Owning your own rental property is a lot of work. Not only do you have to manage the upkeep of your personal home PLUS this additional property, but you must place a quality tenant as well. It may seem like a lot of work, but it is possible.
Here are some strategies our Property Management division uses that can help you to avoid a disastrous situation with a less than favorable renter.
Placing a new tenant in a currently occupied home
Your current tenant has not decided to renew their lease so you now must find a new one.
Ideally, as soon as the previous renter moves out you will have a new one lined up to move in.
How do you accomplish this?
You will need to give your current tenant at least 24 hours’ notice when scheduling showings. The leasing agreement should have rules on this, but some just state “reasonable” notice.
Under Florida law, a landlord must give their tenant 12 hours’ notice before entering the property.
However, by giving at least a days’ advance notice you are providing the tenant adequate time to prepare and vacate the property.
If a potential tenant is working with a tight schedule and has requested a last-minute showing, that does not mean that time is off-limits. You just need to check and confirm with the current resident if that works into their schedule.
What makes a good tenant?
The qualities that make a great tenant go beyond just being able to make an on-time payment.
Here are some factors you should be considering:
- Steady income that they can prove
- A good credit report
- Ability to pay a security deposit
- References from past landlords
- No prior eviction history
- No criminal record
The tenant screening process
So, how do you screen for all these qualities? For starters, a great property management company can take the full burden off your shoulders.
However, if you decide to go at it alone, you will need to familiarize yourself with federal, state, and local housing laws.
After doing your research, you are ready to begin the tenant screening process. A quick web search on their name will not be enough to gain insight into who they are as a renter.
You will need to investigate different credit bureaus that can run these reports for you, but they do come at a price.
And once you do have the report, you will need to take the time to assess all the information.
If you have several properties, this can become incredibly time-consuming and costly. It will take a patient landlord to safely place the best tenant for their investment.
Not to mention, once you have found “the one” you will have to begin more research and spend more time drafting up a foolproof leasing agreement.
It is possible, but it may not be necessary if you are able to partner with a trusted Property Manager.
If you are curious about all a Property Management company has to offer you, read more here!