My one tenant's lease recently ended, so I had to decide what rent to set in the renewal lease. In the end I went with 10%. This for two reasons. First, when he first started renting, he pushed for, and I accepted a 10% lower rent than I listed. Second, inflation since he started renting was 10%.

That said, I agree with you that increasing rent as high as the market will bear is shortsighted. I'll increase rent in the future to match inflation, and possibly 1% higher if the market increases much more sharply.