7 Steps to Finding The Right Tenant
As a landlord, finding the right tenant for your units is the most important aspect when you rent out your property. The right tenant can make your life as a landlord much easier, while the wrong one can be very problematic mentally and financially. This is why having a thorough tenant screening process is essential. But worry not! This guide is here to help you step by step to find the right tenants for your rental property. Here are 7 steps to finding the right tenant!
Establish a Clear Screening Criteria
The first step to finding the right tenant is to establish a clear screening criteria. Before you even start accepting tenancy applications, it is important to have a clear screening criteria established. Factors in these criteria include checking their credit score, their rental history, verifying their income, legal documents and any other specific requirements that you have for your property. These criteria will aid you in streamlining your screening process and to ensure consistency.
Advertise Effectively
The second step to finding the right tenant is to advertise your property effectively. When you’re advertising your rental property, highlight the key features and amenities of the unit. Just remember to be transparent with your above mentioned screening criteria. This is so that you can attract your desired tenancy applicants. There are a wide variety of platforms you can use like online listing platforms, social media pages and even media groups like WhatsApp and Telegram to reach a vast pool of potential tenants.
Require a Comprehensive Rental Application
The third step to finding the right tenant is to require a comprehensive rental application. Compulsory information such as their full name, current address, employment history, their income slips and even references from their previous landlords or rental platform reviews, must be provided for the rental application. Please encourage your applicants to be honest and detailed with their responses.
Conduct Background and Credit Checks
The fourth step to finding the right tenant is to conduct background and credit checks. These are essential to assess a tenant’s reliability and financial responsibility. Be aware of red flags like if they have an eviction history, a poor credit history or worse, criminal record! But bear in mind that you as a landlord need to gain permission from applicants to conduct these checks, as stated by law.
Want to know more about how background checks are done at SPEEDHOME?
Verify Income and Employment
The fifth step to finding the right tenant is to verify their income and employment. Verifying their income and employment status ensures that you can find the right tenants who can afford the rent and be punctual with payment. How, you may ask? Request for a copy of their latest payment slips, their taxes and returns, as well as letters that show their active employment status. An ideal gauge would be that tenants should be earning at least trice of the monthly rent to comfortably afford it.
Communicate Clearly
The sixth step to finding the right tenant is to communicate clearly. Regular updates during the screening process is important to maintain an open and transparent communication. Be sure to give and receive feedback on a regular basis with your applicants during the application process. This ensures and builds open and efficient communication between the both of you. Being very open and understanding can make the applicant feel safe and comfortable but don’t forget to explain what each step entails and why it’s necessary.
Document Everything
Last but not least, the seventh step to finding the right tenant is to document everything! Make sure everything is recorded, or documented. This is very important as it will come in handy in case there are any disputes or legal troubles down the line. To be safe, all you have to do is to document all of your interactions with potential tenants and the decisions you guys have made amidst the screening process. Be sure to have copies of these rental applications, background check reports and communication with your applicants.
Conclusion
There you go! Your step-by-step guide for finding a good tenant during tenancy screening. By implementing these rules as a landlord, you can grow a positive and respectful relationship with your applicants and potential tenants. Not only does this benefit you in terms of having a good tenant, but it also gives a good image to you as a landlord for your personal branding. Thus, potentially attracting new and more qualified applicants in the future.
Did you know? We at SPEEDHOME aid our home owners in finding them suitable tenants in an efficient amount of time! We even help to carry out the background checks and documentations for the Tenancy Agreements! Sounds great right? Well if it does, rent with us now at SPEEDHOME and let us help you to find your desired tenant!
