Secrets To TOP QUALITY RESIDENCES – Even In This Down Economy

Resident retention is generally the forgotten factor in property management, as the art of apartment marketing and leasing to new prospects continues to be studied, sliced, diced and pureed by the apartment industry to get optimal strategies of getting people in the door. Actually, the better a community is at apartment marketing and leasing, the more it could mask its shortcomings on the resident retention side. So much effort is manufactured on the leasing side of the business our front line troops are called “Leasing Professionals.” Focusing on Leasing is not a negative idea; however, neglecting another half of your organization can alienate your residents, cause high turnover, and severely impact your important thing.

Which is more important: Resident Retention or Apartment Marketing?

When we discuss the value of Resident Retention, it is not to say that apartment marketing isn’t also quite crucial. In other words, to boost retention, we have to not sacrifice leasing. That said, an increase in retention is vastly more beneficial than an increase in leasing. This should not be a surprising concept. When comparing a new resident to a preexisting resident, the existing resident is much more profitable, with almost no make-ready costs no loss due to vacancy. Additionally, a long-term renter is a lot more prone to refer friends and coworkers when compared to a new renter would.

When you see the difference in profitability between your two groups, it is shocking just how much more we spend on prospects. While prospects and new residents get the advantage of cheaper rent and extensive marketing, existing residents, those who pay the bills, often obtain the short end of the stick. This difference can lead to alienation of one’s current residents, a situation you need to strongly avoid.

Why is resident retention not on the radar?

Even though most of us understand the idea of resident retention, surprisingly little is well known about how to accomplish it. Therefore, most communities elect to either ignore it all together or choose methods that do not achieve the expected goals. Let’s first look into a few of the most common mistakes made in current retention “techniques.”

Customer Service and Maintenance

Let me be clear concerning this: Customer service and maintenance aren’t resident retention programs. We constantly hear how important both of these items are, which is completely correct. However, rather than going above and beyond, these items are an expectation, not a perk. Especially for Class A and Class B properties, residents do not see strong maintenance and customer service as a luxury item they ought to be impressed with. They instead see these items as a required part of living at your community. Look at a restaurant advertising that its food is served warm. Isn’t that expected at a restaurant? And if that is the best trait the restaurant can provide, would you really expect the food to be that great? For a residential area to advertise a feature that needs to be standard, they’re actually implying that the rest of their service isn’t too impressive!

The infamous summer party…

Summer parties can be a fun perk, but are rarely an excellent investment. Ki Residences Singapore For starters, summer parties could be very expensive if food emerges, generally which range from $1,500 to $3,000 for a 300-unit community. Ironically, you spend less when you get a low resident turnout at these events. Imagine the price if 100 percent of your residents attended! However, probably, you will only have around 25 % of your residents arrive. Of those, it’s likely that no more than 25 percent includes a lease coming up to make the feeling on the renewal decision. Therefore, you are impacting only 6 percent of your “target audience.” This implies for an average community of 300 units, you’re spending roughly $2,000 to attain 18 residents – that’s $111 per resident! Even if the party influences several others that renew later in the year, investments in these parties do not justify the reward.

Just what exactly are some programs we can implement?

Firstly, know your community. Fair Housing laws limit just how much demographic information we are able to keep about our residents, nevertheless, you should at least have an idea of the different faces of your community. Additionally, instead of having one giant one-size-fits-all party, you can coordinate several smaller, targeted parties over summer and winter. Having more frequent parties lets you target different demographic groups in your community at differing times instead of “putting all of your eggs in a single basket” approach of large summer events. Spacing these events throughout the year will also guarantee that your events coincide with all your residents’ renewal periods, this provides you with you the largest impact possible. Here a few ideas that can it is possible to explore that are less costly:

Older Residents

Bridge or Mah Jongg Night
Dinner Rotation – This could be quite popular! Have an indicator up period for singles or couples. These groups then take turns rotating amongst their apartments hosting small dinner parties for every other.
Singles Crowd
Poker Night at the Clubhouse (for prizes instead of money)
Networking Night
Dance Classes
Sporting events
Children Friendly
Ice Cream Social
Kite Day
Scavenger Hunt
Also, remember that you have purchasing power! Most events around town offer group rates that you may pass along to your residents. This may make them feel a part of an exclusive club with great deals all the time!

The future of resident retention

Have you heard the term “Resident Portal?” If you haven’t, continue reading! A Resident Portal is actually a website for the residents, adding a genuine social element to your community – contemplate it a “digital clubhouse.” In the event that you haven’t noticed, almost all residents have a social presence online. Resident Portals take that concept and merge it with traditional apartment properties to create a true “community” environment. A basic Resident Portal includes a community calendar of events, utility sign-up features, maintenance requests, and online rent payment. However, several resident portals offer much more in terms of a residential area social experience. These expanded resident portals range between about $125/month to $200/month for a 300 unit community, meaning you can aquire a whole year of service for exactly the same price of one summer party. When done properly, resident social interaction can make strong emotional bonds in the middle of your residents, leading to impressive improvements in your retention rates.

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