Property Management – Canoga Park

 CANOGA PARK PROPERTY MANAGEMENT

How To Raise Rents Without Losing Tenants

Your vacancy rate is low and you have great tenants who have rented from you for a long time. Comparable units are renting for more, but why think about raising rents when things are going so well?

Because the rental market is cyclical just like any other market. As the saying goes, what goes up, must come down. That’s why it’s important to keep pace with rents when the local housing market is strong so you can survive leaner times when rents fall and vacancy rates rise.

So how do property management companies and owners raise rents without losing their tenants? They start by doing their homework:

Have your costs gone up?
First, take a look at your operating costs. Have things like property taxes, insurance, and utilities increased since your last rent increase? If so, take note of how much they’ve increased as a percentage. Having this information not only helps you determine if a rent increase is in order, it also helps you explain the increase to your tenants.

What’s the going rate?
Next, determine what the going rate is for similar rental units in your area. But don’t rely on anecdotes from other landlords and property managers; do your own research instead. Start by checking advertised rent using sites like Craigslist or call around, even if it means posing like a prospective tenant.

Are new tenants willing to pay for it?
Finally, test the market by seeing if prospective tenants are willing to pay the increased rents. List rental units at least 60 to 90 days before your leases expire and then see what prospective tenants say about the advertised rent. If they’re willing to pay, you’ll be on firm ground when you talk to your existing tenants about raising their rents.

By Michael Monteiro

Since 1946 the Carnahan name has had a reputation for honest and ethical Real Estate Property Management services in the San Fernando Valley, Santa Clarita Valley, Burbank/Glendale, Los Angeles, Westside and Conejo Valley areas.

The reason for our success is helping owners like you when they need it. Below is a partial list of property management services we provide to help you protect your real estate investment.

• Tenant placement
• Tenant screening (including: credit check, landlord and employment verification, social security trace report, California eviction check and criminal check)
• Regular property inspections
• Accounting and landlord bill payment
• Monthly financial reporting
• Maintenance service and supervision (we use only proven independent vendors)
• Collections
• Evictions
• We supply all the necessary forms to meet California’s Landlord/Tenant laws
• 24 hour emergency phone service
• Advertising to the broadest tenant base possible

Call or e-mail us today for more information. We’re ready to get started!

• Carnahan Property Management services Woodland Hills,West Hills, Calabasas, Canoga Park, Tarzana, Reseda, Topanga, Encino, Northridge, Van Nuys,North Hills,Chatsworth, Sherman Oaks, Studio City, North Hollywood, West Hollywood, San Fernando Valley, Granada Hills, Mission Hills, Simi Valley, West Lake Village, Agoura,Toluca Lake, Valley Village, Burbank. Call us at (818) 884-1500 and check if we can service your area.