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how to find good tenants

How To Find Good Tenants

Finding a good tenant is really important for any Land Lord. Landlords want tenants who will pay the rent on time, take care of the property and not do any damage to the property, not cause a nuisance to the neighbors/anyone, no criminal background, etc – How To Find Good Tenants.

how to find good tenants

How To Find Good Tenants

The first step is to evaluate the market scenario of the rentals and to understand your target tenant that is what type of tenant you want – bachelors, family, corporate guest house or company or commercial. For example, there may be a demand for bachelor accommodation and whether you are willing to rent it out to them or only to a family.

There are lots of tips that you can gather from various online sources and advisors, friends, families, neighbors and we are listing a few of them below:

  • How do I market my Property – online ads, newspaper ads, referrals, to let board on the property, etc.?
  • What to include in the Advertisement?
  • Show a Well Maintained House.
  • Prepare a Rental application 
  • Tenant Screening
  • Choose a stable and tenant with good credit.

When you meet up with the tenant – get to know more about him – his native, work-related stuff, the reason for moving in, habits, the intended period of stay and all the relevant questions along with a few references (and check if there are any common references)

Look for a good tenant

The task of the Landlord is to attract people who will be the best fit for the property and gel well with the neighbors (and of course the landlord). The Landlord-Tenant Relationship is an ongoing, mutual and long term expected relationship. Because when a tenant vacates early, it is an expense to the tenant and loss of income to the owner.
It is good to do all the checks and screening to get a good tenant. It is also important to listen to your gut feeling / natural instinct to understand/foresee as to how it will be with the tenant. In my experience of Property Management Services which we provide in Chennai, I understood that like how a landlord looks for a good tenant, the best of the tenants also look for the best of landlords.

Related Articles
1. Want to rent your house – know Tenant Priorities
2. Tenant Screening
3. Prepare your Property For Rent
4. Ascertaining Rental Value

How to find good Tenants

When you wish to find the best tenants for your rental property, you must advertise discreetly, contribute a great home for rent, and proceed with a thorough tenant screening process. These tips will aid you to recognize and draw the best possible tenants for your rental property.

Present a Great Property

The best tenants always wanted to relish in the best homes. Before you list it on the market, ensure it is systematized and functional. Pay keen attention to stuff like curb appeal so that people passing by the property will crave to come in and check it out. You don’t have to blow a lot of money on renovations, but address a few small and affordable amends that will seize the attention of the best tenants. New floors and appliances can go a long way, as can fresh paint and clean landscaping.

Market Your Property skilfully

Getting Rent sign in the yard is obviously great, but you can’t just post the sign and expect for tenants to come to next to your yard. You need to advertise online, where the bulk of prospective tenants are connected seeking properties. Design a website featuring your property details and make it available on all the sites that tenants use, such as Zillow, Trulia, and HotPads. Once people start contacting for your ad, be active and responsive. Do a short prescreening over the phone to assure they have adequate income to afford the home and the time for which the house should be available. Show up the property and follow up with an application.

Tenant Screening Method

The tenant screening process is essential to find the best tenants. Make an application that gathers all the required information and grants you with permission to perform a thorough background check. Remember you’re looking for someone who can pay rent consistently and take great care of your home. Checking credit history and felonious backgrounds is essential, and you also need to confirm employment and income. The most important part of your screening process, however, is the rental history. Talk to current and former landlords about the tenant.

Opt for a Property Management Company

You know it very well that the landlord alone cannot be able to manage everything as it is a huge task. If you’re deciding to manage everything on your own, you’re eventually going to overtake the end of your thread. The right option a landlord can do is select a trained property management company to support you regarding the property management. A property management company can manage as many of your responsibilities as you’d solicit along with Tenant screening process.

How to Save the Time Land lording and Improve the Time Living

How to Save the Time Land lording and Improve the Time Living

Top 7 tips for reducing landlord time

When you step in real estate investing, you would be prepared a bit unwary – as most of us do. We assume we understand what we’re acquiring into, but we aren’t conscious of something it takes on a day-in and day-out basis until we’re forced into the shot for the first time – Top 7 tips for reducing landlord time.

