Finding the right tenants for your property is essential to your success as a property owner.
Protect your investment and search out the best candidates for your tenancy with these simple steps:
1. Avoid Renting to Family.
It might seem like a good idea to rent to good ol’ Uncle Ned, but renting out to family and friends can backfire in the worst of ways. Family and friends may expect a leniency that you are unwilling or unable to give in terms of late payment or other non-negotiables.
Owning a rental property is like running a business, and mixing relationships with money is never a fun road to travel.
2. Always Screen Your Candidates.
Whether you’re planning on renting to younger adults or hoping to rent your home to an established family, you really never know what you’re going to get from a tenant without the proper vetting process. Use tenant screening at MySmartMove.com to ensure your tenants are who they say they are and get all the necessary qualifications in one fell swoop. These services will let you know whether they’ve ever been convicted of a crime, indicate whether or not they’ve been evicted before, and give you access to their credit score. Do this process for every candidate, and you’ll reap the rewards when you find the perfect fit.
3. Use a Good Advertising Site.
Online advertising in today’s day and age is your best bet to find the right selection of tenant candidates. You might be tempted to use free posting websites like Craigslist, but scammers have increasingly been reported as changing contact information, meeting with tenants, and taking their “deposit” money. Stick with reputable sites that require a small fee for your listing. The access these sites provide to a cache of rental hunters is well worth the investment. Websites like hotpads.com, padmapper.com, and apartments.com are all popular listing websites to use. If you’d like to expand your search beyond the Internet, distribute fliers, and place a sign in the front yard — sometimes the old way is the best way.
4. Clean Up Your Place.
Quality tenants won’t want to rent from you if the property isn’t in pristine condition when they go for a drive-by to check it out. Even if you’re not ready to show the inside, if you’re advertising in any way, shape, or form, then the outside of your property better look as picture perfect as possible. Make sure you perform any necessary repairs, give the home a fresh coat of paint, and landscape the yard to the best of your ability (or to the ability of your wallet).
5. Use the References Provided.
Most rental applications require entries of references, whether those be from former landlords or current employers. While it might see inconvenient and time-consuming to give all of these references a call, it’s worth your time and effort. First impressions aren’t always correct, and getting a stamp of approval from those who have already experienced the tenant candidate’s behavior in the past are going to be your best bet for an accurate estimate of your future landlord/tenant relationship.
6. Don’t Fall for More Money.
While it might seem like a no brainer to accept an offer over your asking price, don’t skimp on the vetting process simply because a potential renter is dangling more money over your head. That’s a surefire way to find yourself with a horror tenant story. Take the time to check their references, look into their past, and cement your lease agreement. Money can be a powerful temptress, but sticking to your standards throughout the process will see you happier with the outcome.
7. Go Through the Lease Agreement.
Hopefully you’ve spent a good chunk of time crafting an airtight lease agreement outlining all of your expectations and regulations. From pet to personal conduct policies, damages deposits to eviction regulations, make sure any and every specification you have for those living in your property is covered. Sit down with your chosen tenant candidate during the signing of the lease, and go over every facet in full. This gives you a further wall of protection, and your tenant will understand that you are rigid with your regulations.
If you’ve decided to try your hand at landlord-ing, one of the biggest mistakes you can make is not finding the right tenants. Use these guidelines and make sure you find the appropriate fit for your investment.
