7 Tips to Pick the Right Tenant for your Home
Having a home and planning to let it out for rent? Finding and choosing the right tenant for your home is too hard for an owner these days. The right tenant will help you to keep the property safe and also assure you rental returns at the apt time.
As the property owner, you should have certain points in mind before letting out the home for rent especially the flats in Chennai. To make it convenient for owners, here are a few tips to aid you in choosing the right one:
1. Talk to the prospective tenant:
The first and foremost step is to have a conversation with a prospective tenant. Be cut straight about your expectation from the tenant as a landlord. By this conversation find out if the tenant will be able to pay the rent on time every month. This interaction can help you to arrive at a conclusion about the financial ability of the tenant.
2. Find the correct type of tenant:
While looking for tenants, it is better to zero down on the type of tenant you are planning to rent the property to. If it is a spacious 2BHK or 3 BHK apartments for sale in Chennai, a family would be the apt tenant and if the home is a compact 2BHK or a 1BHK property, then bachelors or students would be the right tenant to choose. While they visit the property, it is advisable to highlight the advantages of the location and the convenience that the home provides to the residents.
3. Focus on the location in mind:
The location also plays a pivotal role in finding the tenant. If the property is located close to an IT corridor/colleges, then college students and IT workforce would be the prospective catch. For instance, in Chennai, Alliance Galleria Residences’ apartments for sale in Pallavaram Radial Road that is close to the IT corridor, and most of the people who rent properties in the projects nearby are people working in the IT industry. These people look for properties for rent online and it is a smart move to advertise the availability of space in classifieds and listing sites on the internet.
4. Do not hold prejudices:
Most landlords have a prejudiced opinion about renting the place to bachelors/college students. This arises because we assume that they end up ruining the place and do not pay the rent on time. Instead, you can draw a legal agreement stating all the conditions about the use of the property and the penalties incurred if it is abused in any way.
5. Fair advance deposit:
In the rental sector, landlords usually ask for a security deposit along with advance first-month rent. Be fair in this aspect and ask for a 3 to 6 month’s advance security deposit. Do not ask for a year’s rent as the advance deposit. If the tenant finds it difficult to settle at least a 3-month’s advance deposit, it is better to look for another prospective tenant.
6. Discuss the time period:
Discuss if the tenant is planning to stay at least for a certain time period. As the owner, you might have an expectation for this time period and the property might be needed for your own personal use later. It is advisable to draw a legal agreement for 11 months, which is the usual time period agreed upon legally in the rental sector.
7. Verify before finalizing:
Before drawing up a legal agreement with the tenant, it is advisable to verify them with a background check. Legally, the police department does this for new tenants and residents of a locality. Ask for a copy of the verification documents and keep it with you for safety.
While doing all this to choose the right tenant, you should also be fair and ethical in the whole process. Do not have prejudices and judge anyone based on religion, caste, color, age or creed. Make sure that you treat every potential tenant kindly and be considerate of their needs and expectations.