Selecting the right tenant is crucial for landlords to ensure a smooth and stress-free leasing experience. The decision-making process involves evaluating various aspects to find a reliable tenant who will care for the property. While we, as a management company, process the applications, the final decision on which application to accept always rests with the owner. Here are four key factors landlords consider when choosing tenants:

1 Affordability

Landlords aim to ensure that tenants can afford the rent without financial strain, often verifying that a tenant’s income is sufficient to cover it. This is typically assessed through payslips, bank statements, or proof of employment. Rent-to-income ratios, which vary with market conditions, are a key factor in this evaluation. However, if a tenant doesn’t quite meet the affordability criteria, the landlord has a responsibility to avoid renting to someone who might struggle to make rent payments, potentially affecting their overall livelihood. Landlords are mindful of not putting tenants in a financially precarious situation.

2 Rental History

A tenant’s rental history gives landlords an idea of how well they’ve managed previous rental properties. Positive references of former landlords and property managers, indicate that the tenant is responsible and likely to treat the property well.

3 Personal and Professional References

In addition to rental history, personal and professional references can be a good indicator of a tenant’s character. A positive endorsement provided by employers, colleagues, or other personal contacts can provide additional assurance that the tenant will be respectful and responsible.

4 Fit for the Property

Landlords also consider whether the tenant is a good match for the property itself. This could involve evaluating the tenant’s household size, lifestyle, and long-term rental intentions. For instance, a family of five may be less suited to a two-bedroom apartment and more appropriate for a larger family home. Ensuring the right fit helps avoid overcrowding and ensures the tenant’s comfort, which in turn contributes to a longer and more positive rental experience.

—

By thoroughly evaluating these factors, landlords can make more informed decisions and select tenants who will maintain the property, pay rent on time, and contribute positively to the landlord-tenant relationship.

At Real Property WA, we assist landlords by streamlining this process, using our expertise and industry insights to carefully screen applicants and ensure the best possible fit for your property. Our goal is to help you find reliable tenants while protecting your investment for long-term success.