Once they’re living in your property, it’s dead simple to identify a bad renter. They’re usually the ones paying late, causing chaos with the neighbours, treating your place like a tip or demanding countless costly repairs.
In other words, making your life difficult.
If you can choose an excellent renter from the get-go, you may also be saving on your own at the very least 12 months of agony, not to mention a hit to your bottom line.
Mark Kelman, a Sydney-based capitalist that owns 13 residential or commercial properties, says an excellent lessee “makes an incredible difference to your building”.
He states a reliable occupant will minimise your upkeep prices, reduce wear and tear, take care of the garden as well as be helpful along the sale/finding new tenant process.
“They’re worth their weight in gold and that’s why you’ve got to do the right thing and look after them and they’ve got to do the right thing and look after the house - and then everything works”.
Kelman states the very first step to choosing a dream tenant is usually discovering the ideal property manager (or practicing best practice as a self managing landlord).
“When it comes to tenant insurance, I joke about this, but tenant insurance is really bad property manager insurance”, he says.
Sarah Martin, operations supervisor at Melbourne Property Managers, states reduced management costs can typically correspond to a lower standard of service and cost you over time.
“Unfortunately you do pay for what you get”, she says. “It’s a massive investment in your life so it’s definitely worth the extra”.
In terms of the dream tenant, Martin states that families, households with pregnant mums or pet owners are typically a good bet for property owners looking for long-term occupants.
“The wear and tear is probably going to be higher but they do stay longer” she says. This choice can save the lessor plenty in re-letting fees and the period of vacancy between tenants.
Sharon Gallagher, head of the residential property administration department at Ray White Broadbeach on the Gold Coast, says an incomplete rental application, or a chequered rental history, can be early warnings.
“The perfect tenant would be someone that has perfect history” she claims. However, she says a dream tenant is subjective, and often implies various things to various landlords.
“One landlord will expect that they have the property perfectly clean and tidy but if they’re always three or four days behind on their rent, they don’t care”, she says. “Another owner would walk in and be ok if the property’s a little bit untidy, by they would expect the rent to be in advance at all times”.
Gallagher says a search of tenancy data source TICA by your agent should disclose obvious troubles in your prospective lessee’s rental background, such as sloppy payments, major damage, and situations where a shared residence has actually gone dramatically wrong.
Beyond that, it’s everything about great communication between your agent and also lessee, as well as between you and also your representative.
Any good agent will usually dismiss tenants that have a bad reference, and will revise and check through any applications that don’t add up.
As for renters, Gallagher says a dream tenant will tell the agent when maintenance is needed, without asking for the world.
“If you’ve got tenants that don’t care, then unfortunately the property suffers as well” she says.