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Apartment Rental Home Rentals Houses for rent

How to Increase the Rent Without Losing Your Tenants

Just like a majority of other aspects of property management, increasing the rent is also an art. How? Well, that’s because most tenants would always frown when it comes to increasing the rent, no matter how nicely you treat them. And sometimes if the sentiments of the tenants aren’t addressed, they might want to leave your rental property and start looking for other houses for rent. While some landowners prefer balancing the financial advantages of increasing the rent over keeping ideal tenants who don’t cause any issues and always pay their rent on time, others hesitate to raise the rent due to the fear of causing an argument with the tenants for asking more money or losing the tenant.

However, increasing the rent is usually inevitable as insurance costs increase and taxes go up every year. Also, if the rental market rates increase and landlords do not raise the rent, their net income will be reduced.

Want to raise the rent without losing your ideal tenants? Well, here are some useful tips for successfully raising the rent.

Tips to Raise the Rent Without Losing Tenants

Top Tips to Raise the Rent Without Losing Your Tenants

There are many ways to increase the rent without damaging a successful landlord-tenant relationship. Some of the best ones have been mentioned below.

  • Increase the Rent Gradually

While looking for apartments for rent in Canada, renters prefer having a rent raise policy in the rental agreement that states the rent can only be raised once a year if the lease is renewed. Why? Well, that’s because many landlords increase the rent so much that it goes beyond the renters’ budget and makes it impossible for them to pay the rent.

Remember, raising the rent above the fair market rate will not only make your property unaffordable to the tenants but your existing tenants may not want to renew the lease. Hence, raising the rent incrementally over a period of time until you reach the market value of your property can be an ideal option.

  • Provide Your Tenants with a Notice

Tenants may be initially upset that you are increasing the rent. But if you avoid the element of surprise, give them advanced notice of at least 30 days before raising the rent. It will provide your tenants with ample time to prepare themselves for a higher monthly rent.

  • Give Your Tenants Value for Their Money

Did you know, that tenants choose houses for rent over buying a new home because they can have the access to specific amenities such as gyms, pools, parking lots, laundry facilities, and convenience stores that would otherwise be an enormous expense? So, if you, too, show your tenants what value they will be getting if the rent is increased and also promise to bring in new amenities to your property, they will certainly agree to pay more rent.

The Bottom Line: Every tenant’s situation is different which makes it practically impossible to predict how they will react if the rent is increased. But that doesn’t mean you won’t raise the rent, right? Just follow the above-mentioned points and you will be able to increase the rent easily without losing your tenants. Also, try not to raise the rent by more than 10% as it would definitely bust your tenant’s budget. Should you be looking for a company that offers the best rental relocation service and can help you find ideal tenants for your rental properties, reach out to us. At Home Finders, we offer landlords the best platforms to advertise and manage their rental properties. Moreover, our pre-screened tenant database will provide you with a wide list of renters who are looking for houses for rent.

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Apartment Rental Home Rentals Houses for rent

How can Landlords Verify a Renter’s Proof of Income?

From landlords to credit card companies, everyone asks for proof of income from consumers and applicants. But have you ever wondered why this piece of information is so important? Well, that’s because proof of income provides a clear understanding of renters’ finances and whether or not they can afford to pay the rent. So, whenever a renter comes looking for home rentals, it’s important for every landlord to ask a renter for proof of income.

Remember, no matter how much you believe a prospective renter is a perfect fit for your rental apartment, some of the first things you need to know about tenants are how much money they make and if the rent is affordable for them. In this blog, we have highlighted some of the best ways landlords can verify a renter’s proof of income. Keep reading till the end.

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4 Ways Landlords can Verify a Renter’s Proof of Income

In addition to checking their eviction records, criminal histories, and credit scores, verifying income is also an important part of the tenant screening process. Some of the most useful ways for checking a prospective renter’s proof of income have been mentioned below.

  • Ask for Pay Stubs

Tenants looking for homes for rent in Kelowna or elsewhere can obtain a pay stub document from their employer to show how much they have earned within a certain period of time. With the help of pay stubs, landlords can not only check the gross income earned by the prospective tenant but also find out the details such as the full name, contact information, and employer’s name.

  • Get the Last Two Years of Tax Returns

Requesting tax returns for the previous few years shows all sources of income that a renter has earned over the tax year including interest income, contract work, and employment. Sometimes, the tax return also includes the W-2 tax forms that an employee receives at the end of the year. It shows his/her income from the previous tax year.

  • Take a Look at the Bank Statements

Not all the renters who are searching for home rentals receive regular pay stubs if they are self-employed. In this case, landlords can ask for their bank statements to verify their proof of income. A bank statement will show every withdrawal, deposit, and transaction made by the renter.

However, if the renter gets paid on commission, their income may fluctuate every month. In this case, get copies of bank statements for the past two months to determine if their income is steady enough to fit your income requirements.

  • Income Letter from the Prospective Renter’s Employer

If pay stubs are not available for some reason, you can also ask for a letter from the employer. An income letter or a letter of reference from the present employer verifies an employee’s income and also confirms that a renter has the means to pay for rent. It includes how long the renter has been working there, his/her role in the company, as well as how much he or she is earning.

The Bottom Line:

Apart from these, there are many other ways landlords can verify a renter’s proof of income. Some of these include contracts or invoices, 1099 tax forms, worker’s compensation details, profit and loss statements, annuities, interest, and dividends, among others. Should you be looking for a team that can help you post your rental listings and find the best tenants for your home rentals, reach out to us. At Home Finders, we not only offer the best platforms to advertise and manage your rental listings but also provide a pre-screened tenant database. Added to that, you can also create a free business dashboard with a business logo and contact information. To know more about our services, call 250-899-8133.

