Every 2 years, I have to renegotiate the property lease with the tenant. If the tenant was good, I usually extend their lease - it's pretty much a no brainer, unless they're lowballing me. Costs to factor in when you switch tenants: Lost rental due to vacant property. It takes about 1 month (0.5 months if you're lucky) to successfully market the unit and about 2 weeks for the tenant to move in and start paying rent. So it's about 1-1.5 months in lost rental income. Time spent passing keys to housing agents to market your place. Do not use an exclusive agent, as it ties you down with someone with a finite network. They will always try to sell you the idea of exclusivity (being focused, they can control the rent offers, blablabla), and it's in their interest to, not in yours. What happens after 1 month of exclusivity and they still can't find a tenant? You fire them, they walk away with no penalty. It's your lost rental income. D...
To document and reflect on decisions in my life. To generate passive income and invest for the long term. A lifestyle and documentary blog by Mr EOR.