Inspire

Innovative Techniques To Find Good Renters

BY MICHELLE GAMBLE

Good renters are the lifeblood of property ownership success. A good renter pays rent on time, follows the terms of their rental agreements, maintains the property with care and concern as if it were their own, and makes a great neighbor by acting respectful toward others. When property owners have good renters in their homes or units, they worry less and can keep their attention on running the business to improve services, which renters appreciate. The problem is that it’s not always easy to find high-quality renters. So, what can property owners do to find good, reliable renters?

“When you find good renters, you want to hang on to them for as long as possible,” said Nick Mueller, director of operations for HawaiianIslands.com. “Building a relationship with your renters is important. They need to know that you’ll come to their aid when needed and that you’re willing to fix whatever needs to be fixed as quickly as you can.”

Cast A Wide Net

When trying to find good renters, you want a large pool of prospects to choose from. This means you will want to cast a wide net and not just use the most common online tools like Zillow, Trulia or Apartment.com. Extend your search by using every avenue possible, such as Rentometer or Facebook Marketplace. “I recommend joining local Facebook groups,” said Brandon Mackie, co-Founder and CRO at Pickleheads. “Mid-to-large city Facebook groups can have upwards of 50K members where you can post an advertisement and be guaranteed interest in your comment section. Facebook is a great medium to communicate with potential renters and to get a small look into their personalities and lifestyles.”

“Realtor.com is my top suggestion,” said Steven Holmes, senior investment advisor at iCash. “You can use this website for advertising your rental home for free. They even have a mobile app, which is currently what most renters choose to utilize. Realtor. com can handle both rentals and home sales for you if you would like. Cozy. co, which is my second recommendation, is free to use. Cozy combines several elements into a single platform for property management. These elements include a lease, listings, rental applications, credit, background checks, and rent collection.”

Also, don’t underestimate the value of word of mouth. Tell your coworkers, colleagues, associates, and friends about your properties. “Personal referrals from existing good renters are an excellent way to bring more good renters to your property,” said Leonard Ang, CEO of iPropertyManagement Leasing. “Consider offering a referral incentive to your better renters.”

Thorough Renter Screening

Next, you will want to create and manage an excellent renter screening process. Remember to follow the rules and regulations in your city, county or state since specific laws apply to prevent discrimination. Neglecting to follow the rules can lead to legal problems and lawsuits.

“Strategically creating a rental application form is the first step in screening potential renters,” said Holmes. “All of your renters should be aware of the regulations and expectations in the application. Additionally, try to find out the applicant’s job situation and previous rental experiences. Verify one or more of their previous addresses first. Contact the property owners and inquire about their experiences in detail.”

“It also important to verify the accuracy of their information with third-party sources,” said Michael Branson, CEO of All Reverse Mortgage, Inc. “Additionally, you may want to require background checks for all prospective renters as well as ask for references from previous property owners and employers.”

Branson continued, “Be sure to have a written lease agreement in place for all renters that clearly outlines their responsibilities and your expectations as the property owner. This should include details about payment due dates, late fees and eviction policy if applicable. The lease agreement should also include specific language about property damage including the consequences of any destruction or neglectfulness of the property by the renter such as repair costs or replacement value if applicable.”

Renter Retention

Once you’ve attracted high-value renters, time to do your part to keep them happy. If you don’t treat good renters with respect, courtesy, responsiveness, and care, you’ll lose them and will have wasted valuable time and effort to attract them in the first place.

“There are a few steps you can take to maintain good relations with your renters,” said Branson. “First, be clear to renters about expectations and rules related to their lease agreement prior to signing the contract. This helps set the stage for a positive property owner-renter relationship.

“Second, be open and communicative throughout the renter’s experience,” he continued. “Respond promptly when they have questions or issues that need addressing so they feel heard and respected. Third, provide essential amenities that make living in your rental more comfortable, such as timely repairs and regular maintenance checks. Finally, show appreciation for rent payments on time by sending thank-you cards or offering small rewards like discounts on rent or other services associated with their stay. These measures can go a long way in cultivating strong renter relationships over time.”

“Maintaining good renter relations is all about open and honest communication,” said Henry Weinstock, licensed real estate salesperson at Compass. com. “Real estate is a relationship business and needs to be treated as such. You must build a rapport with your clients by being hardworking, communicative, and up to date on the market conditions. If you are not trustworthy, your client will not feel that you have their best interests in mind. One big tip is also to not take yourself too seriously! Make the process lighthearted for your renter while still maintaining a professional relationship, and they will be so thankful they used you.”

Michelle Gamble is the editor of Rental Housing Magazine.