Rent increase versus tenant retention for an apartment in Mexico City - am I overthinking this?

S

sam.archer

Homeowner
MX$6,220 a month is the apparent gap driving this decision. My dependable tenant pays about MX$51,240 for the Mexico City apartment, looks after it well, and comparable adverts are nearer MX$57,460.

Managing became more difficult after I relocated farther away, so replacing the tenant could bring an empty period, preparation work and extra coordination. I am leaning toward a smaller rise rather than trying to reach the advertised level at once. Before discussing it with the tenant, I plan to check the lease and the local requirements for timing and notice. How would you present the review without damaging a good relationship?
 
The reliable tenant is valuable, but distance alone should not settle the rent. My concern is allowing the gap to keep widening without a planned review.

For example, compare the extra annual income from a moderate rise with one month at MX$51,240 plus cleaning, repairs and reletting. That may support staying below MX$57,460 without freezing the current figure indefinitely. Check the lease, confirm the permitted review date and notice locally, then propose a measured increase in writing.
 
One thing I should have asked: is MX$57,460 based only on advertised apartments, or on genuinely close matches for condition, furnishing and location? Asking rent can overstate what a replacement tenant will actually pay. Also, when does the current lease reach its next review or renewal point, and is there any deferred maintenance the tenant has been tolerating?
 
I’d go further and say the asking figure should not drive this decision until the comparisons are solid. One vacant month at the current rent is MX$51,240—more than eight months of the MX$6,220 monthly difference—before refurbishment or reletting costs.

Make a short list of genuine comparables, inspect the apartment, address outstanding maintenance, and confirm the permitted timing and notice locally. Then propose a defensible increase in writing rather than presenting it as “market says so.” If turnover does occur, confirm the applicable deposit-handling requirements instead of assuming the existing arrangement carries over.
 
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