Updating post from Reddit.
Hi folks. I'm close to purchasing a BTL and had a question ref tennants and specifically, some advice on picking a good tennant. I appreciate it's a hard thing to guage but any tips / advice on what I could do to give myself the best chance of picking a good tennant would be much appreciated.
I'll be using a letting agent. Thank you
Don’t use a letting agent. We’ve used several and they have all been terrible. They cause more stress. Use OpenRent and keep up to date with the latest laws - it’s not that hard and it’s much cheaper. It will be a bit more work but it’s worth it.
We advertise our properties for less than the market rate to give us a big pool of potential tenants. OpenRent gives you the ability to auto respond to anyone interested with a list of questions. This is helpful to filter out the time wasters.
We then create shortlist and pick a 2 hour slot on one day that we will allow viewings. Of course you can do more to accommodate everyone but I want to get it sorted and we have so many applicants that one session is enough for us. It’s hard work but getting to meet people face to face and getting a feel for them is the most important thing when it comes to agreeing who you are going to trust with your property. Agents do not give a shit and will get anyone they can at the highest rent.
We use OpenRent to do the reference checks (£20 per person) - they will confirm salary, job, bad credit or letting history.
Good luck
Just to add to the referencing. Speak to their last 2 landlords. Funnily enough the last landlord always gives amazing references - strange when they haven’t paid rent for 6 months. This happens when the landlord wants them out.
Also personally check their bank statements for rent paid on time and for the last 2 rentals, unless they have been in 1 house for years.
Ask them questions when your first talk, whether by phone or in person and note the answer. Then ask the same question again after viewing and at application stage.
I appreciate you mean well, but not all letting agents are bad. And wading into the world of BTLs with no experience and attempting to self manage is riddled with problems and liabilities - though it does keep me very busy with work so not all terrible news.
I’ve yet to find a good one in West Yorkshire.
The issue that OP will have if they use one is that they trusting the agent to keep their tenant secure in a home and OP out of prison. If OP doesn’t know what questions to ask or verify the agent is doing their job, they need to learn from the ground up.
Any landlords stands little chance of getting it right when solely using third party services. Eg: tenant referencing - most don’t actually reference, they simply carry out credit checks.
I’ve yet to find agent that knows how to correctly provide proof of deposit. They simply have never read the terms and conditions that say they must provide terms with the deposit information.
My letting agent is absolutely brilliant. Wouldn't think of not letting through them.
Finally, found one.
Out of interest, how do you know they are doing everything correctly?
Did you verify they served the right documents on time?
Or are you assuming all is well because you haven’t been made aware of any issues?
Do they find a tradesman to fix any issues? How do you confirm it was fixed properly and at a reasonable price?
> Finally, found one.
I know! If you're in the NW I can DM you their details.
> Out of interest, how do you know they are doing everything correctly?
Other than not being naïve and lacking any sort of common sense? A few things. Initially, they came highly recommended by a close friend that owns a property company and runs multiple rentals, HMOs, etc.. Year-on-year they win awards for Best Letting Agent in the area. They've contracts with local large employers: NHS, UCLAN, BAE Systems and others, which means they generally have a very high standard of tenant.
> Did you verify they served the right documents on time?
Obviously. Lol. It's all available on the landlord portal on their website. They're all uploaded and date stamped. Any that are due to expire and I get email reminders etc.. They conduct inspections of the property every quarter and upload the subsequent seven/eight page report (including dated pictures) to the portal. I also get an email copy. It takes a similar format to that of an MOT, in that there may be 'advisories' for either me or the tenant. Or alternatively, something that demands immediate attention (fortunately there haven't been any to date!).
> Or are you assuming all is well because you haven’t been made aware of any issues?
No.
> Do they find a tradesman to fix any issues? How do you confirm it was fixed properly and at a reasonable price?
They do, but I always get the option to sort myself if I want. I see the invoice and I see pictures of the completed work. In the last 12 months they've arranged for two new locks and bolts fitted to two outside gates - invoice was for £80. I was sent pictures of the completed work. They also arranged for an electrician to visit and fix a faulty plug socket - invoice was for £45. Finally they arranged for the renewal of the gas safety cert, which cost £60 total.
I have heard some bad reviews on using letting agents just picking the first tenant that comes their way. I'm not saying all of them. As someone says above you can use autoresponses on Openrent. I used one that said 'must provide proof of rent payments being made on time for 3 months' I know not everyone has rented before but that's fine, they will send a message explaining. For those tenants escaping rent arrears, they won't carry on. I also would advise asking tenants why they are moving if they say landlord is selling I would do a bit more digging, the landlord will be happy to provide you a reference saying they are selling if it helps kick them out! Again, I always feel I need to explain myself on these posts.. The landlord might be selling for legitimate reasons! You'll find that out. Just have your wits. Make sure you do all your credit checks etc so your insurance covers you.Look after your tenant and they will look after you.
Don’t use a letting agent
I mean, normally good advice but I think for a newbie, not really recommended
Do join https://www.nrla.org.uk/ though.
Use a letting agent. Make sure you pay their office a visit, get to speak to them and check out their reviews.
Use them for a let only service.
Been a LL for 30yrs and have used a let only service 90% of the time. Tried OpenRent etc but have a day job and I preferred having someone neutral to do viewings and checks. Other than that hands on LL - you need to keep up to date with CPD either via local authority and/or register with NRLA. Don’t wing it. 12 month ASTs and hopefully a letting agent will do the legwork in finding good tenants. I’ve had same property with 2-3 agents at same time. Each will find different tenants and in my area they work hard to be the one to place a good tenant.
[deleted]
That’s about the least important characteristic of a tenant I look for.