Are you a landlord looking for good tenants? Are you a duplex property investor looking to find a good renter? Read on for details on how to do just that.
If you are a duplex property investor and not thinking about selling your unit the only option you have of cashing in on your investment is renting it out. Renting out as you know is not as easy and simple as it sounds. There is a lot that goes on in ensuring you rent out your property.
One of the many activities involved in renting out a unit is screening tenants. This is usually done by landlords or duplex property investors to ensure that they rent out to a good tenant. Despite its benefits, screening is not foolproof. Some bad tenants can still slip through it. Luckily, there are other things you can factor in that’ll help increase your chances of finding a good renter.
It is with this that we’ve opted to share with you this post. That said, following these tips on how to find the best tenants for your new duplex property can help make the right choice.
Familiarise Yourself With The Law
It is important that as a landlord or duplex property owner you familiarise yourself with the law. In particular, get to know the laws that govern a landlord and tenant relationship. These laws are put in place to make sure there is no discrimination from both parties. This includes discrimination on a certain type of people, be it race, religion or sexuality.
Know Where To Advertise
Today, you can go about advertising your duplex in a number of ways. One profitable way of advertising your duplex is online. Sites such as realestate.com.au and rentbetter.com.au are known to offer advertising services at a fee of about $50 to $100 per listing. It is advised to go for such sites as opposed to free sites.
Why? Well, free sites like Cracker.com.au or NewsClassifieds are notorious for scammers. Some might even go as far as taking out rental details of your unit and then market them as their own. All this they do so as to scam unsuspected tenants. Furthermore, such sites are known to be visited with serious home buyers.
What’s Their Credit?
When thinking of renting out your duplex, it is important to get a renter who is financially stable. A financially stable renter is someone you can count on to pay their monthly rent on time. If you opt to check your tenant’s credit, keep in mind that it usually comes with a fee. If you are not prepared to pay this fee, you can ask a potential tenant to do so. This is a common practice with many landlords and duplex property investors. That said there are two steps involved in checking the finances of your tenant. These two are income and credit check.
When looking at income, you’d want to rent out your property to a tenant whose monthly income is twice or thrice the rent. This is something you can confirm by asking for their pay stubs. You can as well contact their employer to confirm or verify the information you’ve received. Additional things you can look into as well include the length of the tenant’s employment, his/her attendance record among other things.
With credit, you are looking at the tenant’s history with paying bills. In particular, do they pay their bills on time or not? Also, check their income to debt ratio. Some renters may have twice as much income as the rent but also have other debts to pay. In such a scenario your renter is likely to not fulfil their payment on time.
Perform A Criminal Background Check
Being associated with a bad person has some serious consequences. This is why it is important to perform a criminal background check on your renter. This will give you lots of insight into the person you want to rent the house to. Luckily, criminal background information is public record. In fact, you can get this information at a number of courthouses countrywide.
What we personally love about this check is that you can get details of both petty and serious offences about someone. Furthermore, it is very simple and fast. For you to carry out the check, you’ll need the name, date as well as the date of birth of your tenant. Some tenants may try to falsify this information. To leave no wrong for such, make sure check to confirm if what you have is what is written on their ID cards.
Check References Before Renting Out Your Duplex
Checking for references is another crucial step in trying to find the right tenant. The best thing about this is that it’s so simple. In fact, you might even find that you don’t have to go anywhere to get a reference. Maybe you have a colleague who has rented out their house to your new tenant. That said there are various ways you can go about checking references. For instance, you can call previous landlords if you have a way to do so. Get to ask if they;
- Paid their rent on time?
- Caused any damages?
- Disturbed the neighbours with loud parties?
You can also get in touch with their employer to find out the type of person you are dealing with. It is important to give them a call because that’ll give you a better picture of what and how your tenant is.
Arrange A Meeting
Making sure you get to meet your tenant in person is very important. This is more so true for duplex property investors who have someone else managing marketing out their units. Get to meet potential tenants and walk them through your duplex. Seeing them in person gives you a wide range of indicators as to who they are.
Furthermore, you’ll be able to tell whether or not they’ll respectfully stay in your unit. Other things like cleanliness and responsibilities are things you’ll be able to tell by meeting potential renters in person.
Don’t be one of those landlords or duplex property investors who avoid arranging such meets. It can give so much more indicators about your tenant. This way, you’ll be able to tell if you are renting out to a good renter.