Replacing residents is not just inconvenient—it’s expensive. Studies show that turnover costs, including vacant units, marketing, and refurbishing, often add up to the equivalent of two months' rent. This highlights the financial advantage of focusing on resident retention, making renewals a top priority.
CRM tools are often viewed as technology specifically meant for leasing, yet they hold much more potential. Let's dive into the factors at play that might drive more renewals for your properties.
According to the data, residents who submit a work order within the first 30 days of moving in are significantly less likely to renew. This insight presents a prime opportunity for proactive management. Here are two key strategies:
Based on the research, unresolved work orders are a major reason residents decline renewal offers. Many properties don’t realize they are sending out renewal offers to residents who have pending work orders for their unit.
To prevent this, we recommend beginning with proactive outreach. This can look like a property manager or leasing agent stopping by or reaching out to the resident via phone call ahead of the renewal period to check for unreported maintenance issues. This shows attentiveness and thoughtfulness while also allowing time to address those concerns before you ask them to renew.
The other suggestion is to close any outstanding work orders before sending renewal offers. Ending with a positive and timely maintenance interaction can have a lasting impression and encourage a renewal from your residents.
Customized CRM workflows can automate tasks that influence renewals by setting triggers for specific timelines. For example, you can automatically notify onsite teams of new move-in and end-of-lease work orders. This ensures quick action and personalized follow-up.
NOTE: If you use Anyone Home’s CRM, your Project Manager will happily help set this up for you, should you want that option!
Although automation streamlines processes, the human interactions with renters matter most. Leasing agents, who often have the most face-to-face interactions with the residents, play a key role in retention efforts. It’s highly recommended to assign renewal tasks to your leasing agents instead of your property managers. Why? Because renters are more likely to say yes to an onsite team member they have an existing relationship with!
While your leasing agents might be more focused on the commission of net new leases, it might be worth considering a commission offer regarding renewals. This would be a win-win as the property saves thousands from a renewal and leasing agents will be more motivated to prioritize resident retention with extra cash pocketed as a reward.
You can even provide your leasing agents with more training around renewals to equip them for the handling of renewals. They can get best practices on addressing resident concerns and gain effective communication strategies.
And again, many of these tasks of following up with residents and periodic check-ins can be automated in your CRM, so they can stay focused on accomplishing tasks that drive the most impact.
Even in a world of automation and centralization, personalized interactions remain critical. Residents value genuine, human connections and are more likely to respond positively to familiar faces. Personalized outreach—whether through in-person visits, tailored emails, or personal phone calls—can build trust and increase the likelihood of renewal.
Implementing these strategies helps property management companies strike the right balance—leveraging automation to help keep them focused on the right tasks at the right time while preserving the human touch that drives long-term relationships. When technology and human interaction align, the result is higher resident satisfaction, trust, and ultimately, more renewals and increasing NOI.
If you’re interested in leasing smarter with Anyone Home, BOOK A DEMO to learn more.
