Over the years, since we have been in the property management business, we have found there are many elements to tenant placement that are key to making a profit. We’re talking about two of them today.
Renting to Friends and Family
If you want to find the best tenant, don’t rent to friends and family members. Nine times out of ten this ends badly and you always lose as the landlord. While the intentions of your friends and family are probably good, they will take advantage of you. They look at you as rich just because you have a home of your own plus this rental property. They probably know about your investments, and if they are renting, they probably have some issues in their own financial situation that prevents them from owning their own home. That’s generally why people rent, and they will exploit your friendship if they’re having financial problems. When we pick up a property with an existing tenant, the owner is usually in trouble and needs us to intervene. In many cases, we need to get that tenant out. We have seen owners let the rent go for years simply because they had a personal relationship with their tenant. Our advice is – no matter how tempting, don’t rent to friends and family. Your rental is a business, and you need to treat it like one.
Background and Employment Checks
Screening a tenant is an important part of renting a property, and not performing thorough background and employment checks is a major mistake. As an owner, you may not know how to perform these checks, and the law does make it difficult for a private citizen to do them. You must be aware of privacy laws and how they can get you into legal trouble. If you mishandle tenant information, a complaint can be filed against you and you will have the burden of proof to demonstrate you have handled private information appropriately. Our advice is to hire a licensed property management company to do tenant placement. This keeps everything objective and private, and you’ll stay out of legal trouble. You’ll also get a great tenant. There are lots of factors that go into finding the right tenant. It’s never easy. Many owners think professional management costs too much, until they have that one bad tenant. At Atlanta Area Property and Management, we find the best tenant. If we continue with management services, we will guarantee that tenant.
Before you sign your lease, make sure you’re making a sound business decision and not an emotional one. For help with tenant screening in Marietta or anything pertaining to property management in Atlanta, please contact us.