CalculateRealEstateROI

Rental Property

How much should I raise rent each year?

Match market growth — typically 3–6% — but cap renewal raises at 5% to protect retention.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Direct answer

Match market growth — typically 3–6% — but cap renewal raises at 5% to protect retention.

Expanded explanation

Renewal rent increases below market preserve tenant stickiness. Save aggressive repricing for new tenants. Compare net (rent gain – turnover cost) over a 3-year horizon.

Examples

  • $1,500 → $1,575 renewal vs $1,650 turnover with 30-day vacancy.

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