Real-life MMD: Should I up the rent and risk losing a great tenant?

blameitontheboogie

You've said that you're down South and your property is up North, do you have friends/family who can keep an eye on it for you? How would you find a new tenant and how would you know if they were behaving reasonably?

That's the rub really, I haven't and wouldn't. I go up every couple of months as it is. A while back I used a lettings agent, but they didn't seem to do much for the money and effectively the money that I got from not using them acted as a rise in rent for me not the tenant. The situation at the moment is that the rent pays the mortgage and the odd bits and pieces but any works that have degree of significance mean I lose money. [Ok, in the long run when the mortgage is paid off it will balance out .] If I increase it then I'll be able to recoup that, but equally not being around the corner is a pain:undecided

mick_s

We have jut had a couple in for 6 years, never put up the rent they were on, it was quite low - could have got 20% more - then after 6 years they do a moonlight owing 11 weeks rent and damage.

So be nice to the tenants - but it may not come back to you - but I'm sure Karma will level the field in time.

VanessaJoanne

For the future adopt the habit of increasing the rent by 2-3% on April 1st yearly. Notify the tenant in writing a month beforehand. This coincides with the yearly council tax and water rates notifications and I have experienced no difficulties with this system. Obviously this applies only after the initial tenancy agreement time. I normally opt for a 6 month tenancy which thereafter becomes a periodic tenancy.

Mardymadam

From several years experience if you have a good tennant do all you can to keep them, even if you aren't making as much as you could. A poor tennant could give you sleepless nights, complaints from the neighbours and police, and wreck your property, thereby actually costing you money. If you have a good one then thank your lucky stars, look after them, and maybe come to a compromise which suits you both.

catkay

Money is not everything. Use your instincts.

PokenH00D

Having been a landlord I would say that "50% of something is better than 100% of nothing" a good tenant and 100% occupancy is a valuable asset.
As I'm now a tenant, I know what riposte I would have for my landlord if he tried to increase the rent to the level of other properties in our area.
"Bring this property up to exactly the same standard and you're welcome to the increase"
As it is, we had a chat recently about the rent going up to accomadate the cost of the landlords certificates for gas and electric. I politely declined, but said I would arrange the certificates myself, which was more than acceptable for my landlord.