The Psychology of Successful Tenancies
How can you encourage tenants to settle long-term in your rental? A report compiled by consumer psychologists claims to have the answers.
A report on the psychology of buying and renting includes some helpful advice for landlords.
The Bricks to Belonging report* was compiled by the psychological and behavioural science firm IB.
It examines what drives renters to become first-time buyers or to move from one rental to another.
“Beyond the more obvious demographics of wealth and life stage”, the report found three important psychological factors influenced decision-making.
So, if you’re a landlord hoping to achieve the holy grail in the property game - long-term, reliable tenants – here are three things to consider.
Relationships
The tenant-landlord relationship is one of the most critical factors in a successful tenancy (no surprise there).
But interestingly, the report states that even one negative encounter can be enough to flip a tenant’s perception of their landlord.
That’s because the brain tends to give more weight to bad experiences, even if they’re less common.
This underlines the importance of building a good rapport with your tenants and always remaining calm and professional – even if you feel your patience is being tested.
Provide certainty
When a tenancy runs smoothly, landlords sometimes assume it’s best to leave well enough alone and take a step back.
But if things are working well with your tenants, let them know that you hope it continues for some time.
The report says certainty is key for tenants – who often worry about having their lives upended if a tenancy ends.
Foster a sense of belonging
Tenants are more likely to stay in a property long term if they feel emotionally connected to it.
One way to promote this is to allow tenants to personalise the space by making minor changes (they don’t have to be big measures, a lick of paint or a few new plants might do the job).
And if you’re carrying out improvement works, involve your tenants in the process.
We’re not suggesting you let them take charge, but by discussing your plans, you’ll show that you value their opinion.
Get help
If you have a heavy workload or family commitments, why not get a letting agent to manage that all-important tenant relationship?
Contact us today to learn more about our property management services.
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*Report commissioned by specialist mortgage lender OSB and the Landlord Leaders Community.