goosen says it is important for landlords to establish open lines of communication from the beginning. “Clearly communicate expectations, policies, and procedures. Encourage tenants to reach out with any concerns or questions and respond promptly to inquiries. Transparent communication fosters trust and a sense of security for tenants.

“Secondly, address maintenance and repair requests promptly. A well-maintained property not only enhances the tenant's quality of life but also demonstrates your commitment to their well-being. Regular property inspections can help identify and resolve issues before they become major concerns,” says Goosen.

According to Goosen, while rental rates should be competitive with the market, it is also crucial to consider fair pricing. “Tenants are more likely to stay if they feel they are getting good value for their money. Periodically review rental rates to ensure they align with the current market while remaining reasonable.

“Also consider adding amenities or making improvements that enhance the property's appeal. This could include landscaping upgrades, energy-efficient appliances, or community spaces. Providing added value to your property can justify rent increases and make tenants feel they are getting more for their investment,” says Goosen.

He says landlords need to understand that they must offer flexible lease terms when possible. “Longer lease agreements provide stability for both landlords and tenants. Consider offering lease renewal incentives or multi-year lease options to encourage tenants to commit to a longer stay. It is also important to personalise the service to the tenant. Treat tenants as individuals, not just as occupants. Remembering personal details, being attentive to their needs, and addressing them by name creates a more personalized and positive living experience. A tenant who feels valued is more likely to stay long-term,” says Goosen.

READ: Rental disputes? | How to resolve them without incurring legal costs

Goosen says for larger developments, it is important for landlords to foster a sense of community within their property. “Consider organising events, creating communal spaces, or implementing a digital platform for tenants to connect. A strong sense of community encourages tenants to view their living space not just as a rental unit but as a home.

“It is crucial for landlords to make timely renewal offers. Initiate lease renewal discussions well in advance. Express your interest in continuing the tenancy and provide any renewal incentives, such as a fixed rent increase or maintenance services. Proactive communication can encourage tenants to renew their lease without considering other options. Also respect your tenant's privacy and ensure they feel secure in their home. Give adequate notice before entering the property for inspections or repairs. Demonstrating respect for their personal space contributes to a positive landlord-tenant relationship,” says Goosen.

Lastly, says Goosen, and one of the most important keys to retaining long term tenant, is to implement responsible rent increases. “If rent increases are necessary, implement them responsibly. Gradual and justifiable increases are more likely to be accepted by tenants. Clearly communicate the reasons behind the adjustment and highlight any improvements or added services that come with it.

“By implementing these strategies, landlords can create an environment that not only attracts quality tenants but also encourages them to stay for the long term. Investing in positive landlord-tenant relationships ultimately benefits both parties, contributing to a stable and thriving rental property,” says Goosen.

READ: Rental market trends: Insights for landlords and agents

Additional information: 

According to the Department of Human Settlements, a Rental Housing Tribunal has the authority to deal with disputes, complaints or problems between tenants and landlords in the rental housing dwellings:

- Non-payment of rentals
- Failure to refund the deposit
- Invasion of tenant’s privacy, including family members and visitors
- Unlawful seizure of tenant’s goods
- Discrimination by landlord against prospective tenants
- The changing of locks
- Lack of maintenance and repairs
- Illegal evictions
- Illegal lockout or illegal disconnection of services
- Damage to property
- Demolition and conversion
- Forced entry
- House rules
- Intimidation
- Issuing of receipts
- Municipal services
- Nuisance
- Overcrowding and health matters

In terms of section 13(13) of the Rental Housing Act 50 of 1999, a ruling of the Tribunal is deemed to be an order of a Magistrate's Court in terms of the Magistrate's Court Act, 1994.

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