|Selecting the right Tenant is THE most important decision a Landlord or Property Manager can make. Good Tenant selection makes for a hassle free Tenancy and can save stress and money. Don’t put a Tenant in just because you are worried about losing a weeks rent, choosing the wrong Tenant can cost you many times this in the long run in rent arrears, damages, vacancy etc and not to mention your time.|
|There are a number of ways to identify a quality tenant, create a checklist of criteria that every Tenant must meet and ensure that the Tenancy Application form you use collects as much information as possible. Information is King!
Checking the tenant history is always a prerequisite. Did the Tenant ever miss a week’s rent? Were there concerns as to how the Tenant cared for the property? Was the Tenant easy to communicate with? Check accuracy of information provided by confirming the length of the Tenancy and also how much rent was being paid? Ask opened ended questions like what were the other occupants of the house like? And lastly ask would they rent to the Tenant again. Ensure that you always contact not only the Tenants current Landlord but also the Landlord for the previous property, you will often find that a current Landlord may not give you the full picture if they are keen to get the Tenant out of their property.
Checking the tenant’s character references is important. Know your Tenant; speaking with employers is a good way to achieve this.
Some of the more basic observations could be noting if the tenant removed their shoes before they entered the inspection. Did they use their manners? How was their presentation? Gut feelings also go a long way when determining the calibre of the prospective tenant.
If you are happy with all of the above, then before offering the Tenant the property it is imperative that you run a credit check, but don’t forget to get their permission in writing first or you could be in breach of the Privacy Laws. A clean credit check will confirm all of the good feedback you have received about the Tenant. Whereas defaults on a credit check to banks, finance companies, debt collectors and/or previous Landlords should ring immediate alarm bells. Credit checks can also offer other valuable information, for example does the address history match what they put on their application, how old is the age of the credit file and also how many enquires have they had over the last few years.
All of the above mentioned ‘checks’ will help create an overall picture of what sort of person the Tenant is and what they will be like at paying the rent on time and caring for the property. It may seem like a lot of work but in the long run it will save you time and money. Quality Tenants always pay the rent on time, they always take good care of the property and they stay at the property longer.
98.7% of our Tenants are paying their rent on time, first time, every time. So contact us today if you would like some advice on how to ensure you get quality Tenants every time.
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