Eight Qualities of Good Tenants
One of the number one concerns we hear about from Landlords, is their fear of being able to obtain a ‘good tenant’. Having a good tenant can make owning an investment property stress free and profitable, but finding good tenants can be a challenge without a GREAT Property Manager on your team.
There are different ways to go about finding the best renters for your property and knowing what to look for is a good starting point. We have listed some of the key indicators for a great tenant so you can ensure you are placing someone in your property who will pay on time, treat the property as their own and respect your wishes as their Landlord.
1. Provides a detailed application
The best tenants meet their obligations from the very beginning when they make the decision that they’d like to make your property their new home. An organised applicant will supply all the required documentation to support their application including proof of income, referees, contact info and any other paperwork required by your chosen Property Manager.
2. Has a good rental history
Every Landlord wants to avoid nightmare tenants. Your Property Manager will always start by checking the applicant’s rental history. For one, no applicant on the lease should be black listed on any tenant database. This means they have not previously been reported due to any issues previous Landlords have had. Not only will a successful applicant have paid their rent on time and not been breached for this, they will not have caused damage or been evicted before and stuck with the terms and conditions of their previous leases. Excellent references will help show they are trustworthy and reliable.
3. Looks after the property
You save a lot of headaches when your tenant is proud of and takes care of the property as if it’s their own. These types of tenants are careful not to cause damage but also continue to maintain gardens and cleaning the air conditioner filters. A good tenant can actually assist in keeping your property in good condition – keeping it newer for longer. They will also point out issues that arise with the property in a timely manner, which gives you, the Landlord time to rectify any issues.
4. Pays rent on time
This goes without saying, but I’m going to say it anyway… A dream tenant is someone who always pays their rent on time. The ongoing cost of investing in real estate means it’s vital that you have rent coming in consistently and on time. Of course, your tenant can run in to tough times and changes of circumstances, but a great Property Manager can ensure that communication is maintained with the tenants at all times and steps put in place in the event that the tenant does fall on troubled times.
5. Communicative and responsive
Great tenants communicate and keep your Property Manager updated. If maintenance issues arise, the problem can be dealt with before it gets out of hand. This is particularly important with a brand new property, as the builder’s maintenance warranty can often be utilised on items that are not the tenants fault.
6. Honest and accommodating
Good tenants are transparent and honest. They stick to the agreement in place and won’t have random friends living at the property or have a sneaky animal there without approval. These tenants will also do their best to give access to the Property Manager during routine inspections and won’t make it hard to set an agreeable time.
7. Follows terms and policies
Dream tenants follow through on their obligations. This includes seeking approval before getting a pet or putting nails in walls to hang their personal items. They won’t party and disturb the peace of their neighbours and will ensure the property is left in the same (or better) condition when they do vacate.
8. Renews their lease
Good tenants stay with you long term. If they keep renewing their lease, you will save money on lease renewals or risk the property being vacant between tenancies (although unlikely in this climate with so few rentals available on the market). Of course, this goes both ways… If you’re a good Landlord, your tenants will of course want to remain in your property.
The key take away here is not to take short cuts when looking for a new tenant. Ensure you’re working with a gun Property Management team and consider the applications presented to you carefully before approving.