Reducing The Risk Of Problem TenantsWritten By PropertyLoop March 03, 2021
As a landlord, you’re going to want the most suitable tenants for your property. So as to avoid any costly mishaps or undue damage to your investment it’s important that you take several steps to get things off on the right foot from the start and to mitigate risk.
Reference Your Tenants
Through adequate references, you’ll be able to tell a lot about a tenant’s background. This includes their credit history, their job, background and their current employment status. This is done to check their suitability as well as ensuring they’re able to pay the rent on time. This is absolutely imperative and will allow you to make fast decisions, based on a thorough evaluation, without taking silly risks.
Have a Written Tenancy Agreement
A written agreement via an online property agent will allow you to have a record of their tenancy as well as guidelines stipulated by you, the landlord. This is a formal, legally binding agreement which can be made for a fixed term or a periodic tenancy. Its purpose is to state both tenant and landlord rights and with whom responsibility lies, regarding facets of the property itself. Remember to include:
- The names of both tenant(s) and landlord
- Rental prices and payment protocol
- When the rent will be reviewed
- The deposit amount and how it will be safeguarded
- The circumstances in which deposits can be withheld
- Start and end dates of the tenancy
- Subletting conditions
- Responsibilities of both tenant and landlord
- The tenancy must be signed and dated
By carrying out regular inspections, you’ll identify any potential problems before they become more serious. This is also a good way to get a casual look at the property and see if it’s being treated well, as well as establishing a relationship with those who are renting.
In an absolute worst case scenario, having the right insurance should anything go wrong is absolutely essential and will ensure you’re covered. Investigating insurance specifically tailored to landlords is a quick and easy process and – quite possibly – won’t end up costing you nearly as much as you may have imagined – both in the long and the short term.
PropertyLoop is the world’s first commission free lettings platform. Our platform allows landlords to advertise their rental, reference tenants, curate an agreement, register the deposit and collect rent completely for free! There are no hidden charges, upfront fees or any catches.
Built by experienced property investors and landlords, PropertyLoop connects renters with the owners directly. Your property is featured on all major search and comparison portals as well as advertised by PropertyLoop everywhere else on the Internet. You don’t have to worry about finding the good renters, that’s the job for the platform. Receive offers straight to your mailbox and select the renters that are right for your property. Need access to busy London property market? No problem at all! PropertyLoop is the London market specialist with years of experience and unique knowledge. Whatever your needs are, you can always speak to friendly support staff. Renting property is made as simple as one, two, three.