Your property is your pride and joy. And for good reason—you worked hard to turn your purchasing dream into a reality. Now that you’re ready to find the perfect tenants, your anxiety may be kicking in. If you have nightmares about renters trashing your living room or accidentally setting your kitchen on fire, we get it. We’re here to help you find the tenants of your dreams.
Read on to learn four ways to find a good renter for your property.
#1: Know Your Market
Understanding the kind of tenant that’s likely to rent your property will help you target your marketing efforts. The more candidates you have to choose from, the better your chances are of finding someone great (instead of having to go with the first applicant due to vacancy costs).
When you advertise your property, be sure to include key features that will appeal to your target market. For example, if you’re marketing towards college students, you want to highlight features like:
- Proximity to campus
- Nearby bars and restaurants
- A leasing schedule that aligns with the academic calendar
On the other hand, if your target market is suburban families, you want to highlight things like:
- Proximity to playgrounds and parks
- Local school districts
- Nearby grocery stores and farmers’ markets
#2: History Repeats Itself
If a potential tenant has a great track record of paying on time, being respectful of their landlord’s property, and not causing issues with their neighbors, they’re more than likely going to continue being great renters. Unfortunately, the same is often true of tenants with bad rental history, meaning it’s crucial that you do your research.
The best way to do this is to run a rental credit report, ask for references, and require a letter of employment or proof of income.
#3: Be Upfront About Your Expectations
The tenant-landlord relationship is a two-way street. This is actually good news because it means you have some control over how the rental process plays out. Being upfront and firm about your expectations from your tenants (from the very start) will save you countless headaches, misunderstandings, and disagreements in the future.
Be sure to layout ground rules about things like:
These details are usually included in standard leases, but it doesn’t hurt to go over them with renters at the signing. Most people are eager to sign and don’t read the fine print (literally).
#4: Leave it to the Pros
Of course, there’s one other great way to find the perfect tenants—hiring a management company. Yes, this strategy requires a financial investment, but trust us, it’s usually worth it. Management companies not only have years of experience finding and vetting potential renters, but they also have a much broader marketing reach than you do.
They can handle conducting background checks, collecting monthly rent, handling evictions (we hope this doesn’t happen), and responding to emergencies (we hope these don’t happen either). At the end of the day, they’ll let you enjoy being a landlord instead of having to stress about all the details involved.
Get the Lease Ready
We hope by now you’re feeling less anxious about the renting process. If you follow the tips above, renting your property will be a breeze, and you’ll be bringing in that coveted passive income before you know it. We’re not only excited for you, but we’re also excited for your future tenants—you’re going to be an incredible landlord. It’s time to get the lease ready!