A trustworthy landlord is one who will exert significant effort in order to identify a suitable tenant for the rental property they own. Tenants who have a demonstrated history of being financially responsible and rule-abiding are considered to be qualified. This indicates that they are able to pay their rent on time and will not cause any damage to the property.
However, a great landlord will have higher standards for their tenants than simply having a good credit score and a spotless criminal history record. There are a number of characteristics that, despite the fact that it can be challenging to screen for them, can make a renter stand out as the ideal tenant in the eyes of their landlord.
A tenant who is dependable will frequently cut down on the amount of money that must be spent on maintenance, will reduce the amount of wear and tear that occurs, and will take care of the garden and the property as if it were their own. They are more than worth their weight in gold and have the potential to raise a property's overall value.
On the other hand, problematic tenants can be everyone's worst nightmare. They might be late with their rent payments, create chaos with the neighbors, treat the owner's property as if it were a free hotel room, or make unreasonable demands for an endless stream of expensive repairs. It is important to steer clear of problematic tenants because they can create issues for up to a year before you are able to kick them out of the rental property. Are you looking for construction companies? No need to look any further! You are in good hands with MJS Construction Group.
After making an investment in a rental property, you want to be certain that the tenants will respect and take care of your property as if it were their own. You can save money on costly evictions, non-payments, and potential damage to your property if you make a list of qualities to look for in a tenant and use it when screening potential tenants. As a result, we have compiled a list for you, and the following are the eight questions you need to ask potential tenants before renting to them.
Frequently Asked Questions About Tenant
A legitimate reason for a late rent payment, such as recent illness or injury, may help your situation if you talk with the landlord, but poor excuses such as holidays, spending too much money, or having other bills to pay are not likely to create any sympathy.
The most polite way to ask for payment is to ask before anyone is late! When you send a reminder a few days before the rent is due, you can be very polite. Sending a reminder about an upcoming payment rather than a request for a late payment is always going to be a more welcome message.
What options do I have if a tenant won't vacate the premises? Eviction proceedings could be initiated in the event that the tenant does not comply with the legal grounds and continues to refuse to vacate the property. Both failure to pay rent and refusal to move outpost at the end of the lease period are acceptable reasons to petition the court for eviction.
Include any pertinent information such as how long your tenants have rented from you and any personal connection you may have to them in your description of the nature of your relationship with them. Other landlords want reassurance that you've known your tenants for an adequate amount of time before allowing them to rent from you.
So, What Makes A Good Tenant?
A good tenant is able to pay.
This should be obvious to everyone. If a tenant is unable to pay the rent because he or she cannot afford it, you should not be surprised if they do not pay it. The applicant's monthly rent should not be more than thirty percent of their annual income, as a general rule of thumb. You should probably include that as one of the written requirements to meet in order to be eligible to rent the property.
However, the fact that the monthly rent is less than a predetermined percentage of the applicant's total income does not necessarily mean that he will be able to make the payments on time. It's possible that he's overcommitted in other ways or is living above his means. A check of the applicant's credit history is, once again, a good indicator of how well they handle their money. In theory, his credit score will improve proportionately to how well he is able to handle his personal finances.
A good tenant is creditworthy.
One more way of expressing that a tenant has a good credit score is to say that the tenant is creditworthy. The tenant's credit score is reflective of a number of factors, including whether or not he pays his bills on time, the amount of debt he carries, and the nature of the debt he carries. A detailed report may also indicate whether or not he has had judgments against him for uncollected rent or damages. This information could be included in the report.
Verifying the applicant's employment, verifying his rental history, and calling on the applicant's references are all essential components of the application process. In addition, conducting credit and background checks on the applicant is required. Checking a potential tenant's credit score is easy to do with the help of online services like Tenant Verification Service or TenaCheck, which are both available to property managers. (If you use a property manager to manage your properties, they will check the tenant's credit score and verify his application.)
A good tenant is honest.
A dishonest tenant can get you into trouble in a variety of different ways. He can tell a lie about mailing the rent, having his hours cut, or not knowing why his check bounced; however, he can also tell a lie about what happened to the dishwasher or the information that was on his application.
Verifying the information that a prospective tenant provides on his or her application is the only surefire way to discover a dishonest applicant during the application process. Begin by making a request for a copy of his driver's license (most tenant screening services require one along with a completed application before running a credit check). Are his name and information listed there as they appear on the application?
The next step is to call his employer. You'd be surprised to find out how many people who apply for a job don't actually make as much money as they claim they do on the application. Calling his current landlord should come next, even if it's his aunt. Follow up with that call. Has he been living there for 365 days or has he only been there since he was kicked out of his previous rental? Call any references that are listed, if there are any, to find out what they think of him.
A good tenant is clean.
