How to find great tenants for your rental property

A well-maintained property is like a magnet for serious tenants and a wise investment in the value of your rental property. Here are some actionable steps you can take to get your property renter ready:

• Regular inspections. Schedule regular property inspections to identify issues that need fixing. This proactive approach helps you avoid more costly repairs down the line.
• Cleanliness. Ensure the property is thoroughly cleaned before tenant viewings. A tidy property not only looks inviting, but also signals you are a landlord who takes good care of your rentals.
• Curb appeal. Good first impressions are powerful. Consider investing in things like landscaping, fresh paint or perhaps new outdoor lighting to make your property stand out. Learn more about how to easily increase your curb appeal here: 6 simple renovation ideas to upgrade your home's curb appeal.

A well-thought-out advertising plan can help you attract the right tenants. Try using these strategies:

• Targeted advertising. Know who your ideal tenants are so you can tailor your advertising to appeal to them. For example, this might involve highlighting certain features of your property, like a gourmet kitchen or a Jacuzzi tub, and choosing the most appropriate platforms for your listing.
• Quality over quantity. Instead of focusing on the number of inquiries you get, aim for quality. Use high-quality photos and detailed descriptions to attract the right prospective tenants who are a good fit for your property.

Understanding your competition is key. Stay in the know and keep up-to-date so that you'll find the sweet spot in your area. Keep the following in mind:

• Market research. Check area listings regularly for similar properties to get an idea of current rental rates and attractive amenities.
• Pricing strategy. Do your research to set a competitive rental price. Remember, pricing too high can deter potential tenants who might be suitable, while pricing too low can cut into your profits.
• Value for money. Look for ways your property can offer tenants good value, like unique amenities that similarly priced properties in the area don't offer. These might include in-unit laundry facilities or bundling the cost of utilities into the rental price.

Setting clear expectations upfront can help prevent misunderstandings between landlords and tenants. Take note of these tips:

• Be transparent. Disclose your rules and expectations upfront in your listings and during property viewings. Doing this helps filter out tenants who may not be a good fit.
• Get it in writing. Include your rules in a written agreement — either the rental agreement itself or as an attached document. This can cover policies related to pets, smoking, late rent payments and property maintenance, plus what rental fees cover and do not cover.
• Be flexible. Be prepared to bend a rule or two with a prospective tenant to help build a positive relationship. For example, you could decide to allow pets on a case-by-case basis.

A comprehensive screening process is crucial for finding reliable, quality tenants. Here are some top considerations:

• Credit checks. Get a potential tenant's consent to perform a credit check so you can gauge their financial history. This helps you assess their ability to pay rent consistently.
• Income verification. Confirming a prospective tenant's income helps to ensure they can afford the rent and reduces the likelihood of financial issues in the future.
• Background check. Prioritize your property's safety and security by conducting criminal background checks as part of your screening process. Be sure to get the applicant's permission first.

Checking a prospective tenant's references can help you feel more confident in your selection. Consider these checks:

• Past landlords. Reach out to previous landlords to get a sense of the tenant's respect for property and financial reliability.
• Employment confirmation. Verifying a tenant's employment status can provide some reassurance of their financial stability.
• Personal references. Get a clearer perspective on a potential tenant's reliability by checking personal references.

A good landlord-tenant relationship can make the rental experience more enjoyable. To cultivate a respectful relationship with your tenant, you'll want to:

• Demonstrate professionalism. Set a positive tone for your relationship by communicating with your tenants in a respectful, professional manner.
• Respond promptly. Show your tenants you value your relationship with them by responding to their concerns and requests promptly.
• Be proactive with your communication. Regularly check in with your tenants to make sure their needs are being met. Being proactive helps flag minor issues before they become major ones.

As a successful landlord, you may want to focus on what you can control. Maintaining your property, finding the right tenants and building a good relationship with them are all within your grasp.

Don't forget this is also a financial journey. Establish a solid foundation for your new venture and ensure you're well-prepared with tools like a budget calculator.

¹ Rentals.ca August 2023 Rent Report Opens in a new window.