While keeping tenants happy and satisfied is critical to the success of any investor, one of the common mistakes that owners make is failing to foster a great working relationship with their tenants. As an owner, you set the bar for your commercial properties, including the relationships you have with your tenants. Sure, nurturing a great owner-tenant relationship can be difficult, but prioritizing positive relationships with your tenants is not just good business sense, it’s great business sense.
In this blog post, we will share some valuable tips that will help you build professional and long-lasting relationships with your tenants and show you why doing so is the key to the success of your investment.
Start off on the right foot
A good business relationship works best when established from the start. It is important to make your tenants feel welcome and comfortable at your property and provide them with all the information they need to start their tenancy off right. The key is to be approachable but always responsible, consistent, and remember to let the lease terms guide you through the decisions you make. Remember, as the owner, you set the tone of this relationship by always being considerate, regardless of how challenging the situation may be. Keeping this professional viewpoint can help you get through any obstacles down the road that you may experience with your tenants.
Create an open line of communication
It’s important to create an open line of communication from the get-go and that begins with clearly articulating your expectations of the tenancy and listening to the expectations and needs of your tenant. This transparency will prove to be vital in the future should any issues arise. On a similar note, while it is essential to draw up well organized, comprehensive, and explicit leases for each of your tenants, even the best leases are often just skimmed over by tenants.
In addition to asking your tenant to read through the lease thoroughly, be sure to clearly disclose any key points of the lease such as commencement dates and rent escalations and be sure to answer any questions they may have. By doing so, this not only helps build trust between you and your tenant, but also leaves no room for confusion, which is beneficial to both parties.
Respond quickly to repair requests & schedule routine maintenance inspections
Whether it is a major repair or something minor, be sure to let your tenants know when you’ve received their requests and update them along the way to manage their expectations. (This goes hand-in-hand with our previous point – communication is key). This will speak volumes about you as a landlord. The goal here is to be attentive so repairs can be completed within a timely manner and the tenant is satisfied. After all, such efforts may even be what keeps your tenant from moving (hello tenant retention!) – or what drives them to recommend your property to others.
Note: Tenants also appreciate a landlord’s willingness to discuss the reason why a request cannot be met — honesty and lease compliance can go a long way.
On a similar note, it’s also a good idea to schedule routine maintenance inspections for your property, even if a repair is not needed. In doing so, you can ensure that maintenance is always up to par, which in turn, sustains your property’s market value. Additionally, as we have previously touched on in one of our blog posts, if you prefer a hands-off approach when it comes to day-to-day operations, consider hiring a property management team to take the reins and help execute repairs quickly and efficiently.
Respect Your Tenant’s Privacy
Accessing your property is something you may have to do on occasion for inspections or other various reasons; however, one way to quickly erode the relationship you have with your tenants is to spring such entries on them at the last minute – emergencies excluded. Yes, being friendly is important, but don’t get so close that you become intrusive, no matter how comfortable you feel with your tenants. Aside from the fact that legally you must provide your tenants with prior notice before entering their space, it is just common courtesy to let them know beforehand.
An extra tip: Always try working with your tenant’s schedule as much as possible when it comes to routine entries – your tenants will appreciate this more than you know.
Keep a strong document trail
Keeping accurate and organized records of all communication between you and your tenant is of paramount importance. This includes meetings, whether planned or unplanned, all phone conversations, letters, e-mails or messages sent by whatever means, as some small detail could later become a major point of dissension and could even lead to legal issues. In other words, keeping a strong document trail preserves both you and your tenant’s rights. The time taken to file these records will be well spent, should a dispute ever arise.
Final Thoughts
The importance of developing a positive owner-tenant relationship cannot be overstated. Keep in mind, however, that establishing positive relationships with your tenants is just the first step. Ultimately, remember that you are working with people and that human-nature element requires patience on your part to build and continue to maintain these professional yet personable rapports in order to be rewarded with loyal, long-term tenants.
Using the tips we have provided above will help you keep your tenants satisfied, leading to longterm tenant retention, and in turn, makes your bottom line happy. Therefore, investing in positive and professional tenant relations is the key to the success of your investment.
