NEW AT THIS!
We just bought our first investment property and we are frantically trying to rent it out. Inside it has been completely repainted, new carpets and kitchen flooring. It looks great, we just need to get potential tenenats in the door. We're advertising in the local papers and also at local bases. So far the only applicants have poor credit or don't earn enough to qualify. We are trying to be patient but I didn't think it would be this difficult. We have had lots of interest from our ads.......but no good qualifier. Any Ideas??? :-?
Where is the property located HOw are you Wording your ads Be more Forward about what you are looking for in a applicant
I found that people who rent usually don't have the best credit, so you can't just look at the credit. I put out Rent-to-Own flyers in the area of each house, put a nice little colorful picture of what's available and the location and I have gotten a ton of calls -from people looking to buy, rent, & rent-to-own. But, you're right, its not that easy to find qualified tenants. I had about 1 good candidate for every 7 not so good candidates.
Maybe you should consider a rent credit deposit. They may not qualify by credit score but may be able to do so financialy. By getting a percentage up front, you could actually help them re-establish themselves.
I find that when you treat your tenants with honest respect and build a business relationship with them you will get your rent on time. Be up front . Place ground rules in effect. Extreme penalties for being late. One month missed automaticaly starts 30 day eviction notice with no refund of up front deposits. After one year of them living in your property , activate the rent credit for one month by giving them a 50% discount on the rent for that month for an example.You set up the terms so that they must pay more up front to compensate the differenceof the rent credit so that it balances out to 1st -last- 1 month security being left. what ever percentage you give/offer that balance is taken from the up front money so you do not loose out when you have to make your mortgage payments. Establish a win-win situation for the both of you. Remember you have the upper hand with the property , but they have the upper hand as well because with out them renting your property you have no money . " Give and shall be given unto you "
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My other option would be to do a short term rental month -to-month or a 6 month or a 12 month . Either way you may go, always check with the local government such as L&I as to what you can and cannot do. Ask questions at these places carefully without drawing alot of attention to yourself if you know what I mean. Sometimes to many questions can also cause you problems as well. Analyze your situation carefully. be patient with yourself you have made it by the first hurdle "getting the property"
In your ad mention section 8 www.ok.I have had good luck going section 8. But there is just no guarantee you'll get a good tenant.
I agree. I've had good response mentioning section 8 as well. I actually prefer to go that way. I'm leniant on credit, especially since section has been paying most of the rent, but I do really check rental and employment history.
Thanks for all your support, I placed my ads again and opened it to SEC 8. LOTS OF CALLS! I will show this weekend so hopefully someone will qualify. So I'm trying to remain patient.......
I was going to have an open house is that a good way to go I figure it will generate some healthy competition