Searching for the right property is not the only thing you need to prioritise when becoming a property investor. The success or failure of your investment journey can also be influenced by your choice of tenant.
Various factors will come into play when looking for your ideal tenant, such as, the type of property and the demographic of the area. Among other things, having a tenant with great references, sufficient income to be able to afford the property and a good rental history is important. It is therefore important to screen your prospective tenants well before approving their application.
Going the Extra Mile
Ideally it is good to secure a long term tenant as this ensures a steady stream of cash flow and less fair wear and tear on the property. When your tenants are in place long term you also do not have the expenses of reletting, advertising and potential vacancy time.
So, how do you get a good tenant to stay longer? It is important to ensure that any concerns and issues regarding the property are dealt with promptly. Should you increase the rent, make sure it is in line with current market rates. If the tenants are considering moving, find out why. It may be for a reason that can easily be resolved such as installing air-conditioning.
The location of your property will greatly influence the type of tenants you attract. If you are wanting to attract a particular type of tenant, you must consider the suburb, the amenities and the schools close by. Are there shops around the area? Are there good schools in the area? How close is the CBD? Research your target market to help you attract the right kind of tenant. This will give you the best opportunity to hand pick the tenants that you think are the best fit for your property.
Finding the Right Tenant for Your Property
The first thing is to attract attention to your property. This is done through a good marketing strategy and a well presented property. First impressions count so it needs to be enticing to viewers.
Once you have received your applications from your potential tenants, you must start doing the background checks. The screening process is one of the most crucial stages and should be dealt with attention to detail whilst making sure you do not steer away from your standard criteria. Contact each one of the prospective tenant’s references, both landlord references and employment references and be sure to ask all the necessary questions so you can form a good idea about a person’s track record. Also tenants must be checked against tenancy blacklist databases such as the National Tenancy Database.
Hard work, time and focus goes into searching for a reliable tenant. To avoid failure in this area of your investment property, this process should not be overlooked. If you are unsure if you can commit a considerable amount of time in the search for the right tenant whilst overseeing other equally important aspects of your investment, Orbit Property could be for you. We offer good old fashioned service that delivers outstanding results. Our team are property investors ourselves, so we understand the value of a good tenant and you can rest assure that your property is in the best hands.
For further information, call us on 1800 899 751 or contact us here.