The Importance of Having a Good HMO Tenant Management Strategy (And Tips for Improving This)

There is SO much involved with HMO tenant management! Tenants need us for lots of different things, and all sorts of issues and questions can pop up at any time.

Sometimes you need to be on hand relatively quickly to resolve certain issues or answer questions tenants have. So, how do you, or your agent if you have one, go about managing your tenants?

In this blog post, we’ll cover the importance of having a good HMO tenant management strategy, in addition to tips for improving your process and approach to this!

Why Good HMO Tenant Management Is So Important

Many tenants are currently facing the tough decision of whether to stay put or move, depending on where they can get the best deal. This is particularly the case during the ongoing cost-of-living crisis. And as HMO landlords, it’s important for us to understand and consider what impacts our tenants’ decision-making.

Recently, Uswitch, a leading price comparison service, set out to discover how many tenants consider their relationship with a landlord when making rental decisions. They also looked at if they would accept a longer contract or rent rise if they had a positive relationship with their landlord.

And interestingly, their survey highlighted that one in three (36%) tenants would renew their tenancy or accept a rent increase if they have a positive relationship with their landlord. This shows how important a good HMO tenant management strategy is, and it may be an area you need to improve for all of your HMO properties moving forward!

Kellie Steed of Uswitch said: “It is clear from our survey data that tenants place a lot of importance on the positive values that go into a successful landlord-tenant relationship. It is these positive relationship building blocks that have influenced 36% to consider renewing their contract on a higher rent.”

4 Tips for Improving Your Strategy

It’s important to figure out how you can improve your tenant management strategy as this could lead to your tenants wanting to stay for longer, saving you time and money! So, here are some of my top tips to help you do that.

1. WOW and surprise your tenants.

There’s so much in the media about negative relationships between landlords and tenants, but there are many good landlords out there prioritising having positive relationships with their tenants.

It can also be helpful to find ways to impress and wow your tenants throughout their entire tenancy. Consider doing little things like free pizza nights, sending them birthday cards, or entering them into a competition where they can get free rent for a month.

Find unique ways to give them an experience they are not expecting. If you do this effectively, you could put yourself on a pedestal above the competition!

2. Step in to deal with problematic tenants.

No matter how good your tenant matching strategy is, some difficult tenants will slip through the net. These tenants could upset their housemates and even cause some to leave.

So, if you have a problematic tenant, don’t just stand by. Show your other tenants that you’re dealing with it. You might have to manage the expectations of other tenants as well but be communicative with them about this.

3. Improve your maintenance strategy.

Having a good maintenance strategy for your HMOs can also impact how your tenants feel about you as a landlord. Make sure you’re being proactive and not reactive when it comes to maintenance and repairs.

Try to deal with these areas as quickly as you can. And if certain jobs are going to take some time, tell your tenants why, keep them updated, and manage their expectations. Communication is key here!

4. Decide whether you need an agent.

HMO property management, including tenant management, can be super tough. You may have to deal with demanding tenants or challenging circumstances. Because of this, it’s not only about the time it takes up but the stress and frustration that comes with having to deal with all of these things!

So, if you’d rather get an agent to take care of this and have the budget to pay for this, this could be the best option for you.

These are my four top tips to help you improve your HMO tenant management strategy! If you employ these, you could find your tenants want to stay longer, which can help you be more profitable and allow you to enjoy being a HMO landlord much more too!

For more helpful tips and useful strategies on managing your HMOs and property business, sign up for The HMO Roadmap! And if you have any questions about this side of HMO investment, come over and join us in The HMO Community Facebook Group.

About the Author:

Andy Graham is the founder and the lead trainer at The HMO Roadmap! He is also the co-founder of The HMO Mastermind and Smart Property, a specialist HMO property investment and management company. He writes as a regular columnist in different magazines about a variety of HMO topics and is the host of The HMO Podcast! Follow Andy on Instagram!