Tuesday, April 15, 2014
Tenants who do not pay rent on time or at all are a landlord's worst nightmare. However, this is not the only issue that they have to deal with. Landlords also face having to deal with property damages that go over the boundaries of natural wear and tear from everyday living. These problems are real risks that may result in loss of income or incurring liabilities and expenses. While there is no absolute, fail-safe way to eliminate bad tenants, there are things you can do to curb your losses. Get some tips...
Get to know a potential tenant while you’re still in talks regarding the rental agreement. Get a background check if possible. While this action may seem a bit forward, it’s better to be safe than sorry. Background checks may help uncover red flags such as unpaid bills and other warning signs.
Clear rental agreement
Discuss the fees, rules and each party’s rights and responsibilities. It’s always best to get these details in writing. A clear rental agreement that is signed by both you and the tenant will serve as solid proof you can go back to, should a problem or dispute arise.
A security deposit pertains to a certain sum of money that should be collected from the renter at the start of the rental contract. This money will serve as leverage for costs, just in case the renter suddenly ups and leaves without paying rent or causes severe damage to your property.