Property Maintenance Equals Tenant Retention

by | Jun 2, 2017

524 5th Ave W

Education

Property Maintenance Equals Tenant Retention

by | Jun 2, 2017

524 5th Ave WOf all of the reasons why tenants leave, inadequate maintenance is right at the top. There aren’t many people that would put up with a ceiling leaking for days, or a toilet that won’t work, or a faucet that constantly drips.

Realistic or not, tenants believe that their problem is the most important, and by not having the problem taken care of in a reasonable amount of time, the message that you’re conveying is that they are not important. And tenants who do not feel important, leave.

Property management is typically not a buildings owners only job and it’s easy to forget what they may classify as a  minor situation  is usually something a tenant focuses on, especially once they have taken the step to contact someone about the issue.  I always recommend doing full building inspections at least several times a year.  When we schedule these, it is very common to find a paper taped to a door or left on a table with items the tenant wishes to have fixed.   Often times, tenants do not wish to complain as they feel an owner may raise their rents if they must spend money on their units.  This makes timely inspections even more important.

Best practices indicate that an owner, like professional property managers, should maintain an open line of communication with their tenants in regards to maintenance issues.  When you speak with them about anything, take advantage of the opportunity to ask them is everything working to your satisfaction in the unit.  This gives you the opportunity to repair anything that is wrong and also establish a relationship with the tenant that lets them know you care about them and their tenancy.

When notification is received about a needed maintenance repair issue, make sure you handle it quickly.  If there is a delay, stay in touch with the tenant to let them know you are working on fixing the problem.  It is also a very good idea to follow up with them and make sure the problem was handled to their satisfaction when the work has been completed.

Keep a log of each unit with all the maintenance work that was requested and completed.   This is extremely helpful if you begin to see a pattern of the same issue happening in multiple units.  It will give you the opportunity to be proactive by checking all units and identifying if they have the same issue occurring.

Keeping on top of maintenance issues will not only promote lower turnover and happier tenants, it will in the long run save you a lot of money.  Those of you who have seen water bills spike and found it was due to a leaky toilet, know what I am referring to.  It will also abate any problems caused by long term deferred maintenance which spreads and grows if not attended to.   Secondly and certainly not least, a good maintenance program will show your residents that you care about them.

About the Author

Bruce A. Kahn, CCIM, CPMBruce A. Kahn, , CCIM, CPM, Principal, Designated Broker, Foundation Group is a Managing Director of Foundation Group Investment Real Estate Solutions, a full-service property management and brokerage company. He has earned the designation of CCIM (Certified Commercial Investment Member) issued by the CCIM Institute, and is a CPM (Certified Property Manager) with the IREM (Institute of Real Estate Management). For further information or for a property analysis, please contact him at 206-324-9424 or by email.