First time looking for a tenant! Rocky River Ohio

[Account Closed]

Hello everyone,

Basically when i bought my first double house it came fully occupied and my tenant is now ready to purchase a home of their own as their lease expires. Jumping into real estate with the learn as I go mentality I find my self at the point where I should be putting a for lease sign in the front yard. The area is very desirable and I'm sure I will find new tenants quickly although i never had to screen a tenant. Any advice on what I should be doing would help me greatly!

I also feel that its a good time to raise the rent. Whats an accurate way to find what neighboring houses are charging for rent.

For my last obstacle..I have been collecting checks every month from my tenants. There must be a better way then knocking on their door. 

Thank you in advance!

-Bill

[Valerie Couch]

Hi @Account Closed

Don't be nervous, you've got this!  First step, make sure the unit is in perfect condition - clean, shows well, updated, even consider staging if that is an option!  This is where you can justify rents on the high end of the market.  Check out Craig's List, Zillow, Trulia, speak with a local agent...that will get you an idea of market rents.  

As Missy said, SCREEN EVERY APPLICANT!  This is most important.  Charge to process applications, this should not come out of your pocket and will deter at least some of the applicants that may have background/credit issues...prospective tenants are well aware that this is standard practice.  We use an in house system through our property management software  but there are plenty out there that you can do online that will process credit, criminal and eviction checks...just do a Google search.  I believe they generally charge about $30.  We charge $40 for our first 1-2 applicants then add $20 for each additional.  Call their current landlords and verify dates, ask if they pay on time, any returned payments, any issues, etc.  We don't judge by credit score but make sure there are no accounts in collections or past due balances.  If there are 1 or 2 accounts in collections but tons of accounts that are paid timely we can often make an exception.  

Make sure they provide current pay stubs, generally look for at least 3 times the monthly rent in gross monthly income.  

Feel free to contact me offline as well if you have additional questions, happy to help!

Good luck!