Cost of Tenant Turnover for Landlords

Tenant turnover can be a big problem for landlords regarding profitability. Each time a tenant moves out, the landlord must spend money on advertising, cleaning, and even repairs. In addition, there is always the risk that the new tenant will not be as good as the previous one regarding rent payments and property upkeep. As a result, landlords must do everything possible to minimize tenant turnover. One way to do this is to offer incentives such as reduced rent for signing a longer lease. Another is to create a welcoming and comfortable living environment for tenants. By taking these measures, landlords can help ensure that their tenants stay put and their profitability remains high.

Below is an example of turnover costs for landlords. Of course, these numbers will vary according to the area, property, location, and local market.

	First Month	Additional Months
Loss Rent	$1,750	$1,750
Mortgage	950	950
HOA fees	300	300
Cleaning costs	250
Real Estate Photography	175
Marketing	150	150
Maintenance	100	100
Painting	1250
Total	$4,925	$3,250

An experienced property manager can help to reduce tenant turnover by expediting property showings, tenant qualifying, maintenance, property cleaning, and marketing. Property Managers serving your area for a long time will have a long list of contractors who prioritize their properties at discounted prices. Doing so can help ensure that your property is attractive to potential tenants and that you can fill vacancies quickly. In addition, they can help screen tenant applications and ensure that you rent to qualified individuals who are likely to stay in your unit for the long term. As a result, working with a property manager can save you a lot of time and money in the long run.

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