One thing that you probably weren’t aware of was just how much time it takes to manage a rental property. Surely, the return on your money might be enormously positive, but the drain on your time is equally as powerful.

To relish the business benefits of maintaining rental properties for years to evolve, you need to locate a proper plan to manage your time adequately and savour surpassing work-life stability.

Suggestions for Reducing Your Time Engagement

Burning out of energy and enthusiasm is a common factor among landlords. Most people start with anticipation and excitement, but it’s evident that this energy to disappear as dilemmas emerge, schedules pack up, and duties become monotonous.

If you want to overcome your risk of burning out of energy and maximize your cash flow, you demand to discover ideas to impede your time devotion.

Your time is very valuable and is a limited resource. So to enlighten this, let’s explore some of the effective ways you can reduce your time commitment and spend more time resting with your friends and family – Top 7 tips for reducing landlord time.

How to Save the Time Land lording and Improve the Time Living

1. Build Precise Rental Listings

You might think you’re doing yourself a favour by planning rental listings that are intentionally hazy, but you’re doing yourself disfavour. Sure, you’re building touch points with more leads, but you’re also losing time with people who eventually won’t be inspired to rent your property.

Be as precise in the listing as possible. This involves every relevant detail about price, rooms, square footage, location, rules (such as pet policies), and period of the lease agreement. Thus, when a lead does contact you, you’ll surely know they’re honestly serious.

2. Pre-qualify Renters over the Phone Call

One more factor that wastes your time is revealing your property to unqualified candidates. Just because someone wants to see your property, doesn’t imply you should show it to them.

You can avoid wasting time by pre-qualifying potential renters on the phone. Ask them several questions about income, timeframe, and specific needs. (Keep these questions consistent for every caller to avoid any accusations of discrimination.) If they meet your guidelines and are still interested, then you can set up an appointment.

3. Answer Your Phone and tackle the Problem

If one of your tenants calls, don’t let it ring and go to voicemail (unless you have to). This only extends the amount of energy you use to resolve the issue they’re calling with. By the time you check the voicemail and operate phone tag, it could be hours or days until the query is dealt with.

4. Invest in Quality Equipments

In a low-to-middle income rental house, you’ll be intrigued to place very basic appliances – but beyond that, you should think in another way. Basic appliances do demand a modest upfront investment than more excellent models, but they also lead to having more maintenance problems. This beats up the cost of ownership and requires more of your time.

By initially investing in quality tools, you conserve the time that it takes to plan and manage maintenance issues. You’ll also keep your tenants satisfied, which reduces turnover and promotes stability.

5. Automate Rent Collection and Processing

For maximum landlords, the first week of the month is an engaged one. It has been spent on collecting and processing rent checks. And there is also a chance, where you have to chase down one or two late payments. But when there is a way to lead these processes? Getting a smile right!

The best task you can do is automated rent collection and processing through some online payment portal. By claiming your tenants to sign up for automated drafts, you can reduce the possibility of late payment and start processing a decidedly smoother procedure.

6. Carry a Pre-Ride Inspection

At the conclusion of a lease agreement, nothing is more time-consuming than moving back and forth with a tenant regarding their security deposit (if you’ve decided to keep all of it to address the damage.) To save time, you can carry a pre-move construction.

“Strive to walk through the property with the tenant before a month from actual move-out and look out what particularly has to appear for the tenant to receive the full security deposit back,” The best suggestion is don’t threaten to take deductions from the security deposit, or this walk-through will produce the inverse effect.”

7. Hire a Property Management Company

If you’re deciding to handle everything on your own, you’re ultimately going to approach the end of your rope. The smartest option a landlord can do is hire a professional property management company to support the heavy lifting.

A property management company can manage as many of your responsibilities as you’d desire. From tenant acquisition duties like scheduling optimization and screening to the ongoing concerns which you deal for months and months, a good property manager will help save your time, money, and sanity.

Let AGILE PROPERTY Help You

Until you have got a property manager on your side – taking charge right from the rent collection to efficient maintenance coordination – you don’t understand how much time you’re spending on ordinary tasks and responsibilities. When you work with AGILE PROPERTY, we win these details off your to-do list and provide you the opportunity to relish with more free time. Contact us today for an outstanding property analysis!

