{"id":34581,"date":"2024-01-18T17:16:40","date_gmt":"2024-01-18T22:16:40","guid":{"rendered":"https:\/\/referralrock.com\/blog\/?p=34581"},"modified":"2024-10-18T00:33:29","modified_gmt":"2024-10-18T04:33:29","slug":"tenant-referral-program","status":"publish","type":"post","link":"https:\/\/referralrock.com\/blog\/tenant-referral-program\/","title":{"rendered":"How to Create a Tenant Referral Program [+ Free Tools]"},"content":{"rendered":"\r\n

As a property manager or owner, you know how crucial it is to retain tenants and fill vacancies. What if there was a way to reduce tenant turnover rate and create loyal tenants who rent from you for longer periods? If this sounds ideal, then a tenant referral program may be exactly what you need.<\/p>\r\n\r\n\r\n\r\n

Many property owners and managers use referral programs as a way to maximize occupancy \u2013 for good reason. These programs are simple to run, and tend to be less expensive than other marketing methods, as you only pay when a referral signs a lease. The trick is creating a program that gets existing tenants to actually participate.\u00a0<\/p>\r\n\r\n\r\n\r\n

Fortunately, we know a few tips for running a tenant referral program. Here\u2019s everything you need for tenant referral program success.<\/p>\r\n\r\n\r\n\r\n

What are tenant referral programs?<\/h2>\r\n\r\n\r\n\r\n

Tenant referral programs<\/a> encourage your current tenants to recommend your properties to their friends, family, and colleagues. Whenever a referred friend or family member starts renting from you, you\u2019ll give out rewards to the tenant who made the referral.\u00a0<\/p>\r\n\r\n\r\n\r\n

The best way to run a tenant referral program is with a referral software platform<\/a>, which automatically tracks the referrals your tenants make. Don\u2019t use a DIY program where referred tenants must mention the name of the friend or family member who referred them \u2013 there\u2019s the risk that referrals could get lost.\u00a0 With software, you won\u2019t have to keep track of referrals manually, and you\u2019ll know exactly how your program is performing at a glance.\u00a0<\/p>\r\n

\"bridlewood<\/p>\r\n

If you’re renting apartments and looking for new residents, you might also check out our resident referral guide.<\/a><\/em><\/p>\r\n

And if you’re a property manager looking for other property owners to manage, check out our property management referral program guide.<\/a><\/em><\/p>\r\n\r\n\r\n\r\n

Benefits of tenant referral programs<\/h2>\r\n\r\n\r\n\r\n

Why run a tenant referral program? Your property business will reap plenty of benefits, all rooted in the trust people place in their peers.<\/p>\r\n\r\n\r\n\r\n

People trust their peers\u2019 recommendations more than all other forms of advertising. So, referred tenants are more likely to sign a lease and rent property from you \u2013 four times more likely than non-referred tenants. This makes a tenant referral program a quicker way to fill vacancies at your properties. And referred tenants tend to be higher-quality. You\u2019ll be marketing to people who are in the market for a new apartment or rental property, because tenants tend to refer people who are actively looking for a new place to live or work.<\/p>\r\n\r\n\r\n\r\n

Referred tenants are also more likely to keep <\/em>renting from you, increasing your tenant lifetime value and reducing your tenant turnover rate. (Referred friends have an approximately 16% higher lifetime value than typical tenants.) And by rewarding existing tenants for referring friends \u2013 and showing that you value their input by asking for referrals<\/a> in the first place \u2013 you\u2019ll incentivize existing tenants to continue to rent from you, further reducing turnover rates.\u00a0<\/p>\r\n\r\n\r\n\r\n

Plus, tenant referral programs are more cost-effective than ads, listings, and other ways of finding new tenants. They\u2019re also lower-risk\u00a0 \u2013 you\u2019ll only pay when the referred friend actually starts renting from you, and that payment is the reward that goes right to the referring tenant and their peer.\u00a0<\/p>\r\n

\"epic<\/p>\r\n

Referral software for rental properties [Free Tools]<\/h2>\r\n

These referral tools for rental properties are a free and easy way to help you start your referral program.<\/p>\r\n\r\n

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Free Tools + Services:<\/strong><\/p>\r\n\t