In 2012, nearly 60% of landlords had issues with tenants not paying their rent on time. Thankfully, the situation has improved in recent years – however, it’s a problem that most landlords dread, and would go to great lengths to avoid.
Here’s a quick guide, detailing how to identify problem tenants – and steer clear of them.
Investing in Property in the UK? Pick the Right Tenants!
If you’re looking for buy-to-let property for sale, and want to make a steady, reliable income from your tenants, here’s a guide to help you achieve it.
- Do the relevant background checks. Finding out as much information as you can about your potential tenants is a wise move – and ensures you avoid problems further down the line. Gather references from previous landlords or employers, as this will help you establish how reliable they are, and give you an idea about their character. You are also legally allowed to ask for bank statements for the last three months, and to perform credit checks – to make sure they haven’t committed fraud in the past.
- Proof of identity. It’s important to make sure that your tenant is who they say they are. Ask for proof of identity (such as a passport or work permit), and ask for proof of their current address. An insurance or tax document is ideal.
- Interview them. Performing the necessary checks is incredibly important. However, it’s also important to listen to your gut response. The only way you can form an impression of a tenant is to interview them in person. Ask them questions about their previous tenancy and their employment, to gain better insight into what they’re like as a tenant, and whether or not they’re a reliable employee. An interview is also a great time to establish some rules and outline your expectations as a landlord – to avoid confusion further down the line.
Top Property Investment Tips – Avoiding Disputes
Your property investment in the UK should be securely protected at all times – and avoiding problems and disputes with your tenants should be a top priority. Here’s a few ways you can achieve this.
- Take an inventory. Before your tenant moves in, take a thorough inventory of the property and its contents, with photos. Your tenant is legally allowed to double-check this inventory and point out any discrepancies they notice. Once you’ve both agreed on it, you then have a document, in writing, that can be used in future, in the event of a problem arising.
- Conduct regular inspections. Every two or three months, visit the property to carry out an inspection – to ensure the tenant is behaving in accordance with the rules outlined in the contract. Regular inspections ensure that problems are dealt with swiftly – before they turn into major issues.
- Work with a property management company. A property management company will charge a fee, but will take on the responsibility for you – which offers greater peace of mind.
The Buy2Let Shop in Bromley
If you’re seeking buy-to-let property for sale, or you’d like help with identifying property investment opportunities, talk to The Buy2Let Shop. We’re property investment agents in London, and we have a range of houses and apartments on our books – which aren’t available on the general market.
We also offer assistance with buying a house at auction and regularly host property investment seminars. To find out more, simply visit The Buy2Let Shop website today.