How large a renewal increase should make a renter seriously shop other apartments?

Quick answer

Grant treats under roughly 3% as potentially reasonable if the renter likes the property, though he would still negotiate. Around 3%–5% is a range where he would seriously compare alternatives, and above 5% makes shopping the market especially important. Those percentages are practical guides, not universal rules. A 4% increase may still be excellent if market rents have risen much more, while a 2% increase can look weak if comparable apartments are offering large specials. Compare the real market, not just the percentage.

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