How To Avoid Renting To Problematic Tenants
Written by: Remington Joseph
In a recent story from Maclean’s, it was reported that a couple living in Thornhill rented out their home and ended up with a disastrous tenant who took total advantage of them, ruining their precious property in the process. While a story like this is a complete nightmare that often scares homeowners considering renting, we want to let you know that there are things you can do to avoid these kinds of situations. If you’re considering renting out your home, here are a few things you can do to mitigate the chances of ending up with a problematic tenant.
Make Sure To Have Paperwork
While it might seem like a chore, paperwork is the most basic step you can take when it comes to protecting yourself from being taken advantage of in nearly any aspect of real estate. By having interested tenants fill out application forms, you can get a good sense of the type of person you’re dealing with before you’ve even met them. You’ll be able to learn their job, their current income level, credit score, and their renting history, complete with a few references. It won’t guarantee you the perfect tenant, but it’s a great way to start.
Make Follow-Up Calls
Having interested tenants fill out paperwork is a great first step, but it won’t be nearly as effective if you don’t take advantage of the new information. To do that, it’s imperative that you contact the references that applicants list. Applicants will usually present the best version of themselves, so it helps a great deal to get a second opinion from an unbiased third party. If a previous homeowner faced a negative experience, there’s a good chance they won’t be shy about sharing it. Take their warnings to heart. Be sure to ask specific and thoughful questions to ensure that the reference provided isn't just their friend pretending to be the landlord.
Browse The Web
Through the power of the internet, very few people are a true mystery. If you want to shine a light on a potential tenant, you can do so yourself with a little digital sleuthing. To give yourself a sense of their lifestyle, take a look at their social media pages. These might not always be the most accurate representation of their lives, but it will give you a better idea of the type of person they are. Combining this method with the ones mentioned above, you’ll get to know the tenant from a financial perspective as well as a personal one.
Sticky situations with bad tenants do happen, sometimes without any warning signs. Following these steps however, you can do a lot to mitigate the risk. More importantly, having an experienced real estate agent in your corner can give you a major advantage when it comes to looking for tenants. There’s a high chance they’ll be able to catch any red flags you miss, ensuring that you end up with a tenant who treats you and your home with respect.