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Old 03-30-2021, 03:53 PM   #21
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I am checking zestimate and most of my rental is behind $150-200 range of $800-1500. for example, zestimate shows at $1045 but I am collecting $800. I was too crazily busy for my sister death and next year was pandemic so It hasn't been increased at all after move in. It is bothering me because it is too much gap. how much should I increase?
How much do you want to keep your tenants?

I suggest 3 to 5 percent every year until you get closer to market. You don't want to outstrip your tenants' increasing income and cause vacancies. Just be consistent until you are closer to market. Also, pay attention to how your properties compare to what's available at market rent. If you would have to do a substantial amount of work to bring them up to market standards, you may want to be a little more conservative.
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Old 03-30-2021, 04:16 PM   #22
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Originally Posted by retire to nature View Post
I am checking zestimate and most of my rental is behind $150-200 range of $800-1500. for example, zestimate shows at $1045 but I am collecting $800. I was too crazily busy for my sister death and next year was pandemic so It hasn't been increased at all after move in. It is bothering me because it is too much gap. how much should I increase?

This year I had one tenant move-out I increased the rent by 25%, I did 4 others by 5% so most of them are about where they should be except 1 it's about $100-150 shy but they lady has been there 5 years she's a good tenant and she has paid me back all the money I have into the home. I will likely raise he rent on 1 other home next month and everyone else is in a lease.


To answer your question is you are $150-200 you need to evaluate how much you like the tenant, if they are good take 3 years to get them where they need to be if you don't like them increase $125 this year and make up the difference next year.
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Old 03-30-2021, 04:46 PM   #23
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This year I had one tenant move-out I increased the rent by 25%, I did 4 others by 5% so most of them are about where they should be except 1 it's about $100-150 shy but they lady has been there 5 years she's a good tenant and she has paid me back all the money I have into the home. I will likely raise he rent on 1 other home next month and everyone else is in a lease.


To answer your question is you are $150-200 you need to evaluate how much you like the tenant, if they are good take 3 years to get them where they need to be if you don't like them increase $125 this year and make up the difference next year.
I agree with you. So I am wondering if it is better to get new tenants for big jump like you did. My dilemma is I even don't know some of my inherited tenants. all are making on time payment. But I am not sure how much they are damaging my houses. On the other day, I visited one of house and I asked her move out because she is not managing house at all. Under kitchen sink was all wet because she put all plastic bags there, bleach was fell and all over, she didnt even noticed until I pointed. I knew because the wood got all twisted or bent, but she never turn on lights or open curtain. She stays in very dark all the time. she even dont know how dirty her house is. everywhere I see fungi etc. I think she had depression but pandemic got her worse.

Do you guys visit the property for inspection
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Old 03-30-2021, 10:01 PM   #24
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I have four tenants and so far all have paid, although one always pays chronically late. I am interested in selling my units and getting out of the rental biz, but state/city laws make it very difficult and expensive. I did raise rent about 7% starting in June, but I haven't raised them in two years so they are getting off cheap. They are still paying less than many other places.
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Old 03-30-2021, 10:53 PM   #25
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I always inspect the house, just an informal walk in , say hello type of thing each year.
Didn't get to do it last year due to Covid., this year is a question mark as well.

I think it's better to raise the rent consistently 3% per year is more comfortable for tenants and actually pulls in more rent due to compounding than 6% every two years and is less likely to push them to move out.
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Old 04-07-2021, 09:49 PM   #26
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I always inspect the house, just an informal walk in , say hello type of thing each year.
Didn't get to do it last year due to Covid., this year is a question mark as well.

I think it's better to raise the rent consistently 3% per year is more comfortable for tenants and actually pulls in more rent due to compounding than 6% every two years and is less likely to push them to move out.
Good idea, I haven't thought of the compound way. and informal walk in every year too.
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Old 04-13-2021, 05:12 PM   #27
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I just want to mention. I put 2bed and 1 bath single family house for rent. I can tell it is so competitive now. I get at least 3-4 times more inquiries than before covid. It is because very hot area to sell, but I can tell why price went up.

Like my original thread, I was getting from $900 from the house, now zillow says $1045.

I have similar house collection $800 for 2 years, now I asked $50 up, she is not happy, but I am sure she would renew. But I am not sure If it is good to 1 more year renew.

But my concern is if it is ok to go this low 3-5% increase even though market is much higher and afraid property tax etc.
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