The best and easiest way to increase income from rental properties is by increasing rent. However this also comes with its own challenges which if not properly handled could backfire against the landlord. While many landlords and property managers know that this is the way to go, they are generally afraid of the reaction of the tenants and the possibility of a backlash. There are also landlords that take rent increase to extreme by doing it regularly and significantly that the natural reaction of tenants is opposition rather than cooperation. But for those who get it right, an increase in the amount you get from your property is certainly desirable.

There are many reasons for increasing rent even though this is not something many tenants love to hear. One major reason is the effect of supply and demand on certain sectors of the housing market. In boom time when there are lots of construction projects going on and there are lots of people with good jobs or businesses to pay for houses, the middle and high end rental properties usually also experience boom time. When the economy is in a recession people scale down and the lower to middle sector of the rental market begin to experience greater demand. A strong demand market that does not have sufficient supply to meet its need for rental accommodation will give property owners and property managers the opportunity to raise rent.

READ MORE: http://nairametrics.com/how-to-increase-income-from-rental-properties/


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