Looking for the perfect tenant somewhat sounds like a personal ad:

“Must be financially independent, be respectful and law-abiding, keep a good home and be willing to commit to a 12-month relationship. The applicant will ideally also have good communication skills. Previous applicants need not apply.”

At least when it comes to vetting and selecting the perfect tenant, there are more reliable screening systems and physical pointers in place than trying to find the perfect partner.

The level of detail in our comprehensive application form allows us to fully assess information such as the tenant’s employment, background, credit, and prior leasing history.

Here are just some points of reference we use in the screening process when selecting the perfect tenant.

• Identification

We need to know a person is who they say they are and aren’t here illegally, so we check all identification documents such as passport and/or driver’s licence and sight utility bills in the tenant’s name.

• Rental history

Following up on previous landlords and property managers will give us a good indication about rental history. We ask questions related to late rental payments, damage to property and a tenant’s behaviour in general.

• Ability to pay

As well as the current employment status (including income and how long they have worked for their current employer), to establish a good employment record, we also sometimes contact past employers.

Providing three months of payslips or bank statements gives us confirmation and proof of income, and by using referencing services, we get an indication of their credit history and whether they pay on time.

• National Tenancy Information Centre of Australia

We always perform a search of this database to see if the applicant has been listed as a ‘bad’ tenant.

Warning bells

When we are going through the above processes, there are some aspects which may give us cause for concern, such as a thin employment history and reluctance to provide proof of income. Even if a prospective tenant has a good employment history and proof of income, we also look at the cost of living ratios so we are comfortable they can actually afford the rent, as well as eat!

While a prospective tenant negotiating on rental prices isn’t always a bad thing, (for instance, if the property is currently undergoing renovations), when they try to negotiate the bond amount or ask to pay after they’ve moved in, we are concerned. A requirement of EBM RentCover policies is that a bond of at least four weeks must be paid and lodged with the relevant authority as per legislation.

Meeting prospective tenants

Obviously, if we’re happy with what we see on paper, the checks are all good, and no warning bells have been rung, the final step in the process is to meet a potential tenant in person. Call it gut instinct, but with 40 years in the business we’re very good at picking up on who is a genuine person and will be a good tenant, and those who won’t be.

We use the best marketing techniques and screening technology to find good tenants and once we do, we manage them, keep your property properly maintained through our network of skilled trades people and ensure you’re compliant with the latest legislation.

If you want to know more about our property management services or investing in property, get in touch. Simply give us a ring on 02 4956 9777, send us an email to mail@newcastlepropertymanagement.com.au or pop into our Cardiff office for a chat.

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