As a landlord, you are legally free to set whatever conditions you want for a tenancy as long as they are related to business and don't violate any laws.
This allows you to be more exclusive in your search for the right tenants. Good tenants are hard to come by but with the right tenant placement process, you'll have a pool of them waiting to fill out an application.
Keep reading to learn how.
Attract Good Tenants
The first goal of the tenant placement process should be to attract the right tenants. You can do this by creating a quality ad. The ad should include, but is not limited to, the following:
- Property photography and/or virtual videos
- Property location details
- Number of beds/baths
- Monthly rent
- Property amenities
- Included utilities
- Available move-in date
Keep your ad simple but don't omit any important details. The last thing to include should be your contact information so interested parties can get in touch with you about the property.
Create the Perfect Showing
The first impression of a real estate property is unforgettable for potential tenants. Before placing a tenant, you have to dazzle them. Even if the unit isn't right for them, they might know someone that fits it.
You can organize the perfect showing in five simple steps:
- Interior staging
- Exterior staging
- Preparing flyers
- Mastering your presentation
- Speaking their language
Although all pieces of the process are important, mastering your presentation and speaking their language are keys to landing the right tenant.
Renters are going to have questions and you need to prepare to answer them by knowing everything about the property. Speaking their language can help you build trust.
Screen Interested Tenants
When you invest in real estate, you should also invest in a tenant screening service. This ensures the best people are living on your property and taking care of it.
You would never buy property without seeing it first which is why you should never accept a rental application without first screening a tenant.
Although you can get a good idea of who a tenant is during the showing, it could be a facade. A property management company that offers tenant screening services is worth your money.
Spot Tenant Red Flags
The last step of the tenant placement process is spotting red flags of a bad tenant. Red flags that you can note in a simple conversation are:
- Frequent movers
- First-time renters
- Mysterious occupants
If they are hesitant to answer yes/no questions, they might be hiding something.
You can also conduct a background and credit check to ensure their application answers are accurate. Keep in mind that you must use a Consumer Reporting Agency (CRA) to obtain credit information.
If you choose, you can ask tenants to provide personal references to back up their reputation as good tenants.
Creating a Tenant Placement Process That Works for You
A tenant placement process might require a few more steps than you are currently doing, but it is well worth it in the end.
To attract the best tenants, create ads with accurate and detailed information. Once you find interested parties, give them a property showing that will blow their minds.
From there, you can screen tenants and look for red flags before accepting an application.
If you need help with all of these steps, our Memphis property management services provide the right tools for you. Contact us today to get started.