What is meant by "tenant retention rate"?

The concept of "tenant retention rate" refers specifically to the percentage of tenants who choose to renew their leases at the end of their agreement rather than moving out. This metric is crucial for property managers and landlords, as a high tenant retention rate indicates satisfaction with the property and the management, suggesting that tenants are likely happy with their living conditions and the services provided.

Measuring the tenant retention rate allows property managers to assess how well they are meeting tenant needs and maintaining a stable rental income. A high retention rate can reduce vacancy rates and the costs associated with finding new tenants, such as advertising, showing the property, and preparing it for a new occupant. It ultimately reflects the overall effectiveness of management practices, property conditions, and tenant satisfaction.

The other options provided do not align with the definition of tenant retention. The number of new tenants each month is relevant to occupancy statistics but does not reflect retention. The total number of complaints received could indicate issues that may affect retention but is not a direct measure of it. The rate of tenant turnover, while related, measures how often tenants leave rather than how many choose to stay.