Hi All,
I have a tenant who is leaving in a few months. He is currently paying around 33% less than fair market rent in the area!
Therefore, apparently him leaving should be great for the business.
My question is:
Since the place is far from where I live, the tenant who will leave and lives there now, will be the one showing the place.
so I'm assuming he should/will know the new rent amount I will be asking. Also, there is a good chance any potential tenant coming to view the apartment will ask the current tenant how much he is paying. Will this cause an issue increasing the rent significantly? meaning when a new potential tenant will find out I am asking much more than current rent charged (although I’m simply asking market rent), it will deter him/her from renting the place thinking I am trying to rip off the new tenant or something?
(FYI it’s a 5-plex so other tenants staying there will also know I started charging much more now.)
THANKS.
I have a tenant who is leaving in a few months. He is currently paying around 33% less than fair market rent in the area!
Therefore, apparently him leaving should be great for the business.
My question is:
Since the place is far from where I live, the tenant who will leave and lives there now, will be the one showing the place.
so I'm assuming he should/will know the new rent amount I will be asking. Also, there is a good chance any potential tenant coming to view the apartment will ask the current tenant how much he is paying. Will this cause an issue increasing the rent significantly? meaning when a new potential tenant will find out I am asking much more than current rent charged (although I’m simply asking market rent), it will deter him/her from renting the place thinking I am trying to rip off the new tenant or something?
(FYI it’s a 5-plex so other tenants staying there will also know I started charging much more now.)
THANKS.