Are you someone who bought a house and is now looking for the right tenants to live there? If so, renting out your home can be a great way to make passive income. However, it can also be tricky to manage, as you never know who will end up renting your space. To avoid any hassle or issues, here are some things to keep in mind when looking for tenants to rent your space:
Do A Credit Check
A credit check for landlords and tenants can help to ensure that you’ll get the money you’re owed by tenants. Those with poor credit could be people to be wary about if you want to make sure you’re renting to people who can be sure to pay rent on time.
While there is an investment of time spent doing a background check and credit check on potential renters, it can be worth it. The things you discover when screening tenants may surprise you and they could be things that you never expected, so don’t hesitate to check out the people that you’re thinking about renting to if you want to stay safe.
Reach Out To Your Inner Circle
If you’re concerned about having people rent from you that you don’t know, consider reaching out to people that you do know. It makes it a lot easier for you to trust tenants when you’re sure that you’re renting from people that your acquaintances and friends can vouch for.
Keep in mind that it’s still wise to do background checks on people you’re renting to, even if your friends know them well. It’s just safe for you and even a good idea for them. Still, there’s nothing quite like having tenants that come highly recommended by people that you know.
Use Reliable Platforms
If you decide that you want to try to find tenants online, take time to figure out the best online platforms for browsing and connecting with potential renters. Craigslist is a site that people like to use, but it’s not the best for finding reliable renters. Instead, look for options like Zumper.
While you’ll still need to do the work of finding out their rental history and making sure a lease agreement is signed, when you look on sites specifically designed for rentals, you’ll find it easier to connect with the kind of tenants that you have in mind.
Follow Your Gut
If something feels off as you look for tenants, something may be off. Don’t ignore the hesitation you may feel when considering a tenant as it could be your intuition letting you know that they’re not the right fit.
This isn’t listening to a bias that you have but rather noticing things that could be a bit off about their rental history or credit check. It’s always worth taking the extra time to find a tenant you know that you can trust and who will treat your property well.
Make Sure You Have A Lease Agreement
If there’s something that you always want to make sure you have when renting out your home, it’s a signed lease agreement. A lease agreement can save you from a plethora of problems and with everything in your lease legally binding to your tenant, you can avoid losing money and other issues that are common with landlords and tenants.
If you have a lawyer or friends in the legal field, get some advice on what’s best to include in your lease agreement so that you and your home stay protected, no matter what. Should things go awry, your lease agreement could protect you more than you know!
In Conclusion
If you’re hoping to have a good experience as a landlord, consider the benefits of these abovementioned tips. Taking time to find the right renter and have them sign a solid lease will save you headaches and potential financial loss.
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