The Real Cost of Moving

Now that the market is changing for the better you may be considering doing rent increases. This can be a shock for your residents if they have not received one in quite some time. Some may even consider moving. This is the perfect time to do your research. Start by calling your competitors to make sure your rents are in line with theirs. This way you will not do increases that will push you out of your market. Once you have done that and you have decided how much you will be increasing rents create a “cost of moving” document to give to residents when you are discussing their rent increase and notice to move. Call the utility companies such as the electric, cable and phone to find out how much they charge for transfer fees. Next call Uhaul to find out what the cost of renting a moving truck will cost. Ask them to give you the price of a truck that will hold a two bedroom apartment. This will be your average price. Call moving companies and find out the cost of movers per hour and ask how many movers you will get with that price. List all of these charges along with the charge for new deposits and fees for their new apartment home. Once you have thought of all of the costs of moving add them up and put the total at the bottom of the document. Leave a spot across from that total to compare the cost of the rent increase. Take the rent increase and multiply it by the amount of months they would be renewing for. For example: a $30 rent increase x 12 months = $360. This is much less expensive then their total cost of moving not to mention the hassel! This will help your residents make an intelligent decision rather than making an emotional decision. Turn a notice to move into a lease renewal!