The number one reason why people shy away from owning rental properties is their fear of dealing with problem tenants. Everyone has heard the stories of bad tenants who won't pay, and the lengthy process of forcing an eviction. The truth is, most tenants are responsible and easy to deal with.
A rental application is a standard requirement for all landlords. In it, potential tenants are required to provide information about themselves, their current living situation, employment details and personal references. If you choose to find your own tenants, it's up to you to verify that the information on the form is accurate and assess the suitability of each tenant for your property.
Here's how to read between the lines on a rental application:
- Verify that the phone numbers provided match the contact information. Confirm the employer and previous landlord's contact number by performing a reverse look-up online.
- Require proof of income to support the application. This can be done by requesting the two most recent paystubs or a T4 to confirm employment history.
- Social media will tell you far more about a potential tenant than an application ever could. Search for your applicant's profile on Facebook, Twitter and LinkedIn to see how they portray themselves online.
- Ask plenty of questions. Honest tenants are always forthcoming with personal information, and you can usually get a good feel for people by finding out why they are moving, asking about their experience with their previous landlord, and allowing them to explain why they are interested in renting your property.
Choosing the right tenants is one of the most important parts of managing profitable rental properties. Do you need help finding tenants for your rental property, but don’t want to do it alone? I am committed to assisting you with all your real estate needs. From locating the right properties for your long-term goals, to handling the tenant selection process, I will provide all the resources you need to build a profitable and stress-free portfolio. Working with an experienced professional will give you the peace of mind that your investments are in good hands.