CRLS Lease Renewal & Tenant Retention 3

Question 1

Which resident communication practice best supports long-term tenant retention?

Accepted Answer

Sending periodic check-ins, maintenance reminders, and community updates to build a positive relationship

Answer

Proactive, positive communication throughout the lease term builds trust and satisfaction, which are the strongest predictors of tenant renewal decisions.

Question 2

What is a 'renewal concession' in the context of residential leasing?

Accepted Answer

An incentive such as reduced rent, a free month, or a unit upgrade offered to motivate a tenant to renew

Answer

A renewal concession is a financial or material incentive offered by the landlord specifically to encourage an existing tenant to sign a new lease term.

Question 3

Which type of existing tenant typically warrants the most aggressive retention effort from a leasing specialist?

Accepted Answer

A long-term tenant with a perfect payment history and no lease violations

Answer

Long-term tenants with strong payment histories and clean lease records represent the highest value to a landlord and are worth the most effort and incentive to retain.

Question 4

What does a 'holdover clause' in a residential lease typically specify?

Accepted Answer

The terms under which a tenant who stays past the lease end date will be treated, often converting to month-to-month at a higher rent

Answer

A holdover clause defines what happens if a tenant remains after lease expiration, commonly imposing month-to-month terms at a premium rent rate to incentivize timely renewal or vacancy.

Question 5

In calculating whether to offer a rent concession to retain a tenant, which amount should be weighed against the cost of the concession?

Accepted Answer

The estimated total turnover cost including vacancy, advertising, cleaning, and re-leasing expenses

Answer

Comparing the concession amount to the full cost of a vacancy and re-leasing cycle allows the landlord to make a financially rational retention decision.

CRLS - Certified Residential Leasing Specialist Practice Test

CRLS - Certified Residential Leasing Specialist Practice Test

CRLS Lease Renewal & Tenant Retention 3