Tenant placement is one of our favorite topics, and not just because we’re quite good at it.
We love talking about finding the right, most reliable tenants for rental properties because it’s such an important part of a successful and profitable rental experience. So much of your earnings and your profitability depends on keeping your property occupied with tenants who pay rent on time, take care of the home, and renew the lease agreement.
So let’s take a look at how to find and screen the high-quality residents we’re always looking for. Here’s our comprehensive guide to marketing and screening for great renters.
Set Competitive Rent Prices
Pricing is an important part of finding and attracting well-qualified tenants.
When you have a renter with a great credit score, sustainable income, and a solid rental history, that renter knows that they can go anywhere and they’ll get approved for the rental home that they want. So, you have to make sure that your home is the one they want.
Good tenants won’t overpay for a property.
This is why it’s so crucial to offer fair market-value rent prices. It attracts tenants and when it’s time to offer a lease renewal, it retains them. Do some local research of your own, and when it’s time to actually set the rental price, access some accurate and timely data and analytics that can be provided by a local property management team like ours.
Overpriced units lead to high vacancy rates, while reasonably priced units attract stable and reliable tenants who see value in the property and its lease. Long-term tenants are well-educated on the local rental market. They are looking for a well-maintained home in a good neighborhood with a competitive rental price.
This doesn’t mean you have to drop your asking price too much. You want to be competitive, but you also want to be profitable. That’s how our data and local expertise can help.
Offer a Rental Home that Great Tenants Will Want to Call Home
After the price is right, you have to provide a property that good tenants will want to rent for the long-term.
Focus on maintaining a clean, functional, and appealing property that stands out in the local rental market. Pay attention to things like:
- Curb appeal. First impressions matter. What does your property look like when tenants arrive for a showing or drive by to do some advance work? The grass should be mowed and the bushes trimmed. Make sure there’s not a lot of debris floating around out there. Curb appeal needs to be welcoming and clean in order to attract the best and most reliable tenants to your property.
- Maintenance. Everything has to be functional before you list your property. Don’t promise to make repairs later. Check every sink, flush every toilet, and turn on every appliance. You need to know your property is move-in ready.
- Upgrades and amenities. Showcase any recent upgrades, such as new floors or updated kitchen appliances. The best tenants are more likely to choose homes with features and amenities such as in-unit laundry, hard surface flooring, fresh paint, and energy-efficient appliances.
Smart rental property owners and property managers are creating an environment tenants want to stay in over the long term. Get their attention and hold it with a fantastic property that anyone would be thrilled to rent.
Marketing Your Rental Home to Reliable Tenants
Marketing makes a difference in how quickly you’re able to attract tenants. It also impacts the types of tenants who decide to schedule a showing. It’s important to invest in good marketing. You might have the best rental property on the market, but that won’t matter if the best tenants don’t know how to find it online.
Here are some of the things we focus on when marketing a rental home:
- Outstanding Photography and Video
Always use professional-level photography when you market your rental home. The online rental market is a visual space, and tenants will flip through those photos before they invest too much time in your listing. Give them a reason to pause on your listing and take a closer look. You want your pictures to showcase a clean, well-lit, and attractive space. Consider making a walk-through video as well. With video, tenants can feel like they’re seeing the home in real time.
The visual elements of your listing should tell a story. This is your best opportunity to give prospective tenants an idea of what it would be like to live in your property. When they can connect emotionally, they’ll be more likely to schedule a showing and complete an application.
- Detailed and Concise Descriptions
Reliable tenants are looking for property descriptions that are interesting and easy to read. You do not want to simply make a list of features. Instead, create compelling and engaging descriptions that paint a picture of what living in the property will be like. Highlight unique selling points such as a recently renovated kitchen, proximity to beaches and schools, or the walk-in closets in your primary bedroom.
Don’t make the description too long; today’s tenants aren’t going to read anything that takes them away from the photos and out of the idea of living in your property. You’ll want to include all the pertinent details, such as rental amount, move-in dates, and whether pets are allowed.
- Leverage Social Media
The online rental websites are great, but don’t limit your marketing to just those platforms. Good tenants in this market are showing up on social media as well. If you want to be innovative, you’ll market your property on Instagram, Facebook, and even LinkedIn. Social media is an important tool that allows you to share and engage. You can even pay for advertising to ensure your listing gets in front of more people, quickly.
Prioritize Tenant Screening
Finding and placing reliable tenants is about marketing, providing a great property, and establishing the right rental price.
More than anything, though, it’s about screening.
Carefully evaluate prospective tenants to ensure they meet your criteria.
Establish a set of standards that must be met before a tenant can be approved to rent your property. Don’t be afraid to start with a bit of pre-screening when they call for more information or come to a showing. It’s a good opportunity to ask about income and to find out why they’re leaving their current property.
Put your criteria in writing and provide it to anyone who may be interested in applying to rent your home. This will allow you to further screen potential tenants before they even turn in an application. Be specific. For example, you may want tenants who earn at least three times the rental amount. Perhaps there’s a minimum credit score you’ll consider. Or, you won’t accept any evictions in the last 10 years.
Having a documented set of criteria will protect you against any potentially expensive fair housing mistakes. Your criteria demonstrates the objective standards that every applicant must meet.
Once you have a completed application that’s signed, you will want to run complete background, credit, and criminal checks. The specific things you’re looking for are:
- Income and employment
- Credit and financial stability
- Criminal history and eviction history
- Landlord references and rental history
Renting to well-qualified tenants will result in less risk for eviction, property damage, late rent payments, and lease violations. It will ensure a profitable, long-term tenancy that serves you, your property, and your investment goals.
When your applicants understand what you’re looking for, you have a good chance of finding highly qualified residents who can be counted on to pay rent, take care of your property, and follow the terms of the lease agreement.
Retaining Tenants for the Long Term
The goal is to find good tenants for more than just a single lease term.
When you find and place high-quality residents, do everything you can to keep them for the long term. We have found that it’s much easier to retain tenants when you’re providing an excellent rental experience that keeps them happy in their homes. By responding quickly to maintenance, there’s a better chance you’ll retain your tenants.
Keeping rental increases reasonable and market-driven will also help.
When properties are attractive, well-maintained, and owners or property managers are responsive, you’ll find that tenants are more comfortable and satisfied, which boosts retention rates and contributes to longer leases. Good tenants want to work with owners who are serious about the condition of their investment, and they’ll be more willing to partner with us in taking care of it.
This is a guide to finding and placing good tenants for your property, but there’s a lot more to it than what we’ve discussed. Let’s continue that conversation.
Contact our team at Realty Group of Southwest Florida when it’s time to identify, attract, and place a reliable long-term tenant for your rental property. Our team can be found managing rental homes and the tenants who occupy them in Estero, Bonita Springs, Naples, Fort Myers, and Cape Coral.
