Great tenants will pay rent on time, every month. Report maintenance issues on time, saving you from potentially costly repairs later down the road. And, renew their lease multiple times, among other things.
Attracting great tenants to your rental property, however, isn’t based on luck. Rather, they come by design. You must be intentional and laser-focused on attracting them to your rental property.
That’s why in today’s blog, we’ll walk you through 7 proven tips on how to find great tenants for your rental property. Keep reading to learn more!
Know the Type of Tenant You’re Targeting
Begin by knowing what kind of tenant you’re looking for. Is it going to be a professional, a family, or even short-term tenants? Once you have figured this out, this will help you know the next steps to take to find them.
Have the Property Inspected for Potential Issues
You may not be able to rent out the unit as-is, as rental properties must meet certain standards under state and local landlord-tenant laws.
Additionally, securing landlord insurance is essential to protect your investment. For example, you may be unable to rent out a property with any of the following issues.
- A leaky roof
- Cracked foundation
- Rodent infestation
- Mold issues
- Walls with lead-based paint
If your property has any of these issues, it may fall short of the required habitability requirements. Consequently, it’d be unlawful to rent it out without fixing them.
Make sure to go with a professional property inspection specialist for professional workmanship.
Make the Unit More Desirable
In addition to fixing the basic issues, take things a notch higher and invest in some high-ROI upgrades. Doing this will help you stand out from the competition, which can result in filling the vacancy quickly and maintaining high occupancy rates.
Some of the best upgrades for rentals include the following.
- Refresh the look and feel of the kitchen. You can invest in energy-efficient appliances, a granite countertop, and under-cabinet lighting.
- Upgrade the bathroom by doing things like replacing shower heads, light fixtures, and old faucets.
- Enhance the curb appeal. For example, when it comes to landscaping, you may want to plant some flowers, trim bushes, and maintain the lawn.
- Upgrade the flooring if it looks like it has seen better days.
- Repaint the walls if they look like a scene outta an 80’s horror film.
Advertise the Unit to Prospective Tenants
Once you’ve identified your ideal tenant and made the unit appealing, it’s time to market it.
Tailor your strategy to your target audience—list on student platforms and post flyers for college renters or highlight family-friendly features for families. Use both online and offline methods to maximize reach.
Screen Prospective Tenants Vigorously
After a successful marketing campaign, prospective tenants will begin reaching out to you to find out more. And you should use this opportunity to learn more about the tenant by asking them some screening questions.
Some of the pre-screening questions you could ask them include the following.
- Do you have pets? If so, how many and what breed?
- Do you smoke?
- Do you have a past eviction record?
- When are you looking to move in?
- How much do you make every month?
This tenant screening stage will help you weed out prospective tenants who would have otherwise failed your qualifying criteria later on, saving you valuable time.
Next, require all applicants to fill out a rental application form and verify each applicant’s details. The following are some of the things you could do at this stage of the screening process.
- Call the tenant’s employer to verify their employment status and income.
- Call prior landlords to learn about the tenant’s past rental history.
- Check the tenant’s credit rating to see whether they meet the minimum credit rating requirement.
Make sure to abide by the local tenant anti-discrimination laws.
Determine the Right Rent Amount
This is key in attracting and retaining high-quality tenants. The goal here is not to undercharge or overcharge tenants.
If you overcharge tenants, you risk losing out to the competition. Remember there are numerous tools online that prospective tenants can use to look up average rent rates in particular areas.
If you undercharge tenants, the loss will be on you. Your investment will be bleeding money every month, which can make it difficult for you to pay your expenses.
And once you have determined the right rent amount, make sure to provide the tenant with other rent-related details as well. Including the following:
- Rent due date
- Amount of grace period
- Rent increment schedule
- Where rent is due
Draft a Proper Rental Agreement
This is key in safeguarding not only yourself, but your rental property as well. It’ll help you highlight both party’s rights and responsibilities, leaving little to no room for conflicts or disagreements.
The following are some of the things that a basic rental agreement should cover.
- Term of the lease
- Rent-related details, such as rent amount, due date, payment methods, and late fees
- Security deposit details, such as deposit amount and conditions for its return
- Responsibility for repairs and maintenance
- Occupancy limits
- Pet policy and restrictions
- Lease termination requirements
Make sure to observe applicable state and local landlord-tenant laws when drafting the rental agreement for compliance.
Bottom Line
With these tips at your fingertips, now you know what finding great tenants for your rental property entails. After all, great tenants are key to running a profitable rental investment.
For expert help in finding and managing tenants in King and Snohomish County, look no further than T-Square Properties.
You can rest assured that we’ll manage your rental property with professional care. Get in touch today to learn more!