Would you let a stranger into your house? Accepting tenants without adequately screening applicants is akin to allowing a stranger into your house, and handing over the keys. No doubt, a costly decision in any property owner’s book.
While finding a tenant for your rental property is about marketing your property to the right demographic, securing the right tenant for your investment is about thorough tenant screening and reference checking.
Before you start the journey to find a tenant, you first need a strategy – a marketing strategy.
Like any product new to the market, to find a tenant for your rental property you need to determine what you are offering, who is your ideal customer and how you want to package your offering?
When residential vacancy rates are low (around 1% – 2%), your product is most likely in high demand, but higher vacancy rates (over 3%) signify low rental demand, which means you may need to work harder to attract the right customer.
The short term rental accommodation market is booming, and the real estate industry is feeling the impacts. Recently, the industry has seen an increase in tenants illegally subletting a house or room to offset their rent, and in some cases pocketing rental returns, double what the properties’ owners earn.
As a landlord, you want the best tenants for your properties. But invariably, even the best tenants have demands. And responding to requests, queries and maintenance issues can be time-consuming and stressful. This is where a good property manager can assist.
Property managers are a third party that act as an intermediary between the landlord and the tenants. They listen to the complaints and concerns of tenants, and resolve issues to ensure both parties are happy.