What metric helps property managers understand tenant lease renewals?

The tenant retention rate is a crucial metric for property managers because it directly measures how many tenants choose to renew their leases compared to how many move out over a specific period. A high tenant retention rate indicates that tenants are satisfied with the property and the management, leading to fewer vacancies and reduced turnover costs. This metric not only reflects tenant satisfaction but also helps property managers identify areas for improvement to enhance the tenant experience. Understanding the tenant retention rate allows property managers to implement strategies to encourage lease renewals, thus fostering stable occupancy and maximizing rental income.