Committing your investment property to a tenancy with what essentially is a stranger may seem a daunting prospect, but the trick is to find the ‘perfect stranger’ to sign on the tenancy agreement dotted line.

Credit checking and referencing are essential parts of finding your perfect tenant, but asking the right questions and looking the them in the eye when they reply can go a long way to assessing who should be living, and ultimately caring and paying for your investment.

Here are five essential questions we always ask:

Question #1 – Why are you moving?

This simple, open question gives the tenant an opportunity to give a bit about their life history and gives us a lot of useful information about their past behaviour. Common reasons include:

• Moving to a new area due to work
• Wanting for more space
• Wanting a garden
• Reducing commute time

Of course, while these are legitimate reasons for moving, we always seek verification from their current, and often past, landlord just to make sure their story checks out.

Question #2 – What’s your employment situation?

Obviously, this question will help us ascertain the prospective tenant’s ability to pay the rent; if they are casually employed, they may not have a regular income. It’s also good to know what line of employment prospective tenants are in. For instance, if they are working nights, will this be an issue with the neighbours?

We always follow up by asking how long the tenant has been with their current employer. This indicates job stability, and once again ability to pay. As well as doing credit reference checks, we also ask for references from employers.

Question #3 – how many people will be living in the property?

This gives an insight into the living situation, and depending on the property, possibly may indicate how many people are putting in to pay the rent. It’s also worth bearing in mind, more people create more wear and tear, as well as potentially increasing chance of damage.

The rule of thumb is usually, two people per bedroom, but there is always the grey area when it comes to the size of the bedrooms and the size of the property.

We always recommend all people who are over the age of 18 should be named on the tenancy agreement to ensure everyone has a responsibility to pay the rent. It’s also important we can carry out thorough checks on all adults who are living in the property.

Question #4 – Do you currently have any pets?

This is important to ask even if you are not accepting pets in your property. If a potential tenant has a pet now, what’s going to happen to it? Are they hoping you’ll change your mind once they are in? This question does actually work both ways; if your property doesn’t allow pets, because it is strata or community titled, the potential tenant needs to know this if they are hoping to have a pet in the future.

Question #5 – Why do you want to rent my property over others?

This is a bit of cheeky one, and it’s something we’ve stolen off a recruitment list of questions! We’re thinking along the lines of, if we’re trusting someone to live in your property, we want to know why they have chosen your property over others! If they really like it, they will look after it.

Of course, we ask a lot more questions, which is why we have a great reputation for finding the perfect tenant who not only pays the rent on time and takes care of the property, but often remains in the property for several years.

But asking the right questions and finding the right tenant isn’t all we do! Having used the best marketing techniques and screening systems to find good tenants, we manage them, keep your property properly maintained through our network of skilled trades people and ensure you’re compliant with the latest legislation.

Get in touch and see how our property management services can make your life easier and free you up to do more of the things you want to do.

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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