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Apartment Rental Home Rentals Houses for rent Renter Insurance

Why Is It Important for Tenants to Get Renter’s Insurance?

For homeowners, it is a standard practice to buy a homeowner’s insurance policy. But you know, renting an apartment is similar to owning a home. The only difference is that you don’t own the property. However, when you rent an apartment, your landlord’s property insurance policy covers losses to the property itself. But what about your personal belongings? They, too, need protection against losses such as a fire breakout or theft. This is where renter’s insurance comes into the picture. It helps tenants cover the cost of repairing or replacing their personal belongings and protects them from any liabilities associated with their rental. 

However, a lot of tenants wonder whether they should get renter’s insurance and if it’s worth it? After all, there are already so many costs associated with house rentals in Kelowna or any other location. Some of the most important ones include the application fees, security deposits, and monthly rents. While you may think that it’s an unnecessary expense, you could regret this decision later. Should you want to know the reasons why renter’s insurance is so important, keep reading the blog till the end.

Reasons Why Renter’s Insurance is Important

Reasons Why Every Tenant Needs to Get Renter’s Insurance

  • The Landlord’s Insurance Won’t Cover Your Belongings

A landlord’s insurance typically covers any damage to the property itself but not your personal belongings. So, while looking for the right rental properties such as Kelowna rental properties, don’t forget to get renter’s insurance. It will protect your personal belongings from common hazards including fire, theft, vandalism, and explosion among other things. Added to that, your renter’s insurance policy will also pay for items such as furniture, luggage, jewelry, clothing, and other electronics that are likely to get damaged by such events.

  • Provides Liability Protection

With liability protection, you will get general liability coverage that will protect you against the legal liability of an accident in your residence. For instance, if a visitor falls or is injured on your property and you are found liable, the liability coverage will pay for any bodily injuries or property damage and cover your legal expenses if someone sues you.

  • Covers Your Belongings When You Travel

Tenants, looking for the best places for rent, often overlook the importance of renter’s insurance simply because they think it’s nothing but an additional expense. But did you know, depending on your specific policy, a renter’s policy can cover your personal belongings, whether they are with you while you travel or they are in your home. This includes the travelers’ cheques, electronics that you may be carrying, and other valuables. Your belongings will be covered from loss due to theft and other covered losses.

  • Additional Living Expenses

There can be certain events that may force you to leave your rental apartment and live somewhere else temporarily. If that happens, your renter’s insurance policy will cover your “additional living expenses” and pay for things like hotel and restaurant costs.

However, it’s important to note that there will be a limit to the maximum amount that you can get. So, check your policy to find out how much and how long it will cover your additional living expenses.

Final Thoughts

Although renter’s insurance is not mandatory, it’s highly recommended. Whether you lease a house or live in an apartment, getting renter’s insurance is crucial if you want to protect yourself and your belongings. Should you be looking for the best house rentals in Kelowna at affordable prices, reach out to Home Finders. Having extensive experience in the field, we provide renters with the largest selection of rental properties to choose from

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Apartment Rental Home Rentals

Tenant Screening Questions that Every Landlord Should Ask

As a landlord, you want to find the best tenant to occupy your rental. But how do you know which prospective tenants are the right fit? Well, the best way to find that out is by screening the potential tenants. Make a list of questions that you want to ask any prospective tenant who is looking for apartments for rent in Canada or elsewhere and wants to view your property. Tenant screening questions can reveal a lot such as the applicants’ ability to pay rent on time, their track record as a renter, and most importantly, whether they will adhere to the lease agreement. 

Top 4 Tenant Screening Questions

However, some landlords believe strongly in their gut instinct and don’t ask many screening questions apart from the ones related to the applicant’s rental history or finances. But, it’s important to include a wide array of questions as they will help you weed out tenants who aren’t suitable for your property. Here are some of the most important questions that you should ask prospective tenants during the screening process:

Screening Questions that Landlords Should Ask Tenants

  • Why are you moving?

Being a landlord, you would like to know the reason why the prospective tenant is looking for apartments for rent in Canada or any other location. Their response will help you find out if he/she is moving into your property for a good reason. Answers such as a need for a bigger space, family expansion, or a change in jobs are acceptable reasons. On the other hand, if the reason includes disputes with the landlord or eviction from the previous property, it needs to be considered as a red flag.

  • When do you plan on moving?

This is another very important question to ask while screening the tenant. After all, it’s crucial that both your and your tenant’s timelines coincide. For instance, if your property is vacant, you will want a tenant who can move in immediately. But what if the prospective tenant needs at least a few months to move in? In that case, you may want to end the conversation there and look for another tenant whose moving dates aligns with yours.

  • Have you ever been evicted before?

No one wants to rent their property to someone with a history of breaking leases or evictions. Maybe they were evicted due to property damage or they might have experienced a rough patch and struggled to pay rent but are now financially stable.

Did you know, at Home Finders, you can not only list your property for free but also have access to our pre-screened tenant database that displays the tenants’ credit scores and history? This way, you can easily find out if the potential tenant has ever been convicted or not.

  • What is your monthly income?

Should you want to make sure that your tenants to pay rent on time, don’t forget to ask them about their monthly income. And it is not just about the monthly rent. Will they be able to pay the security deposit and other fees as well? You can ask for a credit report to see if they have a strong history of making on-time payments.

The Bottom Line:

Apart from these, there are many other tenant screening questions that you can ask prospective tenants. Some of them include- ‘Do you have pets?’, ‘How many people would be living with you?’, ‘Are you willing to sign a 1-year lease agreement?’, and more. At Home Finders, we provide our clients with the best platforms to advertise and manage their rental properties. Added to that, our pre-screened tenant database offers a wide list of tenants who are looking for apartments for rent in Canada. To get in touch with us, visit our website today.