Turnover
The process — and cost — of one tenancy ending and the next beginning: cleaning, repairs, repainting, marketing, showing, and screening, plus the rent lost while the unit sits empty in between. Turnover is one of the largest controllable costs in rental operations, which is why retention gets so much attention.
Related terms
Vacancy Rate
The share of units or time a rental sits empty and producing no income, expressed as a percentage. A single unit vacant one month out of twelve has an 8.3% vacancy rate for the year. Investors underwrite an assumed vacancy rate so that one bad month does not surprise the whole year’s numbers.
Tenant Screening
Evaluating rental applicants against consistent, written criteria — income verification, credit, rental history, references, and background checks where permitted. Consistency matters legally as well as practically: screening is subject to fair housing and consumer-reporting laws, so the same standards must apply to every applicant.
Security Deposit
Money a tenant pays at move-in that the landlord holds as security against unpaid rent or damage beyond normal wear and tear. State and local laws commonly set limits on the amount, rules for how deposits are held, and deadlines for returning them with an itemized statement after move-out.