October 1, 2019
Tenants are the lifeblood of any landlord. Not just any tenant will do, however. Finding awesome tenants that will pay, stay, and maintain our rental properties is a must.
Tenants come in all shapes and sizes, but there are indicators that will distinguish between the awesome tenants, and well… everyone else. Here are six indicators of an awesome tenant.
1. They Have A Good Reason For Moving
Everyone moves at some point. The question to ask is, “Why?”
When looking for awesome tenants, landlords should check out why their prospective tenant is moving. Is it a “good” reason, such as starting a new job? Or it it perhaps something a bit more nebulous? Remember that we are looking for stability, and a “good” reason for moving points in that direction.
2. They Do Not Move Too Much
Again, stability is a key indicator of an awesome tenant. Tenant turnover is a cash flow killer. Turnover costs us landlords money to prepare a unit for re-rental.
Closely examine a potential tenant’s rental history. Do they consistently move year after year? If they do, they are likely going to do the same to you.
3. They Have Good References
References speak volumes. If a previous landlord has only good things to say, then you may well be on your way to having an awesome tenant. A good reference often means they paid their rent on time and did not destroy the landlord’s property.
However, be sure to dig a little deeper than just their current landlord. You never know if a current landlord is just trying to rid themselves of a problem. Try to get references from at least the last two or three landlords.
4. They Are Attentive and Fill Out the Application Properly
Attention to detail is an awesome quality to look for. This quality will help demonstrate that your potential tenant has their life together and will be able to handle the responsibilities of being your tenant.
You want to avoid those who are not paying attention when you go over the details or cannot seem to fill out your application correctly. There is chaos in their lives, and you do not need that moving into your property.
5. They Act Professional and Courteous
The landlord/tenant relationship is a professional one, and the two parties wanting to enter into that relationship should act accordingly. This means showing up on time or at least calling to tell you that they will be late. It means being neat and clean. It means talking with you in a civilized manner. It means listening politely as you explain properties, policies, and procedures.
Never let a potential tenant be rude or disrespectful. Instead, end the relationship before it even starts. It is better to tear up the lease at the signing table than to let a rude and disrespectful tenant move into your business and life.
6. They Ask the Right Questions
Every potential tenant will have questions. “What utilities are included with the rent?” or, “How are maintenance requests handled?” are perfectly legitimate questions to ask. These types of questions demonstrate competence—and competence goes a long way toward being an awesome tenant.
What you need to watch out for are questions such as, “What are your late fees?” or, “Can the security deposit be used for the last month’s rent?” These folks are already trying to figure out how not to pay you. Avoid them.
The Bottom Line
Finding awesome tenants has to be at the forefront of any landlord’s business plan. Awesome tenants simply make our lives as landlords so much easier. Finding them is not overly difficult, but it does take a bit of knowledge and experience on what to look for.
Using the above indicators of an awesome tenant is a good place to start.