Ascertaining Rental Value

Now that you have purchased a property and ready to rent it out, you have to derive the right price range for renting it out. It is mandatory to know the optimum rental value because a lower rent will result in loss to the Property Owner and higher rental value will result in putting off the prospective tenant – discover rental value.

To make sure that you derive at a right price, explore the following factors:

Market Value

The Rental value of the property is in direct proportion to the Market Value of the Property.

Market value of a property is the current value of the property in respect to the infrastructural developments. For example a new fly over or a metro rail link increases the value of the property and will increase the rent of the property.

For properties in demand and developments of infrastructural facilities like drainage and metro water by the Municipality also increase the value of the property along with decreases the recurring expenses eventually you can command a higher rent.

Stalled infrastructure projects, congestion in traffic, depletion of natural resources & availability of essential commodities, increased pollution levels etc decreases the market value and also affects the rental value.

ascertaining rental value

Property’s Desirability

Apart from the location, infrastructure developments, type of property, Sq. Ft. of the property are some of the general factors.

The other specific factors with respect to the unit like parking facility, amenities in the house, design of your unit, size of the bedrooms, storage, location of your unit (in the same street), balconies, view of your property, facing, age of the building – can have different desirability levels compared to the other properties.

Prevailing Rental Rate

It is important to do a research into the market of your area. Look around the neighbourhood for similar properties and enquire about their pricing. You can also contact a local Property Consultant of Property Management Company who can advice on the Rental Value as per the market.

Vacant Properties

It is also important to make a list of vacant properties in your neighbourhood. Vacant Properties for a long time indicate that the demand for the property is less or the pricing of the property is not viable in the market.

In a saturated market, a reasonably priced property will not be rented out quickly. In such a market, the House Owner has to consider offering incentives or additional amenities if required.

Also make sure to evaluate the reasons for a property being vacant for a long time. The reasons could be insufficient parking, storage, location of the unit, physical home size – bedroom sizes, bathroom, furnishing in the unit, etc.

Properties that are rented out quickly have a possibility of fetching a higher rent.

Other Factors

The other factors which determine a slightly rental value are type of fittings and fixtures, clubhouse & facilities (like swimming pool, club house, jogging track, supermarket, visitor parking, etc), schools close by, connectivity, additional balcony as compared to the similar properties in the locality.

Conclusion

Evaluating the above factors will assist you to
1. Respond to the prospective tenants appropriately
2. Minimise the Vacancies
3. Assess the increase or decrease of rent in future.

Need for a Property Management Company

Investment in properties is a major investment and people invest in properties invest it for the two major reason – The first reason is driven by the need of people to own a property for own use. The second reason is for the purpose of investment with an intention to get a rental income and benefit on the appreciation at a longer term.

The need of a property manager is more for the people who purchase properties with an intention of getting a rental income and benefit on the appreciation on the long term.

The requirement for the property manger becomes more necessary when the owners are not able to take care of their properties due to the following reasons:

  1. Property Owners are away from their property – When the property owner is away from their property be it an apartment, individual house or a plot, there is always a question in the mind of the owner as to what is happening around his property. Since the owner is away from his property and not able to monitor it, he takes Property Management Services from a Property Company to professionally take care of his property and receive regular updates.
  2. Property Owners have to take care of multiple properties – This is basically the case of people who invest money in properties at different locations within a city. The distance factor of multiple properties purchased by the investor will make it easier for him to manage his properties with the management of a professional property manager who will take care of his properties at different locations.
  3. Property Owners do not have time to take care of their property – There is an old saying that a busy man finds time for everything. The modern saying is that a busy man finds time for everything and if he is not able to take care of it, he delegates it to proper people to take care of things. An Owner who is busy and does not have time to take care of his property hires a good and professional property manager to take care of his properties the way he will manage it.
  4. Property Owners do not want to get involved in day to day activities of taking care of their property – There have been instances when the owner does not want to get into day to day activities of doing all activities of taking care of the property and want to relax by assigning the job to someone else. Who could be better than a professional Property Manager.
  5. Property Owners do not want to depend on their relatives or friends to take care of their property – There is nothing better than depending on the dependable relatives and friends to take care of your properties but there could be practical difficulties which could arise like
    1. Parents getting old.
    2. Relatives / friends not finding time to take care of the property.
    3. Relatives / friends getting transferred or are at a distance from the property.
      Under such circumstance and other circumstances not mentioned here, it becomes difficult to take care of the properties. It is then that the owner thinks of taking the help of Property Management Services of a Property Manager.
  6. Property Owners do not want to personally interact with the residents – Some property owners feel that it is best for them not to interact with the residents, association, workers and other people for their property upkeep. The reason could be anything ranging from wanting a peace of mind to having a buffer for better negotiation for their properties. These owners are willing to pay for their peace of mind and they hire property managers to take care of their properties.
why tenants leave a rental

