The tenant referral program is ultimately when a property offers incentives to its existing tenants to recruit prospects to commit to a lease. These current tenants often reach out to people they know personally or may advertise it on their social media to draw people in and sign on the dotted line. If that prospect converts to a resident upon that referral, you would reward the individual that helped fill your vacancy.
Consider tenant referral programs as your newfound marketing campaign. Current tenants are reaching out to people they know on a personal level, people they follow, people who reassure them that their names will be mentioned when asked who referred them to the property, making those rewards much more attainable. With a referral program, your tenants are already doing much of the heavy lifting for you. They’re providing information and support, and not to mention, advertising the property.
While some property managers may feel strong in their current marketing efforts, that doesn’t change the fact that people are naturally more apt to trust those they know. By having that initial contact with a familiar person, they may feel more confident in moving forward with a lease. The decision to sign a lease then feels more personal and less transactional.
-Jay Baer, Convince & Convert
A referral program ultimately helps build connections across the board. For starters, your relationship as a manager with your tenants is deepened. Now, you are partnering together as a business for the betterment of your property. It’s more of a collaborative tie, as you are both aiming to bring in fresh, suitable tenants.
In addition, the sense of community is heightened. When your property is filled with people who know each other well, a stronger sense of morale and happiness is likely amongst your tenants. Ultimately, it has the power to transform not necessarily the property, but the “environment.” By having better engagement between you and your tenants, it becomes a space you want to work in and a place that new people want to be a part of.
Now that we know what a tenant referral program is and how it can be instrumental to your property, let’s discuss the incentive option available:
FREE Rent or Money
| Lease Contract Length | 6 Months | 1 Year |
|---|---|---|
| FREE RENT or Money Payment Percentage of 1st Monthly Rental Amount | 50% | 70% |
We would offer you FREE rent based on the amount and length of term on the contract signed.
For example, if you refer a friend who signs a 10mil VND a month lease for 1 year. The amount of free rent or money you would get would be 10mil vnd x 70% = 7mil vnd.
To utilize the program, please send us your current information and the friend you would like to refer via the contact us page or talk to your property manager.
It’s important to remember that tenant referral programs will only work if your current residents are happy. After all, a resident isn’t going to refer their friend to your property if their own needs and expectations aren’t being met. Please let us know via the Contact Us form if we are not meeting your expectations.
Tenant referral programs can be greatly helpful to both property managers and tenants. Every property is entirely different, so it’s important for a manager to evaluate their situation, their abilities, and the temperament of their tenants in trusting them to recruit exceptional new residents. A strong community is more important than short term profits.
