How to Pick a Good Tenant
When you're looking to invest in real estate to rent, one of the things you'll need to have a think about is choosing tenants. It's important to fill your vacancies, but often it's equally important to choose the right tenants to suit your property. After all, you don't want to be dealing with unreliable payments - or even damage! Here a few things to keep in mind when picking a good tenant.
Who's your target market?
The first element to figure out is your target rental audience. You'll need to consider your property's physical features and where it's located. For example, a spacious suburban villa will likely appeal to a different pool of people than a slick apartment in the centre of town.
Make sure you play up your property's features in the listing! Attracting the right applicants can lay a good foundation and take some of the legwork out of the screening process. If there are schools and parks nearby, you can probably start narrowing your advertising to families, while an abundance of restaurants and cafes in the surrounding areas will attract a younger set of prospective renters.
Enlist some help
Choosing a good tenant isn't always a sure thing, but the screening process can often sift a good tenant from a bad one. It's useful to have a bit of experience and knowledge on your side when you're going through applications. A property manager can also do a lot of this legwork for you, as well as giving you some handy hints about setting the right rental price
They can check references and delve deep into the prospective tenant's previous properties. You normally need around three references on a tenancy application, so take the time to speak to past landlords and property managers. They can alert you and your property manager to any issues and confirm the renter's reliability in paying rent.
No matter how thoroughly you screen a tenant, renting is unpredictable. Landlord insurance can be a safe option, just in case.
If you need a professional property manager look after your investment property and find quality tenants, please call 9560 3988 and talk to our property management team.