Types of Tenants You Should Avoid
Renting out a property is a challenging and time-consuming task. Even if you hire estate agents to manage your property, you should still keep on top of them to ensure they are not placing any undesirable tenants in your home.
To make your life a little bit easier, we have put together this guide to warn you of some of the ‘problem tenants’ you might want to avoid.
Renting out your property to a tenant who has been evicted can end up being a costly mistake. There will be a reason the tenant has been previously evicted, if you can find out what this reason is, it might help you decide if you can trust them. If not, it might prove harmful to your home and your income.
Tenants With Bad Credit
A tenant who already has a poor credit score has nothing to lose when it comes to late or missed payments. Since their credit is already low, the threat of rent collection warnings may not affect them too much. To avoid this problem, you should always run a credit check when you screen tenants.
Tenants With Poor Rental Stability
You should avoid renting out your property to tenants who seem to bounce from place to place. It is costly to run all the checks you need to as a landlord, if you house someone who is going to leave after a few months you will have to incur this cost all over again. Look for tenants who stay in their properties for several years, as these are less likely to move on so quickly.
Tenants With No Security Deposit
You should never let a tenant move in without a security deposit. Even if they promise it is coming, and make excuses for the late payment, this should still be perceived as a bad omen. If a tenant is unable to save for a deposit, it is likely they’ll have issues paying rent.
Tenants Without References
References from a previous landlord can be a great way to assess a tenant, and find out if they will be a good fit for your property. If you ask potential tenants for a reference, and they are unable/ unwilling to provide one, this could be a bad sign.
These are only some of the tenants you should avoid, there will always be more. Extensive screening is the only way to protect yourself from a contract with one of the above tenants!