Want to rent your house – Know tenants priorities

When tenants search for a property, there are certain features that top their list – Want to rent your house Know tenants priorities:

1. Location – The Location of a property always plays a most important feature of the property. Tenants will also pay a higher price for a property at the right location or on the main road. Tenants may also compromise on other amenities if the location of the property is very desirable.

2. Safety & Security – One of the greatest motivator for a tenant is the safety and the security for him, his family and his belongings. This is one of the prerequisite for a long term tenant because the tenant will feel more comfortable when he is in the property and when he is away from the property.

3. Live able conditions – The tenant also looks into how well the property is constructed, maintained, the security, the neighbourhood, water facility, drainage facility and infrastructure and social infrastructure available nearby. Tenants do not prefer isolated properties or with poor infrastructure or amenities to stay.

4. Parking / garage – No one wants to park his vehicle outside the compound in the street or search for a parking on a daily basis (as in some apartments where there is scarcity of parking or no allotted parking). Tenants prefer an allotted car park.

5. Schools Nearby – For tenants with school aged children, this is a first and foremost priority. Every Parent wants the best of education for his child and will want to avoid long distance travels of his child to school saving the time and energy of the child so that the child can concentrate on his studies.

6. Peaceful or quiet place to live in (or Sound Proof Walls) – This is one of the most important factor for a tenant to live for a long term. This means that the property has to offer a peaceful living environment with minimal interruptions and loud traffic or unnecessary disturbance during late night hours. If there are disturbances, tenants tend to move out after some time.

why tenants leave a rental

7. Natural Light & Ventilation – Houses that have natural sunlight and ventilation which is bright are preferred than houses that are dull and gloomy. Abundant natural light gives a more comfortable feeling and also saves the electricity bills for the tenant.

8. Storage Space – This is a very important aspect when the tenants are looking for a house. Tenants need space to store their stuff and prefer a house which has enough cupboards to store them. Sufficient storage facilities like lofts, cupboards, wood work or modular kitchen attract the tenant.

9. Internet Connections and Wifi Connections

10. Ready to Move in Condition – If a property requires cleaning, painting carpentry or any plumbing and electrical works, it needs to be done. Repairs in the property and common areas are disruptive and annoying and poor condition of the property can put off a prospective tenant. The first impression that a tenant gets on visiting a property will persist in their mind and will set an expectation that this is how the property is to be maintained.

11. Walk able distance to nearby amenities – It has been seen that tenants feel more comfortable when the amenities like super market and other basic things are at a walk able distance.

12. Age of the Property – Some tenants feel that they should move in a property which is new. The reason for this is that they feel that a new property will not have any issues towards repairs and maintenance but by proper maintenance of the property, the tenants will still be attracted to it.

13. Well Maintained House – The tenants always prefer a house that is well maintained and do not want to get into issues of maintenance and repairs at a regular basis. They would also prefer a house where the repairs and maintenance can be taken care of immediately whenever required.

14. Cooperative Land Lord – The tenant and land lord relationship is a mutual relationship and both the parties should be cooperative, courteous and mutual respect for each other. All the promises and points agreed upon by the tenant and the owner as per the Lease Agreement should be kept up and honoured by both the parties.