Strategies and Tactics for Reducing Tenant Turnover
- Feb 01, 2019
As of the last half of 2018, the United States was officially in a “renters-market” for the first time in more than eight years, according to data collected by Florida Atlantic University and Florida International University. That’s obviously great news for property managers who need to quickly lease up their apartments. But the unfortunate reality is that half of these renters will turn over their lease within one year of moving in, according to the National Center for Housing Management. And with turn over expenses averaging $1,500 per unit, a typical 200-unit building can expect to lose $150,000 of annual gross operating income to turnover costs.
However, according to Zillow Rentals, nearly 60 percent of all tenant turnover is controllable. And a mere 5 percent reduction in annual turnover can mean an additional $15,000 in yearly gross operating income. So, how do you reduce tenant turnover? Thankfully, it doesn’t take a lot of money or effort – just a will to succeed and some good ideas.
We spoke with industry professionals about their best strategies and tactics for reducing tenant turnover and put them into this 34-page guide.