Follow the money by Lawrence Berry, CPM Resident Retention via Multifamily Insiders

Let me start out by saying I know Brent is going to say this is too long. However, tried shortening and it just doesn't have the same impact...so here goes.

Never will you hear an owner or supervisor say, "It's about the people...not the money." That being said, it is about having the right people to insure NOI increases and the property is profitable. Our job is to increase property values with one of the primary way being the increase of Net Operating Income. We look at how we can improve NOI with the obvious being rent increases. We do this through several key factors, however, we do not always keep them in mind as our site personnel go about their daily tasks.

* The first and most important way is through resident retention. In no other area can we have such a positive impact on income and expenses both. This is done through exceeding resident expectations, providing "WOW" customer service, effective communications, and insuring all of the team contributes and understands the critical nature of how it impacts the bottom line. We preach resident retention, however, I suggest we don't practice it on an every day basis. This is where having the right people, the right training, the right follow-up, and the right attitude will make the difference between success or failure.

* Second, keeping your eye on the market and your finger on the rent button. Managers for some reason are hesitant to raise rents. They perceive this and believe it will drive prospects and residents away. They also believed we would have empty properties when we started charging for water, sewer, and trash, only to find out it didn't happen. This is where a good regional or district manager through conditioning can eliminate that fear, and then passing on that conditioning to the leasing staff. Get a manager who resists changes to rents, and you will more than likely get those working with that manager to feel the same way. By keeping your eye on the market, knowing your product and the product of your competition, you can maximize rents in any market. Teach your team to be pro-active and the leader in the market, and you will probably find other properties wanting to be like you and following suit.

Read more...Follow the money by Lawrence Berry, CPM | Apartment Marketing | Apartment Leasing | Resident Retention | Apartment Investment | Apartment Jobs via multifamilyinsiders.com