Arrears, void periods and damages are almost always the top three landlord concerns.
So what can you do to minimise the risk and impact of your tenant falling into arrears?
Here are my top four tips:
1 – Comprehensive Referencing
Make sure that you check into the background of your tenant. For example – do they have a good credit history? Steady job? Bank account? Previous good tenancy? Can they afford the rent? Also, are they actually who they say they are?
If you’re using an agent, ask them about their referencing procedures and those of any third party companies they use.
2 – Trust your instincts
Spend time getting to know your tenant before they sign on the dotted line. Is this someone you that you feel you can trust and will be able to work with over the period of the tenancy?
3 – Protect yourself
If you have successfully referenced your tenant, you will be able to purchase a Rent and Legal Policy which will provide you with cover for arrears and the legal costs associated with eviction.
At Belvoir Enfield our bespoke Rent and Legal Policy is included free of charge with our Full Management Service.
4 – Keep Communicating
Regular communication with the tenant is essential to help you identify any issues early, so that they can be dealt with. Some flexibility is important as anyone can have an emergency that affects their cash flow for the month. If your tenant loses their job they may be eligible for benefits which you or your agent can help them to apply for. This would enable them to continue paying their rent.
If you are in the unfortunate situation where you need to evict your tenant, it is crucial that you follow the correct legal procedure.