You don't want someone who is going to let food scraps accumulate in the microwave or let trash pile up on the patio; you want someone who is going to take good care of your property. The more messes the tenant makes while he is living in your property, the more likely it is that he will leave behind even more messes for you to clean up after he moves out. In addition to this, filth is known to entice various insects and other vermin, which can ultimately result in an infestation.
Consider the possibility that you will need to exercise caution if you judge the applicant based on his appearance, the appearance of his car, or the appearance of his current residence if you have the chance to meet him there. A violation of the Fair Housing Act may have occurred if the landlord refused to rent to the individual based solely on the individual's appearance. Cite a measurable indicator such as his credit score or the fact that he lied on his rental application rather than making accusations based on assumptions.
If, on the other hand, he is able to fulfill all of your requirements, you should inform him of the standards you have set for the upkeep of your property and include a "cleaning" clause in the lease. If the property is not kept clean as required by the "cleaning" clause of the lease, you will have the opportunity to seek eviction based on a violation of the terms of the lease.
A good tenant is drama-free.
There are some renters who thrive on the drama. These are the tenants who call with a litany of excuses about why the rent payment is late, such as saying that they have lost their jobs, their wives have left them, or their dogs have passed away. You are cordially invited to the party that is their life, which consists of one problem after another.
Finding these tenants is not nearly as challenging as you might think it would be. They will tell you about the struggles they have faced throughout their life (in fact, good luck getting them to shut up about it). You should have no trouble finding a reason to not rent to these tenants because they typically have a history of missed payments and evictions, so you shouldn't feel pressured to rent to them.
A reliable tenant is one who does not offer excuses and who does not bother you unnecessarily with the particulars of his life. We have a diverse selection of home builders in Melbourne available here at MJS Construction Group.
A reliable tenant is one who has a consistent income and always pays their rent on time. You can determine if someone is telling the truth about their income by requesting copies of their pay stubs. The ideal situation for a tenant is one in which their monthly income is approximately three times the amount of their monthly rent. You still need to take into account any debts that they may have, regardless of whether or not their income is three times the amount of the rent. Look for evidence of the person's financial obligations during the course of a credit check. A high amount of debt suggests that the tenant may have other costly bills to worry about each month, which may make it difficult for the tenant to pay full rent on time and in full every month. In such a scenario, a prospective tenant who carries a manageable amount of debt but whose annual income is not sufficient to cover three times the amount of rent may have a better chance of being able to pay their rent in full and on time.
When looking for a good tenant, conducting a background check on the potential tenant is absolutely necessary. You will need the tenant's full name as well as their date of birth in order to run a background check on them. Be sure to verify the prospective tenant's identity by looking at their photo identification and comparing it to the information they gave you. Criminal information is part of the public record; however, because there is no single database that contains criminal records from all 50 states, it may be simpler to hire a tenant screening company to search the criminal databases in your state as well as those from other states and countries.
Stability is an important quality to look for in a tenant because it can be an indicator of whether or not they will be dependable in terms of making timely rent payments and being a long-term leaseholder. You can determine whether or not the tenant's life and income are stable by looking at the tenant's history of previous rentals as well as jobs. It's possible that a red flag will be raised if you change jobs frequently or relocate frequently within a short period of time. A reliable tenant leads a predictable life.
Good Rental History
You can get a sense of whether or not the individual has been a reliable tenant in the past by looking at their rental history. Inquire about the previous location of the relocating party as well as the reasons behind their move. You also have the option of asking the tenant for their previous landlords' contact information and calling at least two of them. It is essential to communicate with a minimum of two different landlords because the most recent landlord may provide misleading information in order to coerce the tenant into moving out of their current dwelling. Ask the landlords questions like whether or not the tenants paid their rent on time, whether or not they gave at least a month's notice before moving out, and whether or not they maintained the property.
Respect is one of the most important qualities in a tenant, and it is one of the best indicators that a person will be a good tenant. A good tenant not only makes on-time payments for the rent and any other bills that are due, but they also take care of any maintenance issues that fall under their purview. They will inform you of any issues that require your attention if they respect you as a landlord and will do so. You will be able to determine whether or not they are respectful tenants by inquiring with their previous landlords about the level of care that they provided for the property. Have there been any repercussions? Have there been any complaints from the nearby residents? A tenant who is disrespectful to you may try to take advantage of you in a number of ways, including paying their rent late, making up excuses for any damage they cause, or simply not caring about the property. You will be able to determine whether or not they respect you based on the level of professionalism they displayed when they contacted you about the property. They were supposed to tour the property; did they arrive on time? Were they helpful to you when you were filling out the application? Keep in mind that a tenant who treats the property with respect will shine through in the future as a good tenant.
If you have your money invested in a residential property, then maintaining that investment is essential. Your investment will be protected if you have a tenant who is responsible, takes care of the property, and maintains a clean living space. The messier the tenant is while renting, the more work you will have to do cleaning up after they vacate the property. Unannounced visits to a tenant's home or accompanying the person as they walk to and inspect their vehicle are two ways to determine whether or not the person is neat and tidy. It is in your best interest to get feedback from the tenants' previous landlords regarding the state of the property both during and after the tenant's tenancy.
While you are on the lookout for a reliable tenant, you should make it a point to familiarize yourself with the rules and regulations that govern landlords and renters. Even though finding a reliable tenant is a top priority, doing so in a way that is not discriminatory is essential. The application that a prospective tenant fills out can serve as your first line of defense in avoiding troublesome renters. Keeping to the application process to the letter will help you avoid taking a loss on the investment property you own.
Strong financial stability
You'll need tenants who are able to make their rent payments on time. When you work with a property manager, they will be aware of the necessary steps that need to be taken to ensure that a prospective tenant has the financial ability to pay the rent. A person should be considered employed if they have been working at their current job for at least three months, as this is the general rule. In order to demonstrate financial stability, a person who is self-employed should have three tax returns filed and completed. There are some exceptions to this rule, but if it applies to your situation, you will need prospective tenants to provide additional evidence of their income.
Pride in appearance
Decorating and furnishing the home is almost considered a national pastime in Australia, but not all tenants will behave respectfully toward one another. A good tenant will want to make your home feel like their castle and will want to be able to take pride in it when they have guests over, such as when they have their family and friends over. It is obvious that this can be difficult to determine from a rental application alone. When a potential tenant visits a rental property, it is important to evaluate their personality in order to make a decision about whether or not to rent to them. Their demeanor will give you a lot of hints about how they will treat your property if you observe them closely enough. Do they give off the impression of being dependable, presentable, and approachable? If a potential tenant places a high level of importance on their personal appearance, there is a good chance that they will also treat your property with the utmost care.
Rental history and positive references
A solid rental history is comprised of a few different factors. Were they prompt with their rent payments? How many times have they rented a property in the past, and for how long have they stayed in each property? Were there any rowdy parties there? How well did they communicate with one another? You or your property manager will want to speak to their previous landlords, real estate agents, and personal references to get a comprehensive understanding of the tenant's personality and behavior.
We haven't been able to list all of the qualities that should be present in the tenant that you choose to rent your property to because there are so many. You will be in a much better position to make the choice that is best for both your property and your future if you have a wish list of must-haves, are a good judge of character, and follow the appropriate tenant screening process.
Doing your due diligence and calling previous landlords and personal references are important when deciding whether or not you’ve found a good tenant. Past landlords have nothing to lose by speaking about their old tenants, and if a landlord speaks highly or positively of them, that person is probably going to be a good renter. Speaking to employers, friends, and other personal references is a great way to gain insight into who this person is outside of being a tenant.
Long Term Plans to Live in Unit
Although a lease for one year is a good place to begin, the ideal situation would be for a tenant to rent the property for as many years as possible. It is not always simple to determine whether or not a tenant will want to extend the initial terms of the lease, but some people do express long term plans. When someone appears to be more dedicated to living in a rental property for a number of years, it is more likely that they will be just as invested in the property's care and maintenance as you are.
They Ask You Questions, Too
During the renting process, it is essential to make certain that you have asked all of the appropriate questions and covered all of your bases; however, you should not forget that your prospective renter should also want to know about you. If you only have one job, a good tenant will want to know your history as a landlord, how much time you devote to your rentals, and a variety of other things. Also, they will want to know how much time you spend on your rentals. It is to your advantage if they are interested in learning as much as they can about you as a landlord. Explore our selection of reputable home builders in Melbourne to find the perfect one for your ideal home.
There is no one way to determine whether or not you have found the ideal tenant, but having tenants with these characteristics can be good indicators. If you take the time to read through all of the application materials, investigate the applicant's personal and financial history, and pay attention to the applicant's mannerisms and character traits, you will have no trouble finding a reliable tenant.
Tenants who take pride in their homes and are always prompt in paying their rent. That is, at its core, what each and every one of us desires. Everything beyond that is typically a matter of opinion, and it frequently depends on the kind of landlord you currently are or aspire to be. The majority of landlords, with the help of time and experience, eventually come up with a model for what constitutes an ideal tenant.
The irony of the situation is that landlords don't know whether they have a good tenant until the final inspection has been completed, the security deposit has been handled in a fair manner, and the tenant has moved out. The reason for this is that many otherwise cordial landlord-tenant relationships degenerate into a shitshow at the very last minute, when it is time to evaluate the tenant's damages and handle the security deposit. After all, it’s so damn easy to unknowingly get lumbered with a landlord that will do everything within his power to claw back every last penny by claiming compensation for every trivial and unjustifiable bullshit blemish, or on the flip-side, a tenant that’s willing to kill before taking any responsibility, despite how bogus the circumstances.