Every proprietor only hopes that they would be able to find a good tenant for their property to continue making a passive income. But therefore, there is only one problem they must face and find solutions to avoid themselves to encounter the bad tenant. If you have a place available for lease, here are a few ways on how to spot a good tenant for your property.
Verify Employment and credits
All proprietors and landlords like you would like to have a tenant that can pay the rent on a monthly basis promptly. It is better to ask the prospect client on how much he earns, to identify if he can afford to pay the rent excluding the monthly bills and of course his daily necessities like food and transportation.
If you think his compensation rate is not sufficient, decline the client and look for another one. This may sound a little bit rude, but in line of business you want everything to be under control, and dealing with tenants that cannot guarantee to pay the rent consistently can only stress you.
Advertise in a good platform
If you want to find a good tenant, you must advertise in well-reputed platforms to post your property. You can start with your connections and ask friends for recommendations and inform them via a Facebook or Instagram post that your property is vacant and currently open for leasing. In this way, your friends can definitely help you out to reach more potential tenant that might be interested in your property.
Run a background check
In our generation today, everyone has accounts on Facebook, Instagram and even on LinkedIn, it will surprise you once you check them out on these social media platforms. Browsing their social media profiles will give you a glimpse of their personalities, and what keeps them busy aside from the full-time corporate job that they have. If you notice that their posts are mostly rants, it might be a warning sign for you to cross out that prospective tenant.
A person who frequently rants on social media may put you and your property rental business at risk, especially petty fights between the tenant and property owner is inevitable. In a situation where you had a misunderstanding with this certain person who gets used to ranting, who knows, you’ll be the next topic on their social media accounts.
Set your expectations upfront
Right before you accept the downpayment fee, you must state your expectations or “house rules” with the tenant to see if they are a good fit for you or not, and this is a good way to determine if they will follow your policy.
Here are some common rules of the property owners and landlords:
- Tenant cannot have pets
- Tenant will not smoke inside the condominium unit
- Tenant are only allowed with 2 extra households during the lease agreement term
If the tenant whole-heartedly accepts these terms of yours, you won’t be having a hard time dealing with them. However, there are instances that once you set out these expectations, the prospect tenant will decline and will try to persuade you with their own terms, which only means he is not a good tenant. Remember, you are looking for actual paying tenants, not for a charity that you have to compromise your policies and rental fee in your property. Always consider your expenses at home, property tax and maintenance fee you need to shoulder.
Hire a Real Estate Broker
If there’s one thing that can help you save more time and effort to spot a good tenant for your property, it would be finding a reliable and professional real estate broker. Realtors have massive connections with clients and entrepreneurs, where they can search for a good tenant for you in just one click away through a message or online post.
Another advantage of hiring a real estate broker, they know how to negotiate in terms of pricing without compromising your required rental fee. Realtors are simply good when pricing a property, for they know how to sell and rent a place over the years.
May you find your next good tenant for your property with this guideline we personally prepare for you and continue earning passive income for your future and family.