If you are a landlord, it is imperative that you understand that tenant retention is considered one of the most cost-effective and productive strategies for boosting your reputation and your earnings. Instead of viewing your tenants as individuals that simply owe you, view them as your “unofficial” partners in your business.
With an official business partner, you will take the steps necessary to ensure their satisfaction so that your business will be successful. The same holds true for tenants; if they are satisfied, you will retain them. If you retain tenants, you retain profits from your business. One of the most effective techniques for succeeding in this endeavor is to boost the security of your rental property.
The Costs of Turnover
Tenant turnover is considered to be exceptionally costly. Not only does the vacant unit result in loss of money, but the price of marketing and screening tenants is lost. Whether or not your unit is occupied, you are still responsible for property maintenance, the taxes for the property, the mortgage payment, insurance, utilities, and homeowner’s association fees.
In short, tenant turnover should be avoided. Simply by maintaining the property, fostering the satisfaction of your tenants, and providing people with a reason to stay in your rental property, you will experience a steady flow of cash and maximized earnings. One of the best places to start is the security of the property.
The Real Concern Among Tenants
While it is true that a beautiful property with a high level of amenities is attractive to tenants, there is one thing – above all – that is even more important; that is, the safety and security of their property, their home, their loved ones, and their belongings.
What’s a beautiful living room with a jacuzzi tub if you do not have the proper security measures in place? What’s cathedral ceilings and heated flooring if your tenant does not feel as if their family is safe?
Our homes are our sanctuaries. It does not matter if one rents or one owns, feeling safe and secure is of the highest level of importance.
Your rental property is not really about YOU; it is about who you rent to.
It is about what they are concerned about and what is important to them. This means that safety and security MUST come first. If this happens, retention and earnings are sure to follow!
Home Security is Essential
Did you know that when a person rents their home that it actually doubles the risk that they will be burglarized? Since the 1990s, burglaries have decreased significantly. Unfortunately, a renter is still twice as likely to experience a break-in than a person that owns their home.
Today’s burglars are in constant search of properties that are empty several hours a day, have an easy access point, provide cover so that they are less likely to be seen, and have a solid route of escape. Depending on the setup of your rental property, it may meet most or all of that criteria.
Start with the Basics
To boost tenant retention and your earnings, you must start with the basics when it comes to safety and security.
First, make certain that the actual property is wide open and does not allow a criminal any type of easy cover to hide.
Trim bushes, shrubs, and other items that could obstruct views of the home.
Make certain that there is a place for everything. Encourage tenants to keep items inside for protection. If this is not possible, provide a small, secure outdoor area that allows them to keep their belongings. For example, a side shed or yard-saving shed.
According to statistics, if a camera is present on a property, it will help in deterring approximately two-thirds of those criminals who want to break into the home.
In today’s world, advancements have made it easy to obtain even cheap outdoor security cameras for the home. These should be visible to those who approach the property. For example, large enough to see or one that includes a light or is even attached to a motion light.
That brings us to the next tip; that is, ensure that the property is well-lit at night. The best approach – to ensuring light while saving money – are bright, solar-powered motion lights installed all the way around the rental property and in areas where individuals may enter and exit the property.
Take Advantage of Technology
There are many technological security options available to you. When considering which ones to integrate, it is imperative that you place an emphasis on convenience and ease of use. The following outlines the most popular options among landlords today:
- Smart Intercoms – These are electronic devices that are internet-connected. Tenants may speak to the person at their door and unlock the door remotely once they verify through the voice or any attached video that the individual is someone that they want in the home. When a camera is installed with the unit, the outdoor entrance area may be monitored on a mobile device and/or on a monitor.
- Smart Door Locks – These locks are cloud-based. They may be locked and unlocked remotely by either a landlord or a tenant. These devices may be managed remotely with mobile devices.
- Mobile Credential Systems – These systems work by verifying identity through an individual’s mobile device by way of Bluetooth technology. Simply a wave of the hand initiates the scan. If the device is recognized, the door is opened. There is no need for pin pads or buttons.
- Identity Verification – In most instances, these systems use some type of device to allow access onto a rental property. In other instances, it comes with a video reader that you may place at the entrance of your rental to verify a tenant’s identity and allow them access to the property. Additionally, it gives you the option to remotely unlock the door if their credentials become lost.
- Smart Building Technology – This may help enhance security and reduce costs in your rental property. In short, once a tenant enters, logs are made, dates and times are monitored, and certain events may take place – such as lights turning on, alarms automatically setting, etc. This takes a lot of responsibility off of your tenants and you can have the peace of mind of knowing that your property is automatically monitored at all times.
A home alarm or security system is designed to either sound an alarm and/or engage in the communication process with a security management company if certain actions occur – such as a door opening or a window opening – when the unit is set.
These are considered a main line of defense when it comes to the safety and security of a rental property. In addition to this, they help alert tenants to fires and other types of dangerous situations. All rental properties should have a home security system of some type.
As you can see, there are many ways to ensure the safety and security of your tenants. In protecting their best interests, you are protecting the interests of your rental business. When tenants know that you truly care about their safety and well-being, they are more likely to remain in your property for a long period of time. It is all about working hand in hand with your official business partner. If you succeed in this, you will succeed in tenant retention AND boosting your earnings! To learn more about building your rental business, contact us here at Pioneer Property Management now by calling: 720-839-7482