As inflation pushes the price of goods and services up, it can become more difficult to keep your purchasing power on pace if the amount of income you generate stays the same. For some people, annual raises from an employer can help. But what about investment property owners?
In this case, it may be necessary to raise the amount of the rent you’re charging. While this is never an easy conversation to have with your tenants, there are some ways to make it a bit less painful.
One of the best places to start is with open, two-way communication with you and your renters. Even if you’re conveying something that they don’t want to hear (like having to write a bigger rent check every month), letting them know in a friendly, tactful manner can help to cushion the blow.
Depending on the situation, you may be able to make the increase in rent gradual, rather than imposing a larger increase all at one time. In some instances, you may be able to work out an alternate arrangement with your tenants.
For instance, you could offer to keep the amount of the monthly rent as-is in return for the tenant cutting the grass and/or performing other types of maintenance that you would otherwise have to pay for out-of-pocket.
If having this type of discussion with your tenants isn’t something you want to handle directly, it may make sense to work with an experienced property management company. Doing so can allow you to delegate a whole host of time-consuming tasks, such as collecting rent, marketing for vacancies, maintaining properties, and communicating with tenants.
Want more details on how adding a professional property manager can pay off? If you own residential real estate in Orlando and/or Central Florida, give Central Florida Property Management a call at (407) 429-4834 or send us an email via our secure online contract form by going to https://cflpropmanagement.com/contact-us/. We look forward to hearing from you.
