At Elevate, we look at 5 (five) key areas to determine what makes a quality tenant to put forward to our property owners.
- Financial capacity
We need to ensure the capacity to pay for the rent is possible. i.e having more than 30% of income going to rent can cause concern, creating potential future stress levels, non payment and further issues in the long run (a good article can be found here to give you an indication – click here)
rent.com.au also present an interesting take on renting – click here
2. Employment stability
Ideally, having steady employment for more than 6 months + helps. Obviously we deal with plenty of people in contract work, just moving from interstate or from overseas, so this is taken into account with savings and other forms of income and guarantees
3. Rental history
Having a clear indication of past behaviour is an incredibly good measure of future performance. Obtaining a rental ledger is extremely helpful in identifying past issues – this is one of the more important documents your agent can utilise when making a recommendation, or otherwise
Providing timely and easy access for properties is crucial in effective management (including open for inspections, routine inspections, trades and other stakeholders) ‘Time is money’ in rescheduling and the stress involved in having difficult tenants
5. Bond & incidents
Were there any incidents with their previous rental property/ies and were they of a minor or serious nature? Were there any deductions from the Bond and if so, what was it for? These are just some of the questions we ask your potential tenant/s and their references
After we are satisfied with these factors and consulted with our owners, we then proceed to making an offer to the tenants and seek a subsequent deposit and lease signing. The all parties are able to enjoy a professional and beneficial working relationship – as it really starts at this all important reference checking stage.
Have you had a good or bad experience with tenants?
Or another question is, what has been the longest time a tenant has been with you and your property or conversely, how long have you been a tenant for in one property? With our agency, we find tenants on averagetend to stick around 18 months – 